Government publishes voluntary code of good practice for prize draw operators

The Department for Culture, Media and Sport has published updated guidance setting out a Voluntary Code of Good Practice for Prize Draw Operators, aimed at improving consumer protection and transparency in the prize draw sector.

The code applies to operators running prize draws that include both paid entry and a free entry route. These draws are not regulated under gambling legislation provided the free entry route meets legal requirements.

According to the Government, prize draws attract an estimated 7.4 million adult participants each year in Great Britain and generate around £1.3 billion in annual turnover.

The code is voluntary and does not replace existing legal obligations under consumer protection, advertising, or data protection law. Operators choosing to adopt the code are expected to implement its measures within six months of signing up, and no later than 20 May 2026.

Key requirements

The guidance sets out expectations in three main areas:

Player protection

• Participation should be restricted to individuals aged 18 and over.

• Operators should introduce safeguards to limit excessive spending, including a monthly cap on credit card spend and restrictions on the use of credit cards for instant-win draws.

• Customers should be offered tools to set personal spending limits and to suspend their participation for a minimum period.

• Operators should monitor customer activity for indicators of harm and provide information on support services.

Transparency

• Operators should clearly explain how prize draws work, including how winners are selected by chance.

• The free entry route must be clearly signposted and accessible.

• Where possible, information about odds of winning should be provided.

• Prizes advertised must be awarded as described, or an equivalent cash alternative offered.

Accountability

• Operators should maintain internal processes to monitor compliance with the code.

• Measures taken to meet the code’s requirements should be publicly available.

• Operators are encouraged to cooperate with DCMS and other operators to support consistent standards across the sector.

The Government has stated that it will monitor uptake and implementation of the code. It has indicated that further action may be considered if the voluntary approach does not deliver improved standards of consumer protection.