Gambling Bill

House of Commons

Session 2004 - 05
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Other Bills before Parliament

Gambling Bill

Gambling Bill
Schedule 11 — Exempt Lotteries
Part 4 — Small Society Lotteries
183

(b)
by the holder of a lottery manager’s operating licence authorised in
writing by the society or, if it has one, its governing body.
Purpose of lottery
33
A small society lottery may be promoted for any of the purposes for which
the promoting society is conducted.
5
Minimum distribution for fund-raising purpose
34
The arrangements for a small society lottery must ensure that at least 20% of
the proceeds of the lottery are applied to a purpose for which the society is
conducted.
Maximum prize
10
35
It must not be possible for the purchaser of a ticket in a small society lottery
to win by virtue of that ticket (whether in money, money’s worth, or partly
the one and partly the other) more than £25,000.
Rollover
36    (1)
The arrangements for a small society lottery may include a rollover only if
15
each other lottery which may be affected by the rollover is a small society
lottery promoted by or on behalf of the same society.
      (2)
This paragraph is subject to paragraph 35.
Tickets
37
Each ticket in a small society lottery—
20
(a)
must be a document,
(b)
must identify the promoting society,
(c)
must state the name and an address of—
(i)
a member of the society who is designated, by persons acting
on behalf of the society, as having responsibility within the
25
society for the promotion of the lottery, or
(ii)
if there is one, the external lottery manager, and
(d)
must give the date of the draw (or each draw) in the lottery.
Price
38    (1)
The price payable for each ticket in a small society lottery—
30
(a)
must be the same,
(b)
must be shown on the ticket, and
(c)
must be paid to the promoter of the lottery before any person is given
the ticket or any right in respect of membership of the class among
whom prizes are to be allocated.
35
      (2)
Membership of the class among whom prizes in a small society lottery are
allocated may not be dependent on making any payment (apart from
payment of the price of a ticket).

Gambling Bill
Schedule 11 — Exempt Lotteries
Part 4 — Small Society Lotteries
184

Registration
39
The promoting society of a small society lottery must, throughout the period
during which the lottery is promoted, be registered with a local authority in
accordance with Part 5 of this Schedule.
Filing of records
5
40    (1)
The promoting society of a small society lottery must send to the local
authority with which the society is registered under Part 5 of this Schedule
a statement of the matters specified in sub-paragraph (2).
      (2)
Those matters are—
(a)
the arrangements for the lottery (including the dates on which tickets
10
were available for sale or supply, the dates of any draw and the
arrangements for prizes (including any rollover),
(b)
the proceeds of the lottery,
(c)
the amounts deducted by the promoters of the lottery in respect of
the provision of prizes (including the provision of prizes in
15
accordance with any rollover),
(d)
the amounts deducted by the promoters of the lottery in respect of
other costs incurred in organising the lottery,
(e)
any amount applied to a purpose for which the promoting society is
conducted, and
20
(f)
whether any expenses in connection with the lottery were defrayed
otherwise than by deduction from proceeds, and, if they were—
(i)
the amount of the expenses, and
(ii)
the sources from which they were defrayed.
      (3)
The statement must be sent to the local authority during the period of three
25
months beginning with the day on which the draw (or the last draw) in the
lottery takes place.
      (4)
The statement must be—
(a)
signed by two members of the society who are appointed for the
purpose in writing by the society or, if it has one, its governing body,
30
and
(b)
accompanied by a copy of the appointment under paragraph (a).
      (5)
A member signing a statement in accordance with sub-paragraph (4) must
be an adult.
41    (1)
If after receiving a statement under paragraph 40 a local authority think that
35
the lottery to which the statement relates was a large lottery, they shall notify
the Commission in writing.
      (2)
A notice under sub-paragraph (1) shall be accompanied by a copy of—
(a)
the statement relating to the lottery, and
(b)
the statement relating to any other lottery as a result of which the
40
lottery mentioned in paragraph (a) is a large lottery.

