Finland to end gambling monopoly by 2026

• Industry News
• 02 November 2023

"No later than 2026," the newly elected Finnish government declared, it will abolish the country's existing gambling monopoly system and replace it with a licensing model.The government stated that the goal of the reform is to stop gambling's negative effects on society and the economy. A licensing scheme would increase the nation's rate of channelization to lawful offerings.  

Sports betting and online casino games would both be covered under the new licensing scheme. As part of the process, the government would split the state-owned gaming monopoly Veikkaus into several distinct businesses within the same group. 

By doing this, the 2017 merger of the horse race betting operator Fintoto, the slot machine company Raha-automaattiyhdistys, and the betting brand Veikkaus would be effectively reversed.

According to the government, the present gambling laws "have not been successful." It mentioned the persistent problem of problem gambling in the context of nearly 50% channelization to the white market.

Finland will stop legalizing gambling

The government described what it would entail to "enhance" the regulation under a licence model. It promised to provide the regulator with adequate funding. It also emphasized that it plans to implement policies to stop money laundering and transgressions of sports integrity.

Additionally, Finland plans to create a single self-exclusion platform that will work with all online gambling portals.

Furthermore, marketing must adhere to government regulations regarding "moderate and responsible content scope, visibility, and frequency."

The administration declared, "The implementation of the licence model must be predicated on a meticulous examination of the social effects of the reform and particularly its effects on the prevalence of gambling problems."

Industry response

The introduction of a licensing model has been demanded since December of last year, when the Finnish online gambling trade association Rahapeliala was founded.

Mika Kuismanen, the chief executive of the association, said, "We are pleased to see how the government has recognized the need to renew our gambling system to the realities of today's technology."

The interests of players and society are safeguarded by this reform, which also strengthens fair competition. When someone has the guts, structural changes can be implemented in a way that is both socially and economically responsible, as demonstrated by the reform of the gambling system.

New Policy Initiative

Following the April elections in the nation, months of negotiations culminated in the policy program of the new government being unveiled.

Petteri Orpo, the leader of the National Coalition Party, will head a right-wing administration. The Swedish People's Party, the Christian Democrats, and the anti-immigration Finns Party make up the ruling coalition.

The announcement follows the recommendation of a government study from April that examined the country's monopoly system in comparison to peer nations abroad and suggested reforms. The opposition and the government both saw reasons to break up the monopoly, which is why the study was started.