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Operator fee could cripple charity lotteries, TLC warns 26/02/07
 
Midlands-based charity lottery TLC is challenging legislation that it fears will introduce excessive operator fees, putting charity lotteries on a par with major gambling institutions such as bingo halls and casinos.

TLC has asked its player to write to their local MP to campaign for an amendment to the law, which will require the lotteries to pay a fee to the Gambling Commission when it becomes self-funding in September this year. The fee is intended to cover the Commission’s monitoring costs.

The operator fee has been calculated to cover costs for credit card transactions, which for lotteries like TLC counts for only a small percentage of players.

Colin Barrett, TLC Lottery manager, said the new fee would have to be paid on top of an existing annual licence fee, and would be “tantamount to raising the donation tin” that supports the lottery’s beneficiaries.

“A charity lottery is not a commercial enterprise; it is an important means of raising funds for charity,” Barrett said. “We understand the need for us to contribute to the self-funded Gambling Commission. All we ask is for a distinction to be made between commercial gambling enterprises and charity lotteries.”

Barrett has recommended the re-introduction of an earlier proposal, asking charity lotteries to pay just £200 for an ancillary licence in place of the operator fee.

 
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