PUBLIC LOTTERIES: REPORT FOR 2005
INTRODUCTION
The Assistant Minister for Economic Development, in accordance with the provisions of Regulation 4(4) of the Gambling (Channel Islands Lottery) (Jersey) Regulations 1975, is pleased to submit to the States a report of the Public Lotteries promoted from 1st January 2005 up to and including the Draw of 20th December 2005, together with an income and expenditure account and balance sheet.
OVERSIGHT OF THE CHANNEL ISLANDS LOTTERY
Policy for the Lottery is decided by the Assistant Minister for Economic Development in Jersey and the Culture and Leisure Minister in Guernsey. During 2005, however, the Lottery was administered in Jersey by the former Economic Development Committee -
Deputy F.G. Voisin – President
Deputy L.J. Farnham – Vice-President
Senator L. Norman
Deputy P.J.D. Ryan
Deputy M.A. Taylor
PUBLIC LOTTERIES BOARD
The Public Lotteries Board is constituted in accordance with Regulation 3 of the Channel Islands Lottery (Jersey) Regulations 1975, as amended, for the purpose of advising the Minister on general matters connected with the Lotteries and for conducting the Draw held in Jersey. Its Members in 2005 were -
Mr. I.T. Barnes (Chairman)
Mr. P.S. Cruickshank
Mr. D.A. Wallis
Mr. G.J. Roscouet
Ms M. Horton
Mr. A.J. Arnold
Dr. J. Lane (Secretary)
The Board retains a vital function, providing continuity of experience to the new Assistant Minister as it did for the former Committee. The contribution of the Board is often overlooked, but without the individual contribution of its Members, the CI Lottery would not have been able to continue. Even with the goal of extension of the UK National Lottery now looking more likely, the position and value of the Board remains. Should the CI Lottery be discontinued and the National Lottery extended, it will be the Board, on behalf of the Assistant Minister, who will take responsibility for distribution of lottery funding to good causes within the Bailiwick.
THE POLICY OF THE FORMER COMMITTEE
While the Committee successfully brought a Report and Proposition to the States regarding the allocation of profits of the Channel Islands Lottery in 2004, it decided not to do so for 2005. This was no reflection upon the Association of Jersey Charities, the main beneficiary of lottery profits for the previous 5 years. Rather, it was felt that major decisions, such as the use of lottery profits, should be decided by the new Minister after the change to the machinery of Government. Accordingly the Assistant Minister for Economic Development will be bringing a Report and Proposition to the States in the near future to agree provision of the 2005 and 2006 profits.
The former Committee had a strong belief that the Islands should continue their own public lottery until there was a clear indication from both the States and Parliament that extension of the UK National Lottery was a realistic proposal.
To that end, the Committee’s strategy in 2005 was to -
WWW.GOV.JE
With the assistance of Andrew Jones, Strategic Development Officer of the Economic Development Department, the Lottery results for the Christmas Draw were made available through the States of Jersey Website.
THE ASSOCIATION OF JERSEY CHARITIES
Founded in 1971, the Association of Jersey Charities now represents approximately 200 Jersey charities. The former Committee continued to support their efforts for local charitable causes and recognised the importance of Channel Islands Lottery profits as the mainstay of the Association’s funding. As part of the drive to make States’ funding more accountable, the Committee introduced a Service Level Agreement to cover the administration and distribution of the States Grant.
Grants by the Association are ordinarily only available to its members from the second year of membership and are considered at each of its Quarterly Meetings. Applicants must first make formal written application describing the use to which the grant would be applied and then, at the meeting, have to give a short presentation and answer questions from the membership. No grant is made in excess of £20,000 to any member during the same financial year in order that the greatest possible number of charitable causes may benefit from the funding.
Not all applications are successful, however, as they undergo strict scrutiny. The relationship whereby the Committee is able to delegate awards to the Association, who are then able to assist its membership, works well. The grants approved in 2005 by the Association of Jersey Charities are listed below and well illustrate the very real benefits accrued by Lottery profits for the benefit of local good causes.
