Lottery License (or Lottery Scheme License)
Lottery Licence (or Lottery Scheme Licence)
A lottery licence is needed to operate a charitable lottery in Prince Edward Island.
On this page:
- What is a charitable lottery?
- What laws govern charitable lotteries?
- Changes under the new Act
- Automatic Transition of Licences
- New Application Forms
- Who is eligible for a lottery licence?
- What is considered a charitable or religious organization?
- What is considered a charitable or religious object or purpose?
- Lotteries for $5,000 or less
- Lotteries over $5,000 or Series Events
- Lottery Requirements - Applicant’s Responsibility
- Rules of Play
- Prizes
- Prize Restrictions
- Awarding Prizes
- Information to be provided to a player
- Use of Electronic Raffle Systems or Online Components
- Age Restriction
- Advertising Restrictions
- Licence Period
- Ticket Sales in PEI
- Changes or Amendments
- Proceeds
- Records
- Financial reports
- Fees
- Revocation
- Complaints
- Who can I contact for more information?
What is a charitable lottery?
A charitable lottery (also known as lottery scheme) is a fundraising activity or event where participants buy tickets or pay an entry fee, for a chance to win a prize, and the proceeds are used for charitable or religious purposes. Examples include bingos, 50/50 draws, Chase the Ace, Goldrush, Raffles/Cash Lotteries, and Casino Night events operated by licensed non-profit organizations.
What laws govern charitable lotteries?
Charitable lotteries are governed by the federal Criminal Code and legislation in each province. Effective June 30, 2026, the Charitable Lotteries Act (the “Act”) and the Charitable Lotteries Regulations (the “Regulations”), will replace the Lottery Schemes Order as the applicable Prince Edward Island legislation. Pursuant to these laws, it is illegal to conduct a charitable lottery in the province without a lottery licence issued under the Act.
Changes under the new Act
The Act replaces the Lottery Schemes Order with an updated regulatory framework for charitable lotteries. Key changes include:
- Modernizing regulatory requirements for charitable lotteries to align with other provinces;
- Clarifying and confirming the applicable terms and conditions for charitable lotteries;
- Establishing the minimum age of play of 19 to align with the provincial gambling age; and
- Establishing minimum technical standards for electronic raffle systems.
There are no changes to existing fees.
Automatic Transition of Licences
Existing licensees do not need to take any additional steps. The Act deems existing licenses issued under the Lottery Schemes Order to be licences issued under the Act.
New Application Forms
The licensing process under the Act will remain similar to the current process, but updated application forms will be available for new lotteries beginning in July. The updated forms will be available on the Government website and at Access PEI locations.
Who is eligible for a lottery licence?
To be eligible for a licence, an applicant must meet the following criteria:
- The applicant must be a charitable or religious organization; and
- The lottery proceeds must be used for a charitable or religious object or purpose.
For-profit businesses, government and individuals are not eligible for a licence.
What is considered a charitable or religious organization?
A charitable or religious organization is a non-profit organization that performs services in furtherance of charitable or religious objects or purposes. Examples include a registered charity, an incorporated non-profit company or co-operative, or an unincorporated association or group that is formed for a charitable or religious object or purpose.
What is considered a charitable or religious object or purpose?
A charitable or religious object or purpose means an object or purpose for:
- the relief of poverty of consequences of poverty,
- education services, including the advancement of literacy,
- the advancement of religious or societal values, or
- some other purpose that is beneficial to the community.
Examples include:
Poverty Relief
- Food banks, shelters or other groups who provide poverty relief programs or services to disadvantaged people.
Education or Literacy
- K-12 schools, University/College, school committees, safe grad committees, parent teacher associations, scholarship or bursary funds, community service organizations or other groups providing aid for education or literacy programs or services.
Advancement of Religion
- Churches, parishes, congregations, mosques, synagogues, temples, missionary organizations and lay groups involved in furthering religious principles or objectives.
Other Community Benefit
- Youth sport organizations and associations;
- Amateur sport and athletics organizations;
- Organizations that provide programs to assist youth, seniors, or people with disabilities;
- Community service foundations;
- Community benefit groups;
- Recreation or community use facilities;
- Healthcare foundations and hospitals;
- Organizations that support medical research or medical treatment programs;
- Organizations that provide health and wellness programs or mental health services;
- Organizations that provide public safety services, such as fire departments, first responders or disaster relief groups;
- Public museums;
- Historical organizations;
- Libraries;
- Public galleries;
- Arts organizations (i.e., theatre, music, dance, visual arts);
- Cultural or ethnic organizations;
- Heritage associations;
- Community fairs/festivals;
- Environment/nature conservation organizations;
- Organizations that provide trail/outdoor recreation maintenance;
- Animal shelters.
