South Kesteven District Council is to launch its own local lottery to help it support good causes.
Several other local authorities have launched their own schemes in recent years in response to pressure on community fund budgets.
The council has appointed Gatherwell, who operates lotteries for other councils to run the scheme.
The first lottery was established in Aylesbury in 2015, which has since helped 120 local good causes. The Vale Lottery sells 2500 tickets a week and raises £76,000 for the community each year.
The South Kesteven Lottery, whose name has still to be chosen, would be run weekly and offer a top prize of £25,000 for six numbers. There would be no rollover but if they were more than one winner, each would receive £25,000.
A council budget report said running a lottery would generate revenue of £20,000 for the council.
SKDC deputy leader Kelham Cooke, who was given delegated authority to help run the scheme and help distribute money to good causes, said the council has to apply for a license to run the lottery, which may take 19 weeks.
At Wednesday’s meeting of Budget- Joint Overview and Scrutiny Committee, Coun Cooke said the revenues will help the council support its Community Fund, which helps good causes, but also them directly.
He said: “It’s not just about helping us. It’s about helping groups even further.”
However, Coun Nick Craft said SKDC should not encourage its tenants to gamble, noting lower-paid people tend to buy lottery tickets.
But committee chairmann Robert Reid said people can choose to enter or not.