In just one month of operation the lottery has already eaten through the majority of the £15 million raised for its launch. Shares in the company have plummeted and chair Tim Holley, former chief executive of Camelot, is rumoured to be facing the axe.

Chariot admitted: “These levels of ticket sales have fallen short of the board’s expectations. The income generated has been significantly less than projected and cannot sustain the company’s original business plan.”

It intends to implement a new business plan involving a “significant reduction” in overheads.

Charities benefiting from the Monday lottery have so far received £520,000, less than the sum already paid to Holley and two other Chariot directors.

The funding shortfall follows an embarrassing opening to the Monday lottery, when high demand for the online ticketing service at launch caused a system failure pushing back the first draw by four hours.