United Kingdom: tax on lottery prizes
Lottery prizes are not taxed in the United Kingdom: a £1,000,000 National Lottery prize is paid in full, and it does not go on a tax return. Only what the money earns afterwards is taxed.
How the tax works
Lottery winnings are tax-free in the United Kingdom and are not declared on a tax return. Interest, dividends and other income the money earns afterwards are taxed under the normal rules, after the usual allowances.
Games covered: National Lottery (Lotto, EuroMillions, Set For Life, Thunderball), scratchcards.
Questions
Do you pay tax on lottery winnings in the United Kingdom?
No. The prize is paid in full and is not declared as income. Interest, dividends and other income the money earns once invested are taxed under the normal rules.
Is anything taxed after a big win?
What the money earns, and in some cases gifts made from it. Talk to a tax adviser before investing or giving away a large prize.
Rules checked on 29.09.2026; compare other countries or see the United States calculator. Estimates, not tax advice.
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