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How to run a lottery with people you live with

You can run a lottery, raffle, tombola or sweepstake with people you live with without a licence. This is known as a residents' lottery.

You can use this type of lottery to raise money for good causes or just for fun, however, you cannot make a profit. If the lottery is not to raise money for a good cause, any proceeds have to be used for prizes and for some reasonable expenses.

You can’t make a profit from a residents’ lottery Proceeds must either be used for reasonable expenses and prizes, or donated to charity.

How to run a residents' lottery

Everyone taking part must live at the same single physical location. For example, the same house, apartment block, residential care home or halls of residence.

You can’t run a residents’ lottery across multiple sites.

Example

You can't run a residents' lottery between a chain of residential care homes across different locations. However, you could hold the lottery at one of the care homes.

Who can I sell tickets to?

You can sell tickets to anyone who lives at that location.

Ticket requirements

You must provide physical tickets to the people playing. However, there are no specific requirements for what needs to be printed on the tickets.

You must make sure that:

  • people pay the same price for each ticket
  • the rights created by the ticket are non-transferable. You cannot pass the ticket onto someone else.
  • you only sell physical tickets to residents in the place where you all live.

You can only sell physical tickets to colleagues when you are all at the residence. You can’t sell tickets online, via email or over the telephone. 

Where can the draw take place?

You can only do the draw where you all live, for example at your house. It can’t be done online.

Can I claim my costs?

Yes, you can claim money for prizes and reasonable running costs using the money you raise.

Prizes

Prizes can’t rollover to another lottery.

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Last updated: 11 February 2022

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