The Department for Culture, Media and Sport’s call for evidence on National Lottery good-cause funding closes at midday on 23 September 2026. The review could influence how billions of pounds are distributed across the UK. It has not produced legislation, a final policy decision or an implementation date.

The process is still gathering evidence. No change to the National Lottery’s funding system or Allwyn’s licence has been announced.

Evidence stage, not a policy change

The Department for Culture, Media and Sport opened the 12-week process to gather views from individuals, organisations and communities. The document was updated on 19 August 2026. It says detailed policy proposals will follow after the evidence has been assessed.

The review is examining how funding reaches local and national projects. It is also assessing people’s experience of the application process and whether smaller organisations face unnecessary barriers. Views have been invited from every part of the UK, including the devolved nations.

Ministers have said the review will preserve the additionality principle. National Lottery funding should support activity that would be unlikely to receive government funding. It should not replace core spending, such as National Health Service clinical salaries or standard school budgets.

Why the review matters to gambling

The National Lottery is part of the UK gambling regulatory system. It is not covered by the same commercial licensing framework as ordinary betting and online casino businesses. The Gambling Commission regulates it under a separate statutory licence.

Allwyn Entertainment Ltd currently holds the licence to run the National Lottery. The Fourth Licence began on 1 February 2024 and runs until 31 January 2034.

The review is therefore relevant to both the regulator and the licence holder. Later policy changes could affect how returns to good causes are presented, distributed or measured. The call for evidence itself does not change Allwyn’s licence.

The funding at stake

The government says the National Lottery generated more than £8 billion in ticket-sales revenue in 2025. It says £1.7 billion was granted to good causes during that year. The figures refer to ticket sales and grants, not operator profit or general gambling revenue.

Under the current framework, funding is divided between arts and culture, sport, heritage, and charitable, health, education and environmental activity. Twelve distributing bodies make grants across the UK. They operate at arm’s length from ministers.

  • Arts and culture receive a statutory 20% share.
  • Sport receives a statutory 20% share.
  • Heritage receives a statutory 20% share.
  • Charitable, health, education and environmental activity receives 40%.

What happens after 23 September

The Department for Culture, Media and Sport will analyse the submissions and publish its response in due course. The government has not announced when detailed proposals will appear or when any new system could take effect.

For community groups, the key issue is whether future funding becomes more locally controlled and easier to access. For Allwyn and the Gambling Commission, the next stage will indicate whether ministers intend to change the wider distribution framework while keeping the existing licence and regulatory safeguards in place.