A Non-Departmental Public Body (NDPB) sponsored by the Department for Culture, Media and Sport, the National Lottery Commission is responsible for licensing and regulating the National Lottery. It protects the integrity of the Lottery, protects players and maximises funds to good causes. It also runs the competition for the licence and selects the operator of the Lottery.

The National Lottery Commission operates at arm’s length from government and its decisions are independent. Its work is funded by the National Lottery Distribution Fund (NLDF). Its five Commissioners are appointed by the Secretary of State for Culture, Media and Sport and meet each month to make decisions about new Lottery licences and other developments affecting the Lottery. They also appoint the full-time Chief Executive.

The Commission has a number of powers: It runs the competition process to select the operator of the Lottery; it makes sure that the operator meets the conditions of the licence, and if necessary can take legal action; if the operator breaks the conditions of the licence, it can impose a financial penalty; ultimately it could withdraw a licence, but that would only happen under extreme circumstances.