In Finland, the Ministry of the Interior has proposed sweeping reforms to the country’s gambling regulations, aiming to dismantle the monopoly held by Veikkaus Oy and introduce a licensing system that fosters competition. This legislative overhaul seeks to address concerns surrounding unregulated online gambling and enhance consumer protection measures.
Current Gambling Landscape in Finland
Currently, Veikkaus Oy enjoys exclusive rights to offer various gambling services, including betting and online casino games, under a government monopoly. However, this has not prevented significant online gambling activity from occurring outside national regulations, posing challenges to oversight and consumer protection.
Proposed Legislative Changes
The new legislation intends to establish a licensing framework administered by the Finnish Supervisory Agency, which would enable gambling companies to apply for licenses to operate within Finland legally. This move is designed to bring unregulated gambling activities under regulatory oversight and minimize associated harms.
Maintaining Monopoly and Competitive Markets
Under the proposed reforms, certain sectors such as lottery games and scratch cards would remain under Veikkaus Oy’s exclusive control. This dual structure aims to balance the benefits of competition in some sectors while preserving the stability of a monopoly in others.
Structural Changes and Governance
To manage the coexistence of competitive markets and monopoly operations, the proposed legislation outlines the creation of separate entities within Veikkaus Oy. This structural adjustment aims to ensure effective management and oversight of both competitive and monopoly-based gambling activities.
Regulatory Powers and Enforcement
A significant aspect of the reform includes empowering a new Finnish Supervisory Agency to replace the National Police Board in overseeing gambling activities. The agency would possess enhanced regulatory powers, including the authority to impose fines, revoke licenses, and employ technological measures such as network barring and payment blocking to curb unlicensed gambling.
Enhanced Consumer Protection Measures
The draft legislation introduces stringent rules governing the advertising and marketing of gambling services. These measures are intended to promote responsible gambling practices, prevent the targeting of minors and vulnerable individuals, and ensure moderation in promotional activities.
Safer Gambling Initiatives
As part of efforts to promote safer gambling, the proposed reforms include the establishment of a centralized register for individuals voluntarily banning themselves from gambling. Moreover, mandatory registration and identity verification requirements for gamblers aim to enhance accountability and protect vulnerable populations.
Implementation Timeline
The legislative reforms are planned to be implemented in stages. Gambling license applications are anticipated to commence by early 2026, with licensed operations potentially starting by early 2027. This phased approach aims to facilitate a smooth transition to the new regulatory framework while allowing stakeholders adequate time to comply with new requirements.
The proposed gambling legislation represents a comprehensive effort by the Finnish government to modernize regulatory frameworks, enhance consumer protection measures, and address challenges posed by unregulated gambling. By fostering competition through a licensing system while maintaining essential monopolistic controls, Finland aims to create a balanced and sustainable gambling environment that prioritizes public welfare.