Gambling Bill
Schedule 11 — Exempt Lotteries
Part 5 — Registration With Local Authority
185

Part 5
Registration With Local Authority
Local authority
42
In this Part “local authority” means—
(a)
in relation to England—
5
(i)
a district council,
(ii)
a county council for a county in which there are no district
councils,
(iii)
a London borough council,
(iv)
the Common Council of the City of London, and
10
(v)
the Council of the Isles of Scilly,
(b)
in relation to Wales,
(i)
a county council, and
(ii)
a county borough council, and
(c)
in relation to Scotland, a licensing board constituted under section 1
15
of the Licensing (Scotland) Act 1976 (c. 66).
Application
43    (1)
A society may apply to the relevant local authority for registration under
this Part.
      (2)
An application under this paragraph—
20
(a)
must be in the prescribed form,
(b)
must specify the purposes for which the society is conducted,
(c)
must contain such other information, and be accompanied by such
documents, as may be prescribed, and
(d)
must be accompanied by the prescribed fee.
25
44
In relation to the registration of a society, the relevant local authority is the
local authority for the area in which the principal premises of the society are
situated.
Registration
45
As soon as is reasonably practicable after receipt of an application under
30
paragraph 43 a local authority shall, subject to paragraphs 48 and 49—
(a)
enter the applicant, together with such information as may be
prescribed, in a register kept by the authority for the purposes of this
Part,
(b)
notify the applicant of his registration, and
35
(c)
notify the Commission of the registration.
Gambling Commission
46
As soon as is reasonably practicable after receipt of notice of a registration
under paragraph 45(c) the Commission shall record the registration.
47    (1)
A notice under paragraph 45(c) must be accompanied by such part of the
40
application fee as may be prescribed.

Gambling Bill
Schedule 11 — Exempt Lotteries
Part 5 — Registration With Local Authority
186

      (2)
In sub-paragraph (1) “application fee” means the fee accompanying an
application under paragraph 43.
Refusal of registration
48
A local authority shall refuse an application for registration if in the period
of five years ending with the date of the application—
5
(a)
an operating licence held by the applicant for registration has been
revoked under section 116(1), or
(b)
an application for an operating licence made by the applicant for
registration has been refused.
49
A local authority may refuse an application for registration if they think
10
that—
(a)
the applicant is not a non-commercial society,
(b)
a person who will or may be connected with the promotion of the
lottery has been convicted of a relevant offence, or
(c)
information provided in or with the application for registration is
15
false or misleading.
50
A local authority may not refuse an application for registration unless they
have given the applicant an opportunity to make representations.
Revocation
51    (1)
A local authority may revoke a registration under this Part if they think that
20
they would be obliged or permitted to refuse an application for the
registration were it being made anew.
      (2)
Where a local authority revoke a registration under this Part they shall
specify that the revocation takes effect—
(a)
immediately, or
25
(b)
at the end of such period, beginning with the day of the revocation
and not exceeding two months, as they may specify.
      (3)
A local authority may not revoke a registration under this Part unless they
have given the registered society an opportunity to make representations.
Appeal
30
52    (1)
If a local authority refuse or revoke registration under this Part—
(a)
the authority shall notify the applicant society or the formerly
registered society as soon as is reasonably practicable, and
(b)
the society may appeal to a magistrates’ court.
      (2)
An appeal under this paragraph must be instituted—
35
(a)
in a magistrates’ court for a commission area which is wholly or
partly within the area of the local authority against whose decision
the appeal is brought,
(b)
by notice of appeal given to the justices’ chief executive, and
(c)
in the period of 21 days beginning with the day on which the society
40
is notified of the refusal or revocation of registration, and
      (3)
On an appeal under this paragraph a magistrates’ court may—
(a)
affirm the local authority’s decision;

Gambling Bill
Schedule 11 — Exempt Lotteries
Part 5 — Registration With Local Authority
187

(b)
reverse the local authority’s decision;
(c)
make any other order (which may include transitional provision).
      (4)
In relation to registration in Scotland—
(a)
sub-paragraph (1)(b) shall have effect as if the reference to a
magistrate’s court were a reference to a sheriff whose sheriffdom is
5
wholly or partly within the area of the local authority against whose
decision the appeal is brought,
(b)
sub-paragraph (2)(a) and (b) shall not have effect, and
(c)
sub-paragraph (3) shall have effect as if the reference to a
magistrate’s court were a reference to the sheriff.
10
Cancellation
53
A registered society may apply in writing to the registering authority for the
registration to be cancelled.
54
As soon as is reasonably practicable after receipt of an application under
paragraph 53 a local authority shall—
15
(a)
cancel the registration,
(b)
notify the formerly registered society of the cancellation, and
(c)
notify the Commission of the cancellation.
Annual fee
55    (1)
A registered society shall pay an annual fee to the registering local authority.
20
      (2)
An annual fee—
(a)
shall be paid within such period before each anniversary of the
registration as may be prescribed, and
(b)
shall be of the prescribed amount.
      (3)
If a registered society fails to comply with this paragraph the registering
25
authority may cancel the society’s registration.
      (4)
If a local authority cancel a registration under sub-paragraph (3) the
authority shall as soon as is reasonably practicable notify—
(a)
the formerly registered society, and
(b)
the Commission.
30
Retention of records
56    (1)
Where a statement is sent to a local authority under paragraph 40 the
authority shall—
(a)
retain it for at least 18 months,
(b)
make it available for inspection by members of the public at all
35
reasonable times, and
(c)
make arrangements for the provision of a copy of it or part of it to any
member of the public on request.
      (2)
But a local authority may refuse to provide access or a copy unless the
person seeking access or a copy pays a fee specified by the authority.
40
      (3)
A local authority may not specify a fee under sub-paragraph (2) which
exceeds the reasonable cost of providing the service sought (but in

