The State of Sweden’s Gambling Market: A Call for Action
Sweden’s gambling market has undergone significant changes since the re-regulation on January 1, 2019. The ambitious goal set by policymakers aimed for 90% of all gambling activities to occur within licensed operators. However, recent data indicates a troubling trend: this target has not only been missed but has potentially regressed. The emergence of unlicensed gambling sites is posing serious risks to players and challenges to the integrity of the regulated market. In light of these developments, Sper, Sweden’s Gambling Industry Association, has presented a comprehensive call to action highlighting the need for increased player protection and industry responsibility.
The Disheartening Reality of Unlicensed Gambling
The gambling landscape in Sweden currently shows alarming indicators of declining channelization rates. According to an analysis by ATG, the actual share of Swedish gambling happening through licensed companies is estimated to be as low as 71%. This statistic reveals a significant gap between government intentions and on-the-ground realities. The proliferation of unlicensed gambling sites not only undermines the established market but also exposes players to potentially harmful gambling practices, as these operators do not comply with the same regulations designed to protect consumers.
One of the greatest risks stemming from unregulated sites is their lack of accountability in enforcing responsible gambling measures. Licensed operators are mandated to impose deposit limits and promote safer gambling habits, but unlicensed sites lack such requirements. Consequently, these platforms often become breeding grounds for reckless gambling and criminal enterprises. Moreover, unlicensed operators contribute nothing to the Swedish economy by evading gambling taxes, thereby depriving society of essential funding for public services.
Proposed Solutions to Curb Unlicensed Gambling
Recognizing the urgent need to address the challenges posed by unlicensed gambling, Sper has laid out five strategic proposals aimed at enhancing consumer protection and ensuring a more secure gambling environment.
-
Ban Unlicensed Operators from Accepting Swedish Players: The absence of a general ban allowing unlicensed gambling companies to accept bets from Swedish customers is a loophole that must be closed promptly. Proposed legal amendments should correct this deficiency and enhance regulatory oversight.
-
Investigate Options to Block Unlicensed Sites: Currently, Swedish authorities lack the capacity to effectively block access to unlicensed gambling websites, a strategy successfully employed by several EU nations. A thorough investigation into potential measures for site blocking should be prioritized.
-
Strengthen Spelpaus and Support Services: Spelpaus, Sweden’s self-exclusion register, can be fortified by ensuring individuals seeking help receive follow-up contact within 24 hours. Such an initiative, paired with increased funding for support services, would offer timely intervention for those struggling with gambling addiction.
-
Ban Payday Loans for Gambling: Proposals to regulate payday loans are in motion. However, swift implementation is crucial to mitigate financial risks faced by players and curtail the exploitation posed by quick-access lending.
- Establish a Loan-Stop Register: Similar to Spelpaus, a new loan-stop register for payday loans could be created, requiring lenders to check for self-exclusion status. This initiative would serve as an additional barrier, reducing the likelihood of players funding their gambling through high-risk loans.
A Call for Government Accountability
The continuous failure to meet the targeted channelization rate signifies a disconnect between regulatory intentions and actionable outcomes. Current policies have not only disappointed consumers but have also betrayed the licensed operators who adhere to Swedish laws, contributing positively to society.
Sper emphatically calls upon the government to take decisive and accelerated action. It is crucial for policymakers to recognize their role in combating the rise of unlicensed gambling and commit to implementing robust regulations that will restore integrity to Sweden’s gambling market.
In conclusion, establishing a safer, healthier, and more secure gambling environment is a responsibility that lies not only with the industry but also squarely with the government. The time for action is now; for the wellbeing of consumers, the future of the gambling industry, and the integrity of Sweden’s regulatory framework.
Signatories
The proposals were endorsed by prominent figures in Sweden’s gambling industry:
- Hans Lord Skarplöth (ATG), Chairman, Sweden’s Gambling Industry Association
- Anders Årbrandt (Swedish Postcode Lottery), Vice Chairman, Sweden’s Gambling Industry Association
- Anna Johnson (Svenska Spel), Board Member, Sweden’s Gambling Industry Association
- Hans Sahlin (Folkspel), Board Member, Sweden’s Gambling Industry Association
- Mikael Lövgren (ComeOn), Board Member, Sweden’s Gambling Industry Association
- Jonatan Hjort (Million Lottery), Alternate, Sweden’s Gambling Industry Association
- Patrick Hämquist (Svebico), Alternate, Sweden’s Gambling Industry Association
- Maria Wennerberg Sedigh, CEO, Sweden’s Gambling Industry Association
As the industry and policy environment evolves, collaboration and commitment to reform will be vital in achieving a gambling landscape that truly prioritizes player safety.
