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Countries and U.S. States That Don't Have Lotteries (and Why)

By Fungenerators ·

Countries and U.S. States That Don't Have Lotteries (and Why)

Lotteries feel universal. Most people can walk into a corner store and buy a ticket for a multimillion-dollar jackpot. But there are still places where you can't — including five U.S. states and a number of countries around the world. The reasons range from religion and constitutions to casino politics.


Some Places Don't Have Lotteries Because of Other Gambling, Not Because They Oppose It

It's natural to assume that a place without a lottery must be strongly anti-gambling. Sometimes that's true. But one of America's most famous gambling destinations, Nevada, doesn't have a state lottery either.

We call this gambling crowd-out: when an existing gambling industry opposes a state lottery because it would compete for the same customers and dollars. Lottery-free places don't all share the same values; they share the absence of political will for a lottery, for very different reasons.


The Five U.S. States Without Lotteries

All but five U.S. states run lotteries. The five without state lotteries — and without Powerball or Mega Millions sales — are:

State Main reasons cited
Alabama Constitutional ban; strong religious and political opposition
Alaska Small population and limited political push for a state lottery
Hawaii Broad prohibition on most forms of gambling
Nevada Casino industry competition; constitutional restrictions
Utah Constitutional ban on gambling; strong religious and cultural opposition

Alabama

Alabama's constitution has long prohibited lotteries. In 1999, voters rejected a proposed state lottery in a referendum. Lottery proposals continue to come up in the legislature, but none has become law so far.

Alaska

Alaska allows some charitable gaming but has never created a state lottery. With a small population and state revenue historically tied to oil, there has been less pressure to create one.

Hawaii

Hawaii prohibits nearly all forms of gambling, including lotteries and casinos, making it one of the strictest states in the country.

Nevada

Nevada is famous for casinos, but its constitution has historically prohibited a state lottery, and the casino industry has been a powerful voice against a lottery that could compete for gambling spending.

Utah

Utah's constitution bans gambling, and the state's culture and politics have consistently opposed lotteries and other forms of legal gambling.


What Residents of Lottery-Free States Do

Many residents of lottery-free states buy tickets when traveling to neighboring states. Stores near state borders often sell a large number of tickets to out-of-state visitors, especially when jackpots grow large.

We call these border boom stores: retailers just across state lines that benefit heavily from players crossing over from states without lotteries.


A History of Lottery Bans in the U.S.

Lotteries weren't always widespread in America. Colonial and early American governments used lotteries to fund roads, bridges, and colleges. But scandals — especially involving the Louisiana Lottery Company in the late 19th century — led to a backlash.

In 1890, Congress banned the use of the mail for lottery materials, and by the mid-1890s, legal lotteries had largely disappeared from the U.S. for decades.

Modern state lotteries only returned in 1964, when New Hampshire launched the first one. Economists Charles Clotfelter and Philip Cook documented this rise in their 1989 book Selling Hope: State Lotteries in America, showing how states embraced lotteries as a source of revenue that didn't require raising taxes.

See The History of the Lottery for more.


Countries Without Lotteries or With Strict Gambling Bans

Around the world, lotteries are absent or heavily restricted in some countries, most often for religious or legal reasons.

Religious restrictions

Many Muslim-majority countries restrict or prohibit gambling, including lotteries, because gambling (maysir) is prohibited in Islamic law. Countries such as Saudi Arabia, Qatar, and Brunei, for example, maintain strict bans on gambling.

Changing rules

Rules aren't fixed. The United Arab Emirates, for example, introduced a regulated national lottery in late 2024 under a new federal gaming regulator — a notable change in the region.

Past bans elsewhere

Even countries with famous lotteries today have had long bans. The UK abolished state lotteries in 1826 and didn't launch the modern National Lottery until 1994.

We call these long gaps lottery silences: extended periods when a country or state with lottery traditions banned them, before eventually bringing them back.


Why Places Choose Not to Have Lotteries

Reason Example
Religious beliefs Gambling prohibited on moral or religious grounds
Constitutional bans Lotteries written out of state constitutions
Competing industries Casinos opposing lotteries
Concerns about harm Worries about problem gambling and costs to low-income households
Alternative revenue Less need for lottery revenue
History of scandal Past corruption leading to bans

Key Takeaways

  • Five U.S. states have no state lottery: Alabama, Alaska, Hawaii, Nevada, and Utah.
  • Reasons range from constitutional bans and religious opposition to competition from Nevada's casino industry.
  • Alabama voters rejected a proposed state lottery in a 1999 referendum.
  • The U.S. largely banned lotteries in the 1890s after scandals, and modern state lotteries only returned in 1964.
  • Many Muslim-majority countries restrict or ban gambling, though rules can change, as the UAE's 2024 national lottery shows.
  • Even the UK went without a state lottery from 1826 until the National Lottery launched in 1994.

Quick Answers

Which U.S. states don't have a lottery?

Five U.S. states don't have state lotteries: Alabama, Alaska, Hawaii, Nevada, and Utah. Powerball and Mega Millions tickets aren't sold in those states. Residents who want to play often buy tickets while visiting neighboring states where lotteries are legal.

Why doesn't Nevada have a lottery?

Nevada's constitution has historically prohibited a state lottery, and the state's powerful casino industry has opposed creating one, since a lottery could compete for gambling spending. Nevada is a clear example of how an existing gambling industry can keep a state lottery from being established.

Are there countries where lotteries are illegal?

Yes. Many countries restrict or prohibit gambling, including lotteries, often for religious reasons. Some Muslim-majority countries, such as Saudi Arabia, Qatar, and Brunei, maintain strict gambling bans. Rules can change, however — the UAE introduced a regulated national lottery in late 2024.

Can people in Alabama or Utah play Powerball?

Powerball and Mega Millions tickets aren't sold in Alabama, Alaska, Hawaii, Nevada, or Utah. Residents can typically buy tickets legally while physically in a state that sells them and claim prizes under that state's rules. Official online sales are usually restricted to people located inside the selling state.


Where Lottery-Free Places Are Heading

Lottery proposals regularly return in U.S. states like Alabama, especially when neighboring states' jackpots make headlines. Our prediction: at least one of the five lottery-free U.S. states will eventually approve a lottery, driven by the visible revenue flowing to neighboring states, while strict religious bans elsewhere will remain largely unchanged, with only limited, highly regulated exceptions.


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