Initial research has revealed that the market for lotteries is growing, particularly so in the last couple of years, and that Birmingham would be one of the first local authorities in the country to consider setting one up.
Many lotteries are run by third-party organisations called External Lottery Managers (ELMs) and the term ‘lottery’ can cover a wide range of products including subscription, draw-based, scratch cards etc.
Apart from a small amount of up-front and in-house council costs, any lottery operator – with a franchise contract – would be responsible for all other costs including funding in-depth market research; agreeing arrangements for funding good causes; and developing a model for prize funds.
Council Leader, Mike Whitby, said:
“Initial feedback on the concept has been positive and this is potentially a very exciting and innovative way to raise funds, support good causes and offer individuals the chance of a windfall.
“Certainly, I hope a successful lottery could support and enhance a whole range of arts, sport and cultural aspirations.”
With all the reductions in public services, the lottery should put back some of the money which has been taken away by recent cuts.