Reffle blog cover: Do you need a licence to run a raffle website?

Do you need a licence to run a raffle website in the UK?

October 27, 2026•4 min read

Usually, no. If your raffle website is set up as a prize draw with a proper free entry route, or as a prize competition that needs real skill, it isn't a lottery in law, so you don't need a licence from the Gambling Commission. You do need one, or a local authority registration, if what you're running is actually a lottery.

The short version
  • Paid entry plus winners picked by chance alone is a lottery, and a business can't run one.
  • A free way to enter that's just as easy and gives the same chance takes a draw outside the lottery rules, so no gambling licence is needed.
  • Lotteries for good causes need a Gambling Commission licence or local authority registration, depending on their size.
  • A legal opinion letter and Meta's approval to advertise are often called licences. Neither of them is.

Why most raffle websites don't need a gambling licence

The Gambling Act 2005 says an arrangement is a lottery if people have to pay to take part and prizes are given out wholly by chance. It doesn't matter what you call it. Lotteries are only allowed in specific forms, and none of them lets a business run one for its own profit.

UK raffle sites deal with this by removing one of those two ingredients:

  • Prize draws with a free entry route. Players can enter for free, usually by post, and the free route is just as easy and gives the same chance as buying a ticket. Under Schedule 2 of the Act, the draw then doesn't count as requiring payment.
  • Prize competitions. Winning depends on real skill, judgement or knowledge. An easy question that nearly everyone gets right is treated as chance.

Because neither is a lottery, there's no gambling licence to apply for. We go through both routes in our guide: are online raffles legal in the UK?

When you would need a licence or registration

You'd be running a lottery if people pay to enter, winners are picked by chance and there's no proper free route. That's only allowed in particular cases, for example:

  • Society lotteries run for good causes such as charities and sports clubs. Smaller ones register with their local authority, and larger ones need an operating licence from the Gambling Commission.
  • Exempt lotteries, such as a raffle at a school fair or a works social, with strict limits on how they're run and what can be spent on prizes.
  • The National Lottery, which has its own licence.

None of these are a way to run a raffle business. If you want to raise money for a charity through raffles, get advice before you start, as the rules are different.

Things that get called a licence but aren't

A legal opinion letter

A legal opinion is a letter from a solicitor explaining why your raffles are set up properly and aren't an illegal lottery. Banks, payment providers and Meta often ask to see one. It's a valuable document, but it isn't a licence or a certificate. More in our guide to legal opinion letters.

Meta's approval to advertise

Facebook and Instagram ask sites that run paid-entry prize draws to apply for permission before they advertise. People often call this an "RMG licence", but it's an approval from Meta, not a licence from any regulator. See how to get approved to advertise on Facebook and Instagram.

Signing the DCMS Code

The government's Voluntary Code of Good Practice for Prize Draw Operators, published in November 2025, sets standards on age checks, spending controls and transparency. Signing it isn't a licence either, but it shows players and partners you run things properly. See our DCMS Code checklist.

What you do need to run a raffle website

  • A company, usually a limited company, and a business bank account that accepts raffle businesses
  • A payment provider that supports raffle sites, as many mainstream ones don't
  • A free entry route on every raffle, publicised as clearly as the paid route
  • Clear terms and conditions, and pages on complaints, player protection and how draws work
  • Age checks, so only over-18s can play
  • Registration with the ICO, as you'll be handling personal data
  • Approval from Meta and other platforms if you want to run paid ads

How Reffle helps

We set all of this up with you. Every Reffle site comes with a legal opinion letter from our solicitor, proper terms and conditions and the compliance pages the DCMS Code asks for, with the free entry route built into every raffle. We also help you get your company, bank account and Reffle Pay set up, and get approved to advertise.

Want to see how it works? Book a free demo.

Questions people ask

Do I need to register with the Gambling Commission to run a raffle site?

Not if your raffles are set up as prize draws with a proper free entry route, or as real skill competitions. They're not lotteries, so they're outside the Commission's licensing.

Can I sell raffle tickets in a Facebook group?

If people pay to enter, winners are picked by chance and there's no proper free entry route, that's a lottery, and running one for profit isn't allowed. Moving to a properly set up raffle website fixes this.

Does Northern Ireland work the same way?

No. Northern Ireland has its own gambling law, so take advice if you're based there or targeting players there.

This guide is general information, not legal advice. Sources: Gambling Act 2005, section 14 and Schedule 2 (legislation.gov.uk); DCMS Voluntary Code of Good Practice for Prize Draw Operators (gov.uk). Last checked October 2026.

Anton Hilton

Anton Hilton

The Raffle King

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