The Health Lottery
Encyclopedia
The Health Lottery is a lottery
Lottery
A lottery is a form of gambling which involves the drawing of lots for a prize.Lottery is outlawed by some governments, while others endorse it to the extent of organizing a national or state lottery. It is common to find some degree of regulation of lottery by governments...

 in Great Britain
Great Britain
Great Britain or Britain is an island situated to the northwest of Continental Europe. It is the ninth largest island in the world, and the largest European island, as well as the largest of the British Isles...

 launched in October 2011 where players must choose five different numbers from the range 1 to 50 and match at least three in order to win a prize. It is operated by Northern and Shell which owns numerous media outlets in the United Kingdom.

Eligibility

Players must be at least 16 years old and tickets are only sold in Great Britain
Great Britain
Great Britain or Britain is an island situated to the northwest of Continental Europe. It is the ninth largest island in the world, and the largest European island, as well as the largest of the British Isles...

, so it is not possible to play in Northern Ireland
Northern Ireland
Northern Ireland is one of the four countries of the United Kingdom. Situated in the north-east of the island of Ireland, it shares a border with the Republic of Ireland to the south and west...

 or the Isle of Man
Isle of Man
The Isle of Man , otherwise known simply as Mann , is a self-governing British Crown Dependency, located in the Irish Sea between the islands of Great Britain and Ireland, within the British Isles. The head of state is Queen Elizabeth II, who holds the title of Lord of Mann. The Lord of Mann is...

.

History

The origins of the Health Lottery predate the National Lottery, to the failed National Health Service Lottery
National Health Service Lottery
The National Health Service Lottery was a failed lottery scheme designed to provide funding for the National Health Service in the United Kingdom...

 which had an abortive launch in 1988, before being declared illegal. The assets of the NHS Lottery were purchased in 2007 by Altala Group Ltd, a company run by Ian Milligan, a former employee of Camelot Group
Camelot Group
Camelot GroupCamelot is a private limited company, its entire share issue is owned by a single shareholder, as detailed above. are the operators of the UK National Lottery. Camelot Group was awarded the National Lottery franchise in 1993 and was re-awarded the franchise in 2001 and again in 2007...

, the operators of the UK National Lottery. Altala went into administration in 2009, shortly before it was due to be granted its gambling licence, and was purchased by Health Lottery Ltd.. After successfully winning the licence, the Health Lottery was then sold in February 2011 to Richard Desmond
Richard Desmond
Richard Clive Desmond is an English publisher and businessman. He is the owner of Express Newspapers and founder in 1974 of Northern & Shell, which publishes various celebrity magazines, such as OK! and New!, and British national newspapers Daily Star and Daily Express...

's Northern and Shell group. The Health Lottery launched in September 2011.

Draw

The draws for The Health Lottery are broadcast live on the ITV
ITV
ITV is the major commercial public service TV network in the United Kingdom. Launched in 1955 under the auspices of the Independent Television Authority to provide competition to the BBC, it is also the oldest commercial network in the UK...

 network and Channel 5. It is currently shown during an advertisment break of The X Factor
The X Factor (UK)
The X Factor is a British television music competition to find new singing talent. Created by Simon Cowell, it began in September 2004 and is contested by aspiring singers drawn from public auditions. It is the originator of the international X Factor franchise. The seven series of the show to date...

, paid for by Northern and Shell, and shortly after on Channel 5. It was initially planned to be hosted by Eamonn Holmes
Eamonn Holmes
Eamonn Holmes is an Northern Irish journalist and broadcaster. He is known for his work on UK and Irish television, notably presenting GMTV and This Morning. He is married to TV presenter Ruth Langsford.-Education:...

 but as Holmes was employed by Sky News
Sky News
Sky News is a 24-hour British and international satellite television news broadcaster with an emphasis on UK and international news stories.The service places emphasis on rolling news, including the latest breaking news. Sky News also hosts localised versions of the channel in Australia and in New...

, he was dropped due to a possible conflict of interest. Melinda Messenger
Melinda Messenger
Melinda Jayne Messenger is an English ex-glamour model, Page 3 Girl and a former presenter on the magazine programme Live from Studio Five. She is currently co-broadcaster of the reality show Cowboy Builders.-Biography:...

 was confirmed as the host on 5 October 2011.

On 9 November 2011, the Health Lottery announced that the Saturday night TV draw show would be extended in length to showcase where the good causes money raised is being spent, as from the 12 November when it moved exclusively onto Channel 5.

