Ask the Expert: Gambling

For the majority of business models you will require an Operating Licence and Personal Licences issued by the Gambling Commission together with a Premises Licence or Permit issued by the Local Authority. There are some exemptions to the requirement for the Gambling Commission licences. 

Gambling is defined by the Gambling Act 2005 as gaming, betting or participation in a lottery. The activities have a very wide definition.

 "Gaming" is the playing of a game of chance (excluding sport) for a prize.

"Betting" means making or accepting a bet on the outcome of a race, competition or other event of process, the likelihood of anything occurring or not occurring or whether anything is true or untrue.

Lotteries are categorised as either a "simple lottery" or "complex lottery". A "simple lottery" is an arrangement where participants pay to participate and prizes are allocated by a process that relies wholly on chance. A "complex lottery" is similar to a "simple lottery" save there are a series of processes to determine the allocation of prizes and the first of which relies wholly on chance.

Poker is defined as "equal chance" gaming. The government has prescribed daily and weekly limits on Poker in alcohol licensed premises. Daily, each player can stake no more than £5 and the total sum of all players cannot exceed £100. There are also other applicable limits which affect this type of gaming. It is the responsibility of the premises operator to ensure these limits are not breached and can result in the criminal prosecutions.  

The answer to this question is dependant upon a number of factors that change from event to event. It is possible to host a Charity event under strict conditions. To discuss these conditions and whether your event is legal, please call to discuss. 

This is new a relatively new phenomenon. Home owners who are finding it difficult to sell their homes attempt to sell tickets in a lottery to win the property. This process would normally be deemed an illegal lottery. Many homeowners attempt to circumvent the law by setting an initial question which you must answer correctly in order to enter the final draw. These questions are often fairly straight forward and it is questionable whether they are sufficient to take the process outside the law. The Gambling Commission take a very dim view of such events and are taking steps to prevent such events proceeding.