Have you ever entered a competition to win a big house, new car, holiday or prize that you have always wanted? If so, you could have been one of the estimated 7.4 million adults in the UK (14% of the adult population) who have participated in a prize draw or competition in a twelve month period according to a recent government report.
At the Women’s Pathway, we are interested in prize draws and competitions as this report highlights that women are more likely than men to have participated in them, with 16% of women entering draws and competitions compared to 12% of men.
Are prize draws and competitions really gambling?
Prize draws may seem similar to gambling, as you take a risk by paying money to enter something that you may or may not win. However, prize draws and competitions are currently classified differently since there is either a free entry option or there might be a skill element such as answering a question to enter.
This allows prize draws and competitions to sit outside of typical gambling regulations, which means some of the safety measures that people use such as banking blocks and setting spending limits may not be available.
The report states:
“The proportion of operators with safer gambling measures in place is relatively low, with just 7% of operator websites found to have links to gambling charity websites, 17% self-exclusion mechanisms and 7% reminders to play responsibly”.
It highlights that on average less than 6% of entries are being done for free, which suggests that many people are using them in the same way as traditional gambling activities. The other entry methods might be something such as Spot the Ball, or to answer a question that can be easily looked up online, taking away that skill element.
Can prize draws and competitions be harmful?
Many prize draws entice us to play more by offering instant win prizes when you enter to win a big prize. The report highlights that instant-win games “can be more addictive to consumers and pose heightened risks of gambling harm”.
There are many competitions where entry is free provided you buy the product. Whilst this might seem like just a bonus, these offers may drive people to buy that product more or even buy them when they are not really needed or wanted.
Using a tool called the Problem Gambling Severity Index (PGSI), the report found that 12% of those using prize draws and competitions were in the PGSI 8+ category indicating that they were experiencing ‘problem gambling’, which is concerning.
As this expanding sector is considered different to gambling, it does not need to follow gambling regulations around player protection or identify customers who may have gambling-related harms.
At times there may be no age restrictions or adequate age verification to protect young people engaging in them. Whilst the report highlights that entering prize draws and competitions alone may not cause harmful gambling, often it is done along with traditional forms of gambling and can contribute to those harms.
Prize draws and competitions were included in the Annual GB Treatment and Support Survey 2024 for the first time in 2024. It found that “among people who gamble, one in three (33%) had participated in a prize draw in the past year, which rose to two in three (67%) among those experiencing ‘problem gambling’ (PGSI 8+)”. This shows that people already experiencing more serious gambling harm are much more likely to take part in prize draws and competitions.
What can I do if I am worried about my use of prize draws or competitions?
If you find that these prize draws and competitions, or gambling in general, negatively affect you or someone you care about, then we can help at GamCare.
Here are some questions you can ask yourself:
- Do you find it difficult to step away from activities that are gambling or similar to gambling such as prize draws, competitions, online games, giveaways, crypto investment, or betting?
- Are you withdrawing from social or professional situations, so that you can gamble or take part in activities like prize draws and competitions? You may find yourself gambling on your phone at work or being distracted when spending time with loved ones?
- Does gambling or doing the previously mentioned activities provide you with an escape from or a way to cope with the stress of everyday life?
If you feel the answer to any of these questions is yes, or if you think they apply to someone close to you, you may benefit from talking to us at GamCare. You can call our National Gambling Helpline on 0808 8020 133 for free and confidential advice.
The post Beyond the prize: taking a closer look at draws and competitions appeared first on GamCare.
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