Lorraine Williamson
Across Spain, the sale of lottery tickets has long been a deeply embedded tradition. From the Christmas El Gordo draw to weekly national and regional games, generations of Spaniards have taken part, often as part of workplace pools or family rituals. But the future of this custom is now uncertain.
New data suggests that Generation Z – those born between 1995 and 2010 – is no longer interested in lottery participation. Only 1% of Gen Z Spaniards bought a ticket in the past year. In contrast, 38% of baby boomers continued to buy tickets regularly.
This sharp generational divide has implications not only for cultural continuity but also for the Spanish economy.
Economic impact of declining lottery sales
The Spanish government relies on lotteries for a significant share of revenue. In 2022, total lottery sales exceeded €9.5 billion. A portion of this – ranging from 10% to 30% depending on the draw – goes directly to the state.
In 2021, the Christmas lottery alone brought in €1.16 billion for public coffers. However, as younger citizens opt out, this revenue stream may be at risk.
State income from lotteries funds public services. A long-term decline could result in a financial shortfall. Policymakers may need to consider new fiscal strategies if this trend continues.
El Gordo and El Niño: more than just draws
Spain’s best-known lottery, El Gordo de Navidad, takes place every 22 December. It is one of the oldest and largest lotteries in the world, first held in 1812. With a prize pool of over €2 billion, it is a nationwide event watched live on TV. Children from Madrid’s San Ildefonso school sing out the winning numbers in a televised draw that can last several hours.
Just over a fortnight later, the El Niño lottery takes place on 6 January. Though smaller in scale, it still distributes around €700 million in prizes and is seen as a follow-up to El Gordo, marking the end of the festive season. Both draws have strong cultural and social significance.
But the decline in participation among younger Spaniards could eventually reduce this sense of shared national experience.
Changing habits and priorities
According to UK-based tech firm Bango DVM, Generation Z is more focused on digital technology, sustainability, and personal health. Traditional consumer habits such as buying printed newspapers or physical lottery tickets are being replaced.
Financial priorities are also shifting. Homeownership remains a goal for many, but affordability makes it unrealistic. This generation prefers spending and saving in different ways.
Investment over gambling
Rather than spend on games of chance, many young people are turning to investment. Backbase, a fintech company, reports that 59% of Gen Z already hold at least one investment product. These include cryptocurrency, stocks and ETFs, often accessed through platforms like Vanguard or BlackRock.
This change is driven by a desire for long-term growth over short-term risk.
The cultural role of lotteries
Despite this shift, lotteries still play a major role in Spanish society. The annual El Gordo Christmas draw sees long queues at outlets like Doña Manolita in Madrid. Many buy tickets not just to win but to take part in a national event.
However, as younger generations opt out, this tradition may fade unless it evolves.
Adapting to new preferences
Spain now faces a choice. It can hold on to long-standing customs or adapt to the preferences of its younger citizens. If new generations are more likely to invest than to gamble, there may be space to modernise state revenue models.
Bridging the gap between tradition and innovation could preserve cultural practices while securing future funding.