Other non-profit organizations or community groups may also be eligible if they meet the licensing requirements and are raising funds for a purpose that is beneficial to the community.
Lotteries for $5,000 or less
If an applicant wishes to conduct a lottery with prize value(s) of $5,000 or less, the applicant can fill out the one-page application form at any Access PEI location. The licence can then be issued directly at the counter. Alternatively, the applicant can send the completed application form to Financial and Consumer Services (contact information below) and the licence will be issued as soon as possible (generally within two weeks).
Lotteries over $5,000 or Series Events
If the applicant wishes to conduct a lottery with prize value(s) over $5,000 or a series event, the applicant can fill out the three-page application form and send to Financial and Consumer Services (contact information below) at least two weeks before the start of ticket sales for the event. When the application is submitted, it will be reviewed by staff and, if everything is in order and the fee paid, the licence will be issued as soon as possible (generally within two weeks).
Lottery Requirements - Applicant’s Responsibility
The applicant is responsible for ensuring the lottery is conducted and managed in accordance with the manner described in the application as approved. The applicant must also comply with the Act, the Regulations and any terms and conditions imposed by the Registrar. For reference purposes, key requirements are outlined below.
Rules of Play
The applicant must include proposed rules of play with the licence application and ensure that the lottery is played in accordance with the rules of play.
Prizes
An applicant must also include a list of prizes, with values, in the licence application before prizes can be advertised or awarded.
Prize Restrictions
The following items are not permitted as prizes:
Exception: Gifts cards for alcohol or cannabis products from the P.E.I. Liquor Control Commission or P.E.I. Cannabis Management Corporation are permitted.
Awarding Prizes
All prizes must be award as advertised and approved.
Information to be provided to a player
On request, the licensee must provide a player with a description of the lottery, the rules of play and the total value of the prizes.
Use of Electronic Raffle Systems or Online Components
The Criminal Code prohibits charitable lotteries from operating on or through a computer, video device, slot machine or a dice game, except where a computer is used for the sale of a ticket, selection of a winner or the distribution of a prize in a raffle, including a 50/50.
As a result, if an applicant intends to use electronic raffle system or other online component (such as the Internet), to sell tickets, select a winner or distribute a prize, the applicant must disclose the intended use in the licence application and obtain approval from the Registrar.
For purposes of the licence application, there are 2 general categories of online or electronic components:
- Electronic Raffle Systems (ERS); and
- Other Online Components (Non-ERS)
Electronic Raffle Systems
An electronic raffle system includes
- online software, platforms or solutions provided by an approved supplier;
- certified in-venue handheld ticket sale devices; and
- approved random number generator devices or systems.
If an applicant plans to use an electronic raffle system, the applicant must include the following with the licence application:
- the name of the supplier, which must be registered with the Director of Corporations to do business in the province;
- a copy of the contract or agreement between the supplier and the applicant;
- evidence satisfactory to the Registrar that the electronic raffle system has been certified using recognized standards (i.e., GLI-31: Electronic Raffle Systems). For information about ERS certification please contact lotteries@gov.pe.ca.
Other Online Components (Non-ERS)
If the applicant plans to use an online component that is not an electronic raffle system, the applicant must include the following with the licence application:
- the Internet website address;
- details of the planned use, including the name of any applicable third-party (i.e., payment portal, website consultant, etc.); and
- a copy of the contract or agreement between the applicant and any third party (if applicable).
Examples of online components which may be approved include:
Live Streaming
A licensee may live stream a licensed lottery event using a virtual platform that is made available to the public via an electronic platform or social media website approved by the Registrar. The licensee is responsible for ensuring the platform being utilized permits live streaming of lottery events within their terms and conditions of use. When using a virtual platform, access must be unrestricted and made available for any member of the public to view live. A licensee must also ensure:
- the event is live streamed in real time and not prerecorded;
- a recording of the live stream is retained as part of their records; and
- in the case of bingo, approved bingo paper is used by the participant.
Sales via the Internet
A licensee may use a payment portal for sale of an entry into a raffle where the transactions are processed in real time, and the purchaser is provided with a receipt only. Internet websites may be used to sell tickets if:
- the website is used only to accept payments but does not generate a ticket;
- the location of the purchaser at the time of the transaction is confirmed to be within Prince Edward Island; and
- a ticket is generated manually by the licensee and mailed, emailed or picked up by the purchaser;
Use of a payment portal should only be used as an online point of sale system. Automated components outside of accepting payment and providing a transaction receipt are not permitted. If the licensee accepts electronic payments, the payment system processing online sales must meet recognized standards.