Gambling Bill
Schedule 11 — Exempt Lotteries
Part 6 — Powers to Impose Additional Restrictions, &c.
188

calculating the cost of providing a service to a person the authority may
include a reasonable share of expenditure which is referable only indirectly
to the provision of that service).
Interpretation: “prescribed”
57
In this Part “prescribed” means prescribed by the Secretary of State by
5
regulations except that, in the following provisions, it means prescribed by
the Scottish Ministers by regulations—
(a)
in paragraph 43(2)(d), where the application is made to a local
authority in Scotland,
(b)
in paragraph 47(1), where the local authority giving notice is in
10
Scotland, and
(c)
in paragraph 55(2)(b), where the registering local authority is in
Scotland.
Part 6
Powers to Impose Additional Restrictions, &c.
15
Distributing lottery tickets by post
58    (1)
The Secretary of State may by regulations impose a condition in relation to
exempt lotteries requiring that tickets purchased be delivered to the
purchaser by hand at the time of purchase and not by post.
      (2)
Regulations under this paragraph may apply generally, only in relation to a
20
specified class of lottery or only in specified circumstances.
Rollover
59    (1)
The Secretary of State may by regulations impose in relation to exempt
lotteries conditions or limitations in respect of the use of a rollover (in
addition to any conditions or limitations set out in this Schedule).
25
      (2)
Regulations under this paragraph may apply generally, only in relation to a
specified class of lottery or only in specified circumstances.
Other additional provision
60    (1)
The Secretary of State may by order impose in relation to a class of lottery a
condition (in addition to any specified in this Schedule) with which a lottery
30
must comply if it is to be an exempt lottery within the meaning of this
Schedule.
      (2)
A condition imposed under this paragraph may, in particular, relate to—
(a)
the persons who may sell or supply lottery tickets;
(b)
the persons who may buy lottery tickets;
35
(c)
the circumstances in which lottery tickets are sold or supplied;
(d)
the nature of lottery tickets and information appearing on them;
(e)
arrangements for advertising the lottery;
(f)
the deductions which promoters may make from the proceeds of a
lottery.
40

Gambling Bill
Schedule 12 — Club Gaming Permits and Club Machine Permits
189

      (3)
The Secretary of State may by order restrict the extent to which a person may
carry on activities in reliance on an exemption under this Schedule.
      (4)
An order under sub-paragraph (3) may, in particular, make provision—
(a)
restricting the number of lotteries that may be promoted on behalf of
a person wholly or partly within a specified period;
5
(b)
prescribing a minimum interval between activity in connection with
one lottery promoted on behalf of a person and activity in connection
with another lottery promoted on behalf of that person.
      (5)
Before making an order under this paragraph the Secretary of State must
consult the Commission.
10
Variation of monetary limits and percentages
61
The Secretary of State may by order vary a monetary amount or a percentage
in this Schedule.
Part 7
General
15
Interpretation: advertisement
62
For the purposes of this Schedule—
(a)
“advertisement”, in relation to a lottery, includes any document, or
electronic communication, announcing that a lottery will take place
or inviting people to participate in a lottery (in either case whether or
20
not it also gives other information),
(b)
a reference to displaying an advertisement includes a reference to
publishing a notice, and
(c)
in the case of an advertisement in the form of an electronic
communication, the communication is to be treated as being—
25
(i)
distributed to any place at which a person can access it, and
(ii)
sent to any premises at which a person can access it.
Interpretation: business
63
In this Schedule “business” includes trade and profession.
Vessels
30
64
Nothing in Part 2 or 3 of this Schedule applies to anything done on a vessel.
Schedule 12
Section 265

Club Gaming Permits and Club Machine Permits
Application
1     (1)
A members’ club or miners’ welfare institute may apply to a licensing
35
authority for a club gaming permit.