From 1st May 2019, the number of draws in a month will be increasing from ten to twenty. The cost for a ticket will change from £1 for each draw to 50p. There is no change to the cost of one monthly subscription. This will remain at £10 but this will be for 20 draws at 50p each, instead of 10 draws at £1 each. So why is this happening?
People's Postcode Lottery manages multiple society lotteries promoted by different charities and good causes. The Gambling Act 2005 refers to such charities and good causes as "promoting societies", and allows each such society to sell a maximum of £10 Million of lottery tickets a year. Last year, many of the different society lotteries managed by us had three draws. Tickets in each draw cost £1. Due to an increased number of players, these society lotteries would now only be able to have two draws a year. Otherwise their yearly ticket sales would exceed the £10 Million limit. As a result, they would see a reduction in the funds raised.
We want to help these societies raise as much money as possible. Enabling them to hold a larger number of draws at a lower ticket price (5 draws a year each with tickets costing 50p rather than two draws a year each with tickets costing £1), allows them to raise more money while complying with the limits imposed.
Another limit placed on society lotteries is the maximum amount a ticket is allowed to win. This limit has not changed. A ticket can still win a maximum amount equal to 10% of ticket sales for the draw, up to £400,000. For the Postcode Millions prize, £3 Million will still be shared between players in the winning postcode and surrounding postcode sector (and in some circumstances the wider postcode district). Based on expected ticket sales, we estimate the maximum possible prize per ticket for the full winning postcode in May's Postcode Millions draw to be £176,000. The amount each winning ticket in the Postcode Millions actually receives will also continue to depend on the amount of winning tickets in the winning area, as the £3 Million will still be shared. Full details of how the £3 Million Postcode Millions prize is shared between winners is explained in condition 2.6 of the terms and conditions which has not changed.