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Charity lotteries are not in competition with state lotteries, report says

Charity lotteries are complementary to state lotteries, as opposed to competing with them, according to a new report researched by Regulus Partners and commissioned by the Association of Charity Lotteries in Europe (ACLEU).

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The ‘Charity Lotteries and the European lottery market: impact assessment’ includes a statistical analysis of lottery statistics in lottery markets across Europe, and found that charity lotteries do not have a material negative impact on state lotteries.

“It is clear from our research that charity lotteries help grow the overall revenue of lottery-based charity fundraising,” said Paul Leyland of Regulus Partners.

“Regulus analysed the draw-based and instant ticket sales performance of 12 European state lottery monopolies, grouped into three categories: those coexisting with a material charity lottery sector; those with a limited charity lottery sector; and those without any national charity lotteries. 

“Our analysis finds that there is no material causal link between the presence of charity lotteries and the performance of state lotteries.”

The report also found that charity lotteries consistently grow the overall lottery segment and, therefore, funds to good causes, as well as typically outperforming state lotteries in terms of revenue growth.

ACLEU President Eva Struving commented: “We are happy to see this new research report confirms our longstanding and firm belief that charity lotteries are complementary to state lotteries and do not pose a threat to their income. 

“We hope this report will help politicians, policymakers and charities to fully appreciate the added value that charity lotteries bring, and to understand some of the dynamics facing the wider lotteries sector.

“We also hope it will be of interest to our colleagues in the state lottery sector and provide some food for thought for all of us on how we can work together to further grow lottery-based charity fundraising to the benefit of charities, communities and countries across Europe.”

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