Free draws and fundraising


INSIGHT
Published
Jun 29th '21
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The Fundraising Regulator sets and maintains fundraising standards across the UK. The regulator ensures that fundraising is legal, open, honest and respectful.

 

The Code of Fundraising Practice (the code) outlines the standards expected of charitable fundraisers across the UK.

 

The Fundraising Regulator may make changes to the code in response to issues identified through their complaints handling process, communication with stakeholders or as part of the code review cycle.

 

Where a change to the code is required to reflect legislation, the Fundraising Regulator does not carry out a consultation before implementing the change. However, they may consult if potential changes come to light in other ways. You can read more about the consultation process here.

 

What change to the code has been made and why? 

The Fundraising Regulator will be making a minor change to the current wording of standard 12.6.2 to reflect more accurately the legislation which underpins the standard on hosting a free draw for charitable fundraising purposes.

 

Standard 12.6.2 will be amended on two key points to remain in-line with the Gambling Act legislation:

 

  • the inclusion of a letter by ordinary post (either first-class or second-class) as an acceptable free method of entry;
  • the revision of the current wording on acceptable selection criteria for the draw.

 

Standard 12.6.2 of the code currently states:  ‘To be a free draw the arrangement must either be completely ‘free’ to enter, as defined in the Gambling Act, or have a free method of entry, which must also be as accessible as and no less convenient than paying to enter. Anyone taking part using the free method must have the same chance of winning as they would if they paid to enter.’

 

Standards in the code where ‘must’ and ‘must not’ are in bold text indicate a standard based on a legal requirement (for example, a piece of law or case law).

 

The new wording of standard 12.6.2:  ‘To be a free draw the arrangement must either be completely free to enter or have a free method of entry. This free method of entry must either be a letter sent by ordinary post (first-class or second-class post) or another method of communication that is no more expensive and no less convenient than the paid method. The system for allocating prizes must not distinguish between entries made through the free or the paid method of entry.’

 

Please note, this change to the wording will not require fundraisers to achieve a greater standard than was already set out in the code.

 

When will this change be made? 

The Fundraising Regulator implemented this change to the code as of 4 June 2021.

 

In the meantime, complaints made in connection to free draw fundraising will be handled in line with the new wording of the code as this reflects the law. If there is a difference between the code and the relevant legislation or regulations, fundraisers must follow the law rather than the code.

 

What if I have questions about the change to the code? 

If you have questions about the change the Fundraising Regulator are making to the code, or how it may affect your fundraising, you can contact us by email at enquiries@fundraisingregulator.org.uk.

 

Source: The Fundraising Regulator

 

Related: Promotional marketing: Free entry routes, Promotional marketing: Prize draws, Betting and gaming: Lotteries, and Tick the boxes with misleadingness checklist.

 

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