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Media group launches commercial lottery Media group launches commercial lottery
(about 1 hour later)
  
A new commercial lottery says it aims to raise £50m a year to tackle health inequalities in Britain.A new commercial lottery says it aims to raise £50m a year to tackle health inequalities in Britain.
The Health Lottery, run by Northern & Shell media company which owns Express newspapers and Channel 5, will offer a £100,000 top prize.The Health Lottery, run by Northern & Shell media company which owns Express newspapers and Channel 5, will offer a £100,000 top prize.
It will donate 20.34p per £1 ticket to charity, compared with 28p for every National Lottery ticket.It will donate 20.34p per £1 ticket to charity, compared with 28p for every National Lottery ticket.
The charitable donation has been described as a "pretty disgraceful development" by a charity chief.The charitable donation has been described as a "pretty disgraceful development" by a charity chief.
Health Lottery chief executive Martin Hall said the game would ultimately pay out a greater proportion of income in prizes than the National Lottery does.Health Lottery chief executive Martin Hall said the game would ultimately pay out a greater proportion of income in prizes than the National Lottery does.
But Sir Stephen Bubb, of the Association of Chief Executives of Voluntary Organisations, said Northern & Shell owner Richard Desmond was "profiteering on the back of charities".But Sir Stephen Bubb, of the Association of Chief Executives of Voluntary Organisations, said Northern & Shell owner Richard Desmond was "profiteering on the back of charities".
"The National Lottery gives 28p, if he cares about health charities he should match that figure or he should close it down," he told the BBC."The National Lottery gives 28p, if he cares about health charities he should match that figure or he should close it down," he told the BBC.
"I suspect this is more about making profits for this new venture than it is to give money to health charities.""I suspect this is more about making profits for this new venture than it is to give money to health charities."
He said ticket sales for the National Lottery would fall and charities generally would get less money if Mr Desmond's new lottery competed with it.He said ticket sales for the National Lottery would fall and charities generally would get less money if Mr Desmond's new lottery competed with it.
'Real impacts''Real impacts'
The Health Lottery has been set up to oversee 51 href="http://www.gamblingcommission.gov.uk/licensing_authorities/information_about_licensing_au/small_society_lotteries.aspx" >society lotteries, each representing an different area across the country. The Health Lottery has been set up to oversee 51 href="http://www.gamblingcommission.gov.uk/gambling_sectors/lotteries/about_the_lottery_industry/about_lotteries/society_lotteries.aspx" >society lotteries, each representing an different area across the country.
It expects that £50m will be donated to health-related causes, based on projected annual ticket sales of £250m.It expects that £50m will be donated to health-related causes, based on projected annual ticket sales of £250m.
Donations could include money to cover respite care and counselling for young carers and specialist nurses for conditions such as Alzheimer's disease but the aim is not to subsidise or finance NHS projects.Donations could include money to cover respite care and counselling for young carers and specialist nurses for conditions such as Alzheimer's disease but the aim is not to subsidise or finance NHS projects.
The money raised by the Health Lottery will be distributed by the People's Health Trust.The money raised by the Health Lottery will be distributed by the People's Health Trust.
John Hume, chief executive of the People's Health Trust, said: "We will be working directly with communities to identify practical and sustainable ways in which funding from the Health Lottery can have real impacts on health and well-being in communities experiencing significant disadvantages."John Hume, chief executive of the People's Health Trust, said: "We will be working directly with communities to identify practical and sustainable ways in which funding from the Health Lottery can have real impacts on health and well-being in communities experiencing significant disadvantages."
Tickets will go on sale on Thursday, backed by a £20m publicity campaign. The draw will be presented by Eamonn Holmes and shown in adverts on Saturday evenings on ITV 1 and Channel 5.Tickets will go on sale on Thursday, backed by a £20m publicity campaign. The draw will be presented by Eamonn Holmes and shown in adverts on Saturday evenings on ITV 1 and Channel 5.
Five matching numbers will win players £100,000, four matching numbers wins £500, while three will collect £50.Five matching numbers will win players £100,000, four matching numbers wins £500, while three will collect £50.
More than 40,000 retailers have signed up to sell tickets, which is believed to be about 12,000 more than the National Lottery has.More than 40,000 retailers have signed up to sell tickets, which is believed to be about 12,000 more than the National Lottery has.
Northern & Shell is understood to have spent about £30m in set up costs.Northern & Shell is understood to have spent about £30m in set up costs.
The company has not disclosed how much profit it eventually envisages to make from the Health Lottery.The company has not disclosed how much profit it eventually envisages to make from the Health Lottery.
Camelot, which runs the National Lottery under licence, is allowed to make a 0.5% profit on each ticket sold.Camelot, which runs the National Lottery under licence, is allowed to make a 0.5% profit on each ticket sold.