List of applications approved in 2005 (from the 2004 Grant)
Trinity Youth Centre Incorporated – for refurbishment
and equipment £11,465
Jersey Council on Alcoholism – for property repairs
and upgrading £20,000
Jersey Child Care Trust – for special needs inclusion
project £9,000
JSPCA – to start a welfare clinic £20,000
Arts in Health Care Trust – to provide art programmes
in residential care setting £8,000
Relate Jersey – for the purchase of books £500
Jersey Arts in Health Care Trust – to support their
programmes £12,000
Jersey Women’s Refuge – for part funding of an
outreach project worker £20,000
Jersey Cheshire Home – for creation of sterile laundry
and an isolation room £20,000
Headway Jersey – to fund a project of assessment £20,000
Band of the Island of Jersey – for new uniforms £20,000
Jersey Association of Carers Inc – to increase
opening hours £15,000
G.O.S.H. – to furnish the ‘Jersey Floor’ of the
hospital ‘Hotel’ £20,000
Community Charitable Trust – for upgrade of
computer, phone and purchase of a safe £1,770
Riding for the Disabled Jersey Group – for a second-hand
horse transporter £7,050
Eating Disorders Action Group – to fund seminars and
speakers £3,000
Jersey Victim Support Scheme – towards operational
costs for 2006 £20,000
Art in the Frame Foundation – for the installation of a
stair-lift £4,580
ACET – contribution to operational costs for work
with ethnic minority groups £20,000
The Glass Rainbow Trust – to commission the framing
of cartoons created by Henry Bosdet £8,000
The National Autistic Society – contribution to the
operational costs of the new Befriending Scheme £20,000
Brig-Y-Don Children’s Home – contribution to
staffing costs in 2006 £20,000
Mencap – for a wheelchair vehicle £20,000
TOTAL £320,365
THE ADMINISTRATION CHARGE
The charge, equal to 1.5% of the tickets sold by the Culture and Leisure Department in Guernsey and paid to the Department, is a contribution made in respect of work undertaken for the administration and management of the Lottery. This payment rose to £22,656 in 2005 from £19,443 in 2004 reflecting the increased sales and administration during the year.
STATES TREASURY RECHARGES
Included in the total Draw Expenses for the period is the sum of £29,143 [£25,899 in 2004] which refers to charges made to the Department for the many services provided by Treasury and Resources, including the administration of the Lottery (Jersey) Fund, preparing accounts on behalf of both Islands, reconciling winning tickets, paying commissions, auditing accounts and being present at the Christmas Lottery Draw. This service is now administered through a Service Level Agreement between the Department and the Shared Services Division of Treasury and Resources.
The final accounts for the CI Lottery (unaudited) up to December 2005 are noted below.
Income and Expenditure Account for the year ended 31 December 2005 | |
| |
| | | | | | | |
| | 2005 | | 2004 | |
| | £ | £ | | £ | £ | |
Income | | | | | | |
| Sale of tickets in Jersey (Net of 13% Discount) | (1,728,690) | | | (1,388,087) | | |
| Sale of tickets to Gsy (at 60% of cost and less admin) | (917,590) | | | (852,518) | | |
| Time Expired Prize Income | (29,150) | | | (22,408) | | |
| Bank Interest | (7,703) | | | (3,295) | | |
| Admin charges received from Gsy | (22,656) | | | (19,443) | | |
| Misc | (23) | | | (569) | | |
| | | (2,705,812) | | | (2,286,320) | |
Expenditure | | | | | | |
| Actual Prize money paid for Jsy Sales | 866,784 | | | 1,047,897 | | |
| Actual Prize money paid for Gsy Sales | 391,957 | | | 564,128 | | |
| Unclaimed prize money | 857,069 | | | 208,180 | | |
| Agents' commission on winning tickets | 11,842 | | | 9,697 | | |
| Manpower | - | | | 36,692 | | |
| Supplies and Services | 110,112 | | | 111,551 | | |
| Administrative Costs | 29,143 | | | 25,899 | | |
| Premises | - | | | 2,204 | | |
| Incidental Charges and Expenses | 26,100 | | | 22,200 | | |
| | | 2,293,007 | | | 2,028,447 | |
| | | | | | | |
Net surplus | | (412,805) | | | (257,873) | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
| | | | | | | |
Balance Sheet as at 31 December 2005 | |
| | | | | | | |
| | 2005 | | 2004 | |
| | £ | £ | | £ | £ | |
| | | | | | | |
| Current Assets | | | | | | |
| Debtors and Prepayments | 1,031,942 | | | 483,382 | | |
| Cash | 507,307 | | | 242,157 | | |
| | | 1,539,249 | | | 725,539 | |
| Current Liabilities | | | | | | |
| Uncollected prizes | 939,211 | | | 293,508 | | |
| Creditors | 18,533 | | | 5,459 | | |
| | | 957,744 | | | 298,967 | |
| | | | | | | |
| | | 581,505 | | | 426,572 | |
Accumulated Revenue and Reserve Balances | | | | | | |
| | | | | | | |
| Accumulated Fund | | 133,920 | | | 133,921 | |
| | | | | | | |
| Balance held on behalf of the Education, Sport and Culture Committee | 34,780 | | | 34,780 | |
| | | | | | | |
| Balance held for distribution | | 412,805 | | | 257,871 | |
| | | | | | | |
| | | 581,505 | | | 426,572 | |
| | | | | | | |
15 March 2006