Irish Gambling Bill Nears Completion as Senators Request Ad Ban
A committee of senators debated Ireland’s Gambling Regulation Bill 2022 between Sept. 25 and Oct. 2, raising concerns over gambling advertising and pushing the bill towards completion.
The Republic of Ireland’s long-awaited Gambling Regulation Bill 2022 is in its final stages before being passed into law. For the first time the country will have an online gambling legislation and independent regulator, as well as a national self-exclusion scheme. It first appeared in the house on Dec. 2, 2022, but is now in its final stages of debate at a committee level.
It will soon reach report stage, meaning once the final statements on the bill are made to the Dáil Éireann (lower house of parliament), it can be signed into law by President Michael Higgins.
Concerns over the proliferation of gambling advertising prompted Senator Michael McDowell to warn regulation could push Ireland “down the same road as the United Kingdom.” Leading the bill, Deputy Minister James Browne said he could not support the amendment for a full prohibition of ads. He said restrictions will instead include a watershed for gambling ads on television and radio.
Can Sorare’s Free-to-Play Model Protect It Against UKGC Charges?
French fantasy sports giant Sorare faces charges for unlicensed gambling in a case brought by the U.K. Gambling Commission. Industry lawyer Chris Elliott expects it will argue its free-to-play offering provides the same value as its paid tournaments and thus does not constitute gambling.
“There is a statutory definition around whether or not (an operator) can satisfy that choice (to play for free) through the mechanics of the game,” Elliott told iGB. “Effectively the legislation is designed to make sure it’s a free choice so customers are not disadvantaged by only choosing to play for free versus those who pay because they can escalate more quickly under a traditional framework model.”
Another point it could make is users don’t have to pay to play and therefore it’s not a betting product. “Because that’s one of the constituent components of betting,” Elliott said.
Its player-card trading marketing could face scrutiny as it mirrors a financial trading platform, with users speculating on the value of those assets. “It’s set in the boundary between gambling and financial services. Whether the marketplace element is a cause for regulation as gambling or even financial services, and how and whether that can be offered in the UK, will be interesting to see,” Elliott said.
Online Deposit Limits Come Into Force In Netherlands
New protection measures for Dutch consumers came into effect from Oct. 1, with players facing tighter restrictions on online deposits. Among the new rules are deposit thresholds that relate to a player’s net deposit during a calendar month. If the net deposit exceeds €700 (£583/$777), any further deposits will be blocked until the end of that calendar month.
This limit is set lower (at €300) for young adults (those aged 18-25). These will be automatically enacted on the first day of each calendar month.
Players must also set a personal deposit limit when they sign up to an online operator. When players set certain deposit limits, operators must take steps to raise awareness of the help available to those at risk of harm. They will do this for players with a limit of €350 a month, or €150 for those within the young adults age range.
Local gambling lawyer Alan Littler of Kalff Katz & Franssen told iGB these requirements will push up the cost of doing business in the Netherlands, given the operational implications of the new measures and intended reduction in consumer spend.
Swedish Parliament to Reconsider Gambling Tax Rate
Despite claims the channelization rate has increased in Sweden, a member of the Swedish Parliament (Riksdagen) has called for the recently increased tax rate to be lowered as operators have flagged that channelization is actually decreasing.
The motion, which parliament has agreed to consider, comes three months after the gambling tax was increased from 18 percent to 22 percent of gross gaming revenue (GGR).
Moderate Party MP Carl Nordblom also urged parliament to investigate the link between tax and channelization to help it consider other measures that could improve the rate of players directed towards the legal market. An increased tax levy is expected to bring in an additional SEK500m (£37.4m/€43.9m/$48.6m) in tax revenue each year.
Sweden Channelization Rate At 86 Percent, According to Regulator
A new report by Swedish regulator Spelinspektionen estimates the country’s online channelization rate is at 86 percent; higher than operator estimates of between 69 percent and 82 percent and some way above the previous year’s figure of 77 percent.
Channelization rate applies to money spent on the licensed online gambling market in 2023, versus the country’s illegal market. Estimates are based on the assumption that players are wagering the same amount per visit across both unlicensed and licensed operators, which the regulator itself said may not be the case.
Based on that assumption, it acknowledged the rate could be as low as 78 percent, assuming turnover per visit is twice as much on a black-market website compared to a licensed website.
Methods for determining the rate include player surveys from 4,000 respondents, where consumers were asked who they gambled online with. Surveys took place between June and July this year.
