Irish National Lottery Calls for Ban on Bookmaker Bets on Lottery Draws

(AsiaGameHub) –   Premier Lotteries Ireland (PLI) asserts that a regulatory loophole exists between the Irish National Lottery and licensed bookmakers, as bookmakers currently offer wagers on lottery draw outcomes.

The FDJ United-owned operator is calling on the government to prohibit bookmakers from accepting bets on lottery draws, arguing that this practice siphons off potential sales and funding from the official lottery.

Irish lottery cites €289m in lost revenue

PLI presented its arguments to the Department of Public Expenditure and Reform (DPER) via its newly published ‘Socio-Economic Impact Assessment of the National Lottery’.

The report features a full section exploring the impact of lottery betting on the official lottery’s revenue and the funds it allocates to good causes. In this section, PLI states that €289m (£250m) in National Lottery sales were lost in 2024 alone, as a direct result of lottery betting services offered by licensed bookmakers.

PLI’s calls for policy adjustments are the latest appeals submitted to the Irish government, coming just two years after the Gambling Regulation Act was signed into law, which established a new regulatory body for the betting and gaming sector: the Gambling Regulatory Authority of Ireland (GRAI).

“A large number of participants take part for the chance to win a prize in an enjoyable, regulated environment, while contributing to extremely worthwhile causes,” said Cian Murphy, Chief Executive Officer of the National Lottery.

“The National Lottery plays a critical role in funding Good Causes, supporting thousands of jobs, and driving economic activity in communities across the country. 

“Lottery betting offered by bookmakers poses a very tangible threat to this entire ecosystem, reducing the funds available for local sports clubs, youth centres, arts programmes, and community services.”

PLI reports €81m drop in Irish good cause returns

Unsurprisingly, PLI’s report has focused heavily on how lottery betting impacts returns to good causes – a core mandate of the Irish National Lottery and its 10-year operating contract, as is standard for all state-backed lotteries.

The report, compiled by Indecon International Economic and Strategic Consultants, estimates that roughly €81m in good causes donations were lost due to lottery betting in 2024, with an average annual loss of €63m recorded between 2021 and 2024.

This calculation is based on the estimate that around 28% of National Lottery sales income was allocated to good causes in 2024 – €239.3m out of total sales of €853m. PLI and Indecon applied this 28% ratio to the total estimated value of lost lottery sales, which stands at €289.7m.

“The charity and voluntary sector relies heavily on consistent annual funding to sustain and expand its services,” said Aine Myler, CEO of Charities Institute Ireland (CII).

“The National Lottery Good Causes Fund serves as a critical source of support for a wide range of organisations operating across the sports, arts, heritage, youth, community, and health sectors.

“CII has submitted multiple representations to the government calling for this policy change to be implemented, so we now urge the Minister once again to address this issue. There is a clear public policy justification for measures that protect National Lottery funding and the communities that depend on it.”

PLI presents macro-economic arguments for the ban

PLI’s Murphy added that the operator considers it has a ‘responsibility to safeguard the National Lottery’s long-term value’, including shielding it from revenue losses to betting operators.

“Given the scale of these impacts, we have no choice but to request appropriate action from the Government on this issue, in the interest of preserving current Good Causes funding levels, protecting players, and ensuring that the National Lottery, as a State asset, remains an attractive investment that delivers tangible returns for the State when its licence comes up for renewal in eight years’ time.”

The firm has built its case not just on the impact to its own revenues and good causes returns, but also on what it describes as wider knock-on economic impacts. It estimates that retailers lost £12m in commission in 2024, as part of a total $132m loss across broader related retail sales.

This impact extends to employment, with PLI estimating that “1,219 fewer jobs are sustained due to the presence of lottery betting”. This in turn creates further broader economic costs for the Irish state, including a €5m loss in exchequer revenue according to PLI’s calculations.

Tara Buckley, Director General of the Retail Grocery Dairy and Allied Trades Association (RGDATA), said: “Retailers see first-hand the tangible difference that Good Causes funding makes to clubs and organisations, most of which are volunteer-led, in their local areas.

“It is critical that the government acts now to safeguard Good Causes funding and prevent the National Lottery from being increasingly undermined by lottery betting. Ireland should no longer be an outlier in Europe and move immediately to ban lottery betting.”

PLI is not alone in pushing for the policy change

As referenced by RGDATA’s Buckley, the appeal submitted to the Irish government by PLI and its charity and retail sector partners is partially grounded in comparisons to regulatory frameworks in other European nations.

The three groups noted that 25 out of 27 European Union member states, as well as the UK, draw a clear regulatory distinction between national lottery services and betting and casino operators.

In the UK, for instance, operators are prohibited from offering bets on domestic National Lottery draws – though they are permitted to take wagers on Irish and Spanish lottery draws via many high street and online bookmakers such as Paddy Power, Betfred and Coral, to name just a few examples.

Back in Ireland, PLI’s request to the government highlights that multiple quarters remain dissatisfied with Ireland’s new regulatory framework. Gambling reform advocates, such as the Labour Party for example, are pushing for additional changes focused specifically on advertising regulations.

As the Irish betting sector faces similar challenges to other global markets – including an ongoing decline in retail betting activity, with the key exception of taxation rules – Irish bookmakers are likely to lobby back against calls to end lottery betting services.

SBC News has contacted the Irish Bookmakers’ Association (IBA) to request comment on the matter.