New PCC chief Tom Banks says UK prize draw code will act as a 'kite mark' amid M&A surge

Tom Banks, the newly appointed executive director of the Prize Competition Council (PCC), says the DCMS Voluntary Code of Good Practice for Prize Draw Operators is set to become a "kite mark" for the sector as consolidation gathers pace. Speaking to iGB, he described the UK as an increasingly prominent global leader in prize competitions and called the market "a British success story" driven by entrepreneurial technology companies.

The code was introduced in May and sets out core principles intended to protect players from harm. It is not formal regulation, and operators are not legally required to follow it. A report by Rokker in August found that only 20% of UK operators had signed up so far. The code includes a framework allowing players to set monthly spend limits, while operators may also enforce their own limits. Banks urged operators that have not yet joined to do so, arguing that adherence will serve as an indicator of quality and due diligence for investors and acquirers.

M&A activity in the vertical has risen, with London-listed Winvia buying several smaller players to build its UK share. German lottery brokerage Zeal Network also pointed to the code when it acquired prize draw operator SevenCanyon in July. Its CEO, Dr Stefan Tweraser, said the company expects the UK market to move toward more formalised rules and higher regulatory standards, which he believes will favour its experience in Germany.

The PCC was formed earlier this year to give businesses running prize draws, raffles and similar activities a unified voice. Banks estimates that its roughly 70 members account for 90% to 95% of the market. Membership is organised in a four-tier model, and listed members include Elite Competitions, Winvia Entertainment, That Prize Guy, Giveaway Guys, McKinney Competitions, Raffolux and Daymade. He said he has been pleasantly surprised by how seriously businesses have taken the code.

A priority for the council is building close working relationships with the DCMS and HM Revenue & Customs, particularly over HMRC's recent move to backdate VAT receipts for the sector. Banks said the PCC is taking the issue "incredibly seriously" and is engaging constructively with HMRC, adding that smaller operators in particular need regulatory certainty to plan and invest. The council intends to offer practical guidance, share best practice among members and relay compliance challenges to policymakers. Banks, who previously worked on the 2023 UK gambling white paper, said the DCMS can expect openness and transparency from the PCC.