Isle Listen currently delivers its mental health programme to 95% of the island’s schools, including the University College Isle of Man.
The group also runs one-to-one therapeutic sessions for people up to the age of 18.
Education lead Becks Macnair said educational work in schools was “key”, and the size of the donation gave the organisation security as well as enabling it to “expand and invest further into our services”.
“While in the long term we want this preventative work to reduce the number of young people who need further support, we know that there are, unfortunately, always going to be some young people who need specialist services”, she added.
Manx Lottery Trust chairman Sarah Kelly said the grant had been awarded as supporting young people’s wellbeing was “vital for a resilient community”.