Online Ordering
A licensee may use online ordering for participants to order tickets for a raffle without payment integration if:
- payment information is collected online but purchase transactions are processed manually by the licensee using an in-house point of sale system;
- the location of the purchaser at the time of the transaction is confirmed to be within Prince Edward Island; and
- a ticket is generated manually by the licensee and mailed, emailed or picked up by the purchaser.
Automated components outside of accepting order information and providing confirmation of the order are not permitted (unless approved as an electronic raffle system).
Scanning and Emailing of Entries
A licensee may be permitted to scan and email a copy of a ticket to a purchaser where the ticket has been manually generated and sent by the licensee.
Electronic Fund Transfers
A licensee may use electronic fund transfers for ticket entries or bingo cards and payment of cash prizes. Where an electronic fund transfer is utilized, payments must be confirmed before the lottery event commences. Licensees must also ensure transaction reports are retained as part of their records.
Radio or Television Bingo
An approved bingo licensee may use radio or television in conjunction with a live bingo where the use of radio or television is conducted in accordance with the purposes approved by the Registrar in the licence application.
Age Restriction
The licensee must not allow any person under 19 years of age to participate as a player in a charitable lottery.
Advertising Restrictions
The licensee must not use advertising materials that, in the opinion of the Registrar, are inconsistent with the Act or Regulations. At a minimum, advertising must not
- Imply the lottery promotes or is required for social acceptable, personal or financial success or the resolution of any economic, social or personal problems,
- Contain endorsements by well-known persons that suggest playing a lottery contributed to their success, or
- Compare playing the lottery to other forms of gaming in Prince Edward Island.
Advertisements must also state the licence number for the lottery.
On request, the licensee must provide the Registrar with samples of any advertising materials to be used in connection with the lottery.
Licence Period
The maximum licence period is one year.
Ticket Sales in PEI
All lottery tickets must be sold on PEI. To sell tickets in another jurisdiction, an organization would need to obtain a lottery licence in that jurisdiction and meet legal requirements under the Criminal Code, which include provinces entering into an agreement.
Changes or Amendments
Any changes to a lottery must be disclosed to and approved by the Registrar. This includes any changes to the draw date, prize value or number of tickets sold.
Proceeds
Proceeds of lotteries must only be spent on the purposes approved in the licence application. Proceeds must also be kept separate from all other funds with separate records maintained.
Records
Licensees must retain records and documents that relate to the conduct and management of the lottery, including receipts verifying expenses and the use of proceeds, for a period of three (3) years after the expiration of the licence. The Registrar may require a licensee to make records available on request. The Registrar may also require an audit by an independent auditor in respect of any licence.
Financial reports
Licensees conducting lotteries over $5,000 or series events must submit financial reports detailing revenues, prizes and other expenses within 30 days after the date of the lottery event, and, where applicable, for series events. Depending on the type of game, additional reporting may also be required. For example, Chase the Ace and Goldrush draws generally need to submit weekly reports. For information about the form of financial reports please contact lotteries@gov.pe.ca.
Fees
Charitable lottery licence fees are as follows:
- For lotteries, other than bingo, with a total retail prize value of $5,000 or less, there is no fee.
- For lotteries, other than bingo, with a total retail prize value over $5,000 the fee is $25, due upon application.
- For series event bingos where the total value of prizes offered is above $250 but less than $45,000, and gross bingo receipts are less than $100,000, the fee is $25.
- For series event bingos where the total value of prizes offered is above $45,000 and gross bingo receipts are above $100,000, the fee is $2% of the value of the prizes offered.
Cheques must be made payable to the Minister of Finance.
Unless otherwise approved by the Registrar, the fee is payable when the applicant submits the licence application.
Revocation
A lottery licence may be revoked if the licensee fails to comply with the Act, the Regulations, or any term or condition imposed on the licence.
Complaints
For information about complaints please see Complaints - Financial and Consumer Services | Government of Prince Edward Island.
Who can I contact for more information?
Financial and Consumer Services Division
1st Floor, Shaw Building North
105 Rochford Street
PO Box 2000
Charlottetown, PE C1A 7N8
Phone: (902) 368-4550
Toll Free: 1-800-658-1799
Fax: (902) 368-5283
Email: lotteries@gov.pe.ca