Lotteries could raise ten times as much for charities

Third Force News, by Susan Smith 


Society lotteries like the People’s Postcode Lottery and the Health Lottery should be able to raise more money for charity, Dame Kelly Holmes will tell MPs tonight.

The Olympic gold medallist runs her own charity to boost confidence in young people from tough backgrounds. She is making the call at a People’s Postcode Lottery Westminster parliamentary reception.

She said restrictions in the Gambling Act is limiting the amount that society lotteries can raise for charity. At present society lotteries have an annual sales cap of £10 million a year.

The People’s Postcode Lottery, which has funded the Dame Kelly Holmes Trust, is calling on the government to raise the limit to £100m a year.

Homes said: “I know from my personal experience of running the Dame Kelly Holmes Trust just how important the funds raised by charity lotteries can be.

“However at present each charity lottery has limits on its charity fundraising work. With increasing demand for charity funding we need to take action to raise maximum funds for good causes, by raising these outdated fundraising limits. The government has been considering this issue for many years, now it is time for action!”

Clara Govier, head of charities for People’s Postcode Lottery, said: “We are the only fundraising sector with limits on the amount we can raise for good causes, which seems bizarre when we know so many good causes are in need of funds.

“We want to ensure charities get the maximum amount of money possible without being curtailed by these limits. We urge ministers to take action to ensure charities get the maximum benefit from charity lotteries.”

The event will also see the People’s Postcode Lottery launch Funding for Impact, a report looking at the views of charities that currently receive funding from the People’s Postcode Lottery.

It finds that unrestricted funding was seen by most respondents as the best thing about a funding relationship with People’s Postcode Lottery. Many felt that unrestricted funding showed trust between a funder and a grantee to deliver their objectives.

If offered grant funding of £100,000, around half of charities indicated that they would take a cut of £17,300 on average in order to access unrestricted funding.

Long-term funding allows charities to get off the constant treadmill of securing funds to deliver services. It also gives stability so they can pilot new projects and invest in staff.

Since it was set up in 2005, the People’s Postcode Lottery has raised £291m for charity.