Prizes

Players must choose five different numbers between 1 and 50, or can opt for their numbers to be selected randomly by machine. The cost of one ticket to play is £1.

The lottery is largely operated on a fixed prize basis, with the prize amounts staying the same regardless as to the number of winners. However, should the number of winners be too high then the prizes can be scaled back (see Sections 6.12 to 6.14 of the terms and conditions here)
Health Lottery
Matching numbers Prize Odds of winning
3 numbers £50 1 in 214
4 numbers £500 1 in 9,417
5 numbers £100,000 1 in 2,118,760
The overall odds of winning any prize is 1 in 209.24

Good causes

Breakdown of revenue
22.0% in operating costs, marketing and administration
20.3% to good causes
33.4% to winners
24.3% Unexplained


The prize fund percentage is not stated on The Health Lottery website and requires verification-excludes promotions.

An independent charity, the People's Health Trust, will identify where the good causes money is most needed and award grants to groups across England, Scotland and Wales. Its focus is on tackling health inequalities, helping people live longer healthier lives.

Controversy

The game has been criticised for donating only 20.3% of the ticket price to good causes, verses 28% donated by the National Lottery. Sir Stephen Bubb of the Association of Chief Executives of Voluntary Organisations has described it as a "disgraceful development". Spokespersons for The Health Lottery argue that the game will grow the market. The lottery has also attracted the attention of the Advertising Standards Authority (United Kingdom)
Advertising Standards Authority (United Kingdom)
The Advertising Standards Authority is the self-regulatory organisation of the advertising industry in the United Kingdom. The ASA is a non-statutory organisation and so cannot interpret or enforce legislation. However, its code of advertising practice broadly reflects legislation in many instances...

 for articles published in both Daily Express
Daily Express
The Daily Express switched from broadsheet to tabloid in 1977 and was bought by the construction company Trafalgar House in the same year. Its publishing company, Beaverbrook Newspapers, was renamed Express Newspapers...

 and the Daily Star
Daily Star
The Daily Star is a popular daily tabloid newspaper published in the United Kingdom. It first published on 2 November 1978, and was the first new national paper to be launched since the Daily Worker in 1930...

 which appear to be adverts for the new lottery. The culture secretary Jeremy Hunt announced in late October that the Gambling Commission
Gambling Commission
The Gambling Commission is Great Britain's regulatory body for most, but not all, gambling.-History:It was established under the Gambling Act 2005 and assumed full powers in 2007, taking over responsibility from the Gaming Board for Great Britain, in regulating arcades, betting, bingo, casinos,...

 would investigate the legality of the Health Lottery, after questions were raised about the way the lottery was being run and the cost to smaller lotteries nationwide.

Structure

Due to the requirements of the Gambling Act, the Health Lottery is not structured as a national lottery, but rather as 51 different society lotteries, each one representing at least one local authority area within England, Scotland and Wales. Each society lottery is licensed by the Gambling Commission
Gambling Commission
The Gambling Commission is Great Britain's regulatory body for most, but not all, gambling.-History:It was established under the Gambling Act 2005 and assumed full powers in 2007, taking over responsibility from the Gaming Board for Great Britain, in regulating arcades, betting, bingo, casinos,...

 and operates as an individual Community Interest Company
Community interest company
A community interest company is a new type of company introduced by the United Kingdom government in 2005 under the Companies Act 2004, designed for social enterprises that want to use their profits and assets for the public good...

, or CIC. Different CICs take turns in participating in a weekly draw so each week different CICs are represented and every region gets a share of the pot. Money is then donated to support health-related good causes within their respective local areas. The Health Lottery ELM Ltd operates as an external lottery manager to oversee the society lotteries. The ELM charges a management fee of 0.5p in every pound, which provides the profit for the lottery owners. The allocation of funds to good causes raised by the Health Lottery is determined by the relevant CICs and their partner charity, the People’s Health Trust, and not by The Health Lottery ELM Ltd.

In 2010 this complicated structure was judged by the Gambling Commission
Gambling Commission
The Gambling Commission is Great Britain's regulatory body for most, but not all, gambling.-History:It was established under the Gambling Act 2005 and assumed full powers in 2007, taking over responsibility from the Gaming Board for Great Britain, in regulating arcades, betting, bingo, casinos,...

regulatory panel to be "close to the line in respect of section 99 of the [Gambling] Act" and that while the structure was "capable of being compliant with the Act" it was "finely balanced". Concern was expressed that the individual lotteries were not to be combined into one de facto national lottery, as to do so would be a breach of the Act.

External links

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