Compliance Note

UK frameworks relevant to
prize draws and selection

This page is a general information note for organisations considering selection campaigns under UK frameworks. It is not legal advice on any specific campaign. Final decisions on campaign mechanic, prize allocation, advertising, licensing, and consumer protection should always be confirmed by your own legal and compliance team or external counsel.

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Headline framework: the DCMS Voluntary Code

First published by the UK Department for Culture, Media and Sport on 20 November 2025 and last updated on GOV.UK on 23 February 2026, the Voluntary Code of Good Practice for Prize Draw Operators sets implementation expectations for signatories by 20 May 2026. The Code is voluntary and does not replace existing legislation, but it is now the most current statement of UK government expectation for the sector.

The Code organises into three sections: Player Protections, Transparency, and Accountability. Two clauses are particularly relevant to selection mechanics:

Clause 2.2 (Transparency): prizes should be awarded fairly under the supervision of an independent person, or by a computer process that produces "verifiably random and auditable results", or by a certified physical drawing machine. Entries via paid and free routes should have an equal chance of winning each prize.

Clause 3.4 (Accountability): operators should publish all of the measures they have in place with regards to player protections, transparency and accountability, ensuring their adherence with the Code is transparently displayed on their websites. This clause does not require a specific "evidence pack"; it creates a transparency expectation that operator-owned selection records can support.

Other relevant UK frameworks

CAP Code (Section 8 / 17)

The UK Code of Non-broadcast Advertising governs how prize promotions are advertised — including eligibility disclosure, closing dates, prize description, and free-entry route equivalence. Enforced by the Advertising Standards Authority. Compliance with the DCMS Voluntary Code does not automatically mean CAP Code compliance, and vice versa.

Gambling Act 2005

Defines the boundary between a "free draw" (no licence required, provided a genuine free entry route exists) and a "lottery" (licence required). Whether a campaign falls within the free-draw exemption depends on whether the free-entry route is genuinely as accessible as the paid route. Operators routinely take counsel on this classification.

Consumer Rights Act 2015 & CPRs 2008

Consumer protection law applies to prize promotions as it does to any consumer-facing transaction. The Consumer Protection from Unfair Trading Regulations 2008 prohibits misleading practices, including misleading promotion mechanics or prize claims. The DMCC Act 2024 strengthens consumer-protection enforcement.

UK GDPR & Data Protection Act 2018

Personal data collected during entry, eligibility checking, and winner notification falls within UK data protection law. Lawful basis, retention, transparency notices, and data subject rights all apply. The ICO is the enforcement authority.

Code of Fundraising Practice

For prize draws with a charitable contribution element, the Fundraising Regulator's Code of Fundraising Practice applies. Charitable claims and donation amounts attract additional disclosure expectations under the DCMS Voluntary Code clause 2.6.

Sector-specific rules

Some sectors have additional rules on what can be promoted and how — alcohol (Portman Group code), HFSS food and drink (advertising restrictions), gambling-adjacent promotions (Gambling Commission guidance). Sector overlay assessment is part of any campaign brief.

Where Verified Draw fits

It supports

  • Pre-draw rule definition and locking
  • Eligible-pool finalisation records
  • Exclusion-condition documentation
  • Execution-time logging
  • Result reconciliation between pre-draw rules and post-draw output
  • Evidence pack preparation, including redacted variants for internal review, partner review, or publication where appropriate

It does not replace

  • Legal opinion on any specific campaign
  • Gambling-licence assessment under the Gambling Act 2005
  • Advertising sign-off under the CAP Code
  • Regulatory representation or government correspondence
  • Solicitor work or other reserved legal services
  • Independent certification or attestation issued by an appointed third party, where the operator or counsel requires it

In practice, this means Verified Draw can sit beneath legal review or agency-led campaign support as the operational record layer. It helps preserve what happened; it does not certify that a campaign is legally compliant.

Pre-campaign checklist

A general operational checklist for organisations scoping a UK selection campaign. This is not a substitute for legal review.

Is there a paid entry route, a free entry route, both, or neither?

If both, are paid and free entry routes genuinely equivalent under the Gambling Act 2005?

Are eligibility conditions clear, with no ambiguity in published rules?

Are exclusion conditions defined before the campaign opens, not adjudicated case-by-case afterwards?

Is the winner count fixed and the draw mechanism specified in the published rules?

Do the published rules and the operating rules match?

Will the campaign produce records that can be reviewed afterwards?

If charitable contribution is claimed, is the donation methodology documented and disclosed?

Has UK GDPR compliance been addressed for entry, eligibility, exclusion, and winner notification?

Have legal counsel and (where relevant) a promotional compliance agency been engaged for legal review?

Important note

This page provides general reference information about UK frameworks relevant to prize draws and selection campaigns. It does not constitute legal advice, regulatory guidance, or any assurance of compliance. Specific campaigns should be reviewed by qualified legal counsel familiar with the operator's circumstances and the specific facts of the campaign. Verified Draw provides operational records and evidence — it does not provide legal opinion.

Frequently asked questions

Is the DCMS Voluntary Code of Good Practice for Prize Draw Operators legally binding?

No. As the title indicates, the Code is voluntary. Existing UK consumer, advertising, gambling, data protection, and fundraising law continues to apply regardless of whether an operator has signed up to the Code. The Code is the most current statement of UK government expectation for the sector and signals where future regulatory attention may focus, but it is not itself legislation.

Does using Verified Draw mean my campaign is DCMS Code compliant?

No. Verified Draw is not a regulatory certification, does not assess Code compliance, and does not represent operators in any regulatory matter. Code compliance is determined by the operator and its advisers based on the totality of the campaign — entry mechanics, advertising, free-route accessibility, charitable disclosure, data handling, and accountability publication. Verified Draw produces operational records that may inform parts of that compliance position.

What's the difference between a free draw, a lottery, and a prize competition under UK law?

The Gambling Act 2005 sets the boundary, and the practical assessment is fact-specific. In broad terms, a free draw exists where there is a genuine free entry route as accessible as the paid route, and runs without a licence. A lottery requires payment to enter and typically requires a licence unless it falls within specific exempt categories. A prize competition requires skill or knowledge to win and is treated differently again. The classification of any specific campaign should be confirmed by qualified legal counsel, not inferred from a general note.

Can Verified Draw replace our promotional compliance agency or external counsel?

No. Verified Draw is a records-and-evidence layer for the selection process itself. It does not provide legal advice, advertising sign-off, T&Cs drafting, gambling-licence assessment, or independent third-party attestation. Operators routinely use Verified Draw alongside agency services and external counsel — not in place of them. The roles answer different questions.

How does Verified Draw approach UK GDPR for entrant data?

Data scope is limited to what is required to perform and evidence the selection — entrant identifiers, eligibility criteria, exclusion-relevant fields, and any tier or weighting information. Lawful basis, retention, transparency notices, and data subject rights remain the operator's responsibility under UK GDPR; Verified Draw operates within the scope agreed during engagement design. The principle is operational records, not data accumulation. Detailed data handling terms are documented at the start of each engagement.

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