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Prize Competition vs Lottery vs Raffle: What's the Difference?

Last updated 24 July 2026

“Prize competition”, “lottery” and “raffle” get used loosely, but in the UK they mean different things — and the difference matters. Here’s a plain-English explanation of how they compare.

What is a prize competition?

A prize competition requires an element of genuine skill, knowledge or judgement to enter — that’s the skill question you answer before your entry counts. Because winning depends partly on that skill (not on pure chance), a properly run prize competition sits outside the definition of a lottery under UK law. It must also offer a free entry route.

What is a lottery?

A lottery allocates prizes purely by chance, with no skill element. Lotteries are regulated separately in the UK and generally require a licence or must be run as an exempt society or charity lottery. The key marker is simple: if success depends on chance alone, it’s a lottery.

What is a raffle?

A raffle is a type of lottery — you buy a numbered ticket and a winning number is drawn at random, with no skill involved. People often call online prize competitions “raffles” casually, but a genuine prize competition differs because of that required skill element.

Quick comparison

  • Prize competition — skill element required, free entry route, lawful when run correctly.
  • Lottery — pure chance, separately regulated, needs a licence or exemption.
  • Raffle — a form of lottery; numbered tickets, drawn by chance, no skill.

Where Nitrous fits

Nitrous Competitions runs skill-based prize competitions: you answer a genuine skill question, there’s always a free postal entry route, and every draw is backed by a published entry list you can check. It’s a competition of skill, not a game of chance.

Want to see how it works? Browse the live competitions or read our FAQ. 18+, UK only. Please play responsibly.

Frequently asked questions

Is a prize competition the same as a lottery?

No. A prize competition requires a genuine element of skill or knowledge to enter โ€” the skill question โ€” whereas a lottery allocates prizes by chance alone. Because a properly run prize competition depends partly on skill and offers a free entry route, it falls outside the UK legal definition of a lottery.

Is an online competition a raffle?

Not in the legal sense. A raffle is a form of lottery decided purely by chance with no skill element. A genuine online prize competition differs because it requires you to answer a skill question for your entry to qualify.

Why do UK competitions have a skill question?

The skill question is what makes a prize competition lawful in the UK. It introduces the element of skill or knowledge that separates a prize competition from a lottery, and it applies to every entry, whether paid or free.