Text-message lottery for London

LONDON will have its first dedicated mobile phone-based lottery, operated by text message and online, by the end of the year.

Million-2-1, which is expected to seek a £50m stock market float later this year, specialises in the technology for games and competitions using the internet and text messaging.

It will launch local lotteries in Manchester in May, followed by Leeds and Liverpool, and has been in contact with Mayor Ken Livingstone's office in London about its plans for the capital.

Local lotteries run on a weekly basis, donating money to four regular charities doing work in the area, with one more topical charity added each week.

Good causes receive 35p from each £1 ticket, against 28p from each pound of National Lottery sales.

Punters simply text the local lottery, buy a ticket or tickets, then the numbers are texted back to their phones. Winners are also notified by mobile. Million-2-1 holds the only UK licence to run a lottery via phone messaging.

Million-2-1 chief executive Chris Thomas said he expected regional lotteries to raise 'several hundred thousand pounds for good causes each year and for London to be a multiple of that'.

Million-2-1 plans to launch the London lottery in September and is looking for a media partner with whom it will share its mobile database in return for publicity.

It is also about to invite investment banks to take part in a 'beauty parade' for its stock market float.