FnF Competitions
Prize competition FAQs
Short answers to the questions people ask most about UK competitions, raffles and prize draws.
Are online prize competitions legal in the UK?
Yes, when they are set up correctly. A paid prize draw that relies wholly on chance is a lottery under section 14 of the Gambling Act 2005, which commercial firms cannot run. Competition sites avoid that by including a genuine skill element, a free entry route (usually by post), or both.
Is a prize competition the same as gambling?
Not in law. Section 339 of the Gambling Act 2005 says taking part in a prize competition or a genuine free draw is not gambling for the purposes of the Act, so the Gambling Commission does not license competition sites. They still have to follow consumer, advertising and data protection law.
How do I work out my odds of winning?
Divide the number of tickets you hold by the maximum number of entries. Ten tickets in a draw capped at 5,000 entries is a 10 in 5,000 (1 in 500) chance if it sells out. If it is drawn without selling out, your chance is better because fewer tickets are in the draw.
What is the free postal entry route?
It is a way to enter without buying a ticket, usually by sending your details and the answer to the skill question on a postcard or letter to the address in the terms. Free entries should go into the same draw with the same chance as paid ones.
Do I pay tax on a competition prize?
Generally no. In the UK, prizes won by individuals from competitions, raffles and draws are not taxed as income, and winnings are not a chargeable gain. Interest earned on a cash prize afterwards is taxable in the usual way, and prizes connected to your job can be taxable.
How do I know a competition site is genuine?
Look for a named, registered company you can check on Companies House, the maximum number of entries on every competition, an easy free entry route, a live or independently verified random draw, published winners and card payments through a known provider. Our 12-point checklist covers the rest.
What happens if a competition does not sell out?
It depends on the terms. Some draw anyway, some extend the closing date and some award a cash alternative or a smaller prize. Read this clause before you buy, especially for very large prizes such as houses.
Does FnF Competitions run any competitions?
No. We are an independent guide. We do not sell tickets, hold draws or award prizes, and we are not connected to any business that previously traded under this name.
Did not find your answer? Browse all guides or email us.