Month: May 2022

King will replace Stuart Simms, who announced his intention to step down from the role last month and will now leave the business after a short handover period.

King, who will also join the XLMedia, takes on the new role having most recently served as chief executive of regional new group JPIMedia between November 2018 and January 2021.

Prior to this, he spent five years at regional UK newspaper group Johnston Press, first as its chief financial officer before becoming chief executive.

King was also chief executive of Time Out Group for four years, whole between 1998 and 2008, he was chief financial officer of BBC Worldwide, following a spell as finance director for international and television.

In addition, King served as head of corporate finance at the BBC between 1994 and 1996, prior to which he was a management consultant for Coopers & Lybrand.

“We are delighted to welcome David to XLMedia and believe that, with his significant digital publishing experience and proven track record of leading change, he will be a key asset in helping us capitalise on a number of growth initiatives,” said Marcus Rich, who was named as XLMedia’s new non-executive chair in March this year.

“David’s extensive knowledge of the media sector makes him the ideal candidate to lead the group and I and the Board look forward to working with him.”

Slots continued to make up the majority of revenue, at $804.1m, which was up by 1.4% year-on-year, but down 11.0% month-on-month.

Just under half of this total came from multi-denomination slots, where revenue was up by 11.9% to $397.4m.

Revenue from penny slots, meanwhile, was down 10.5% year-on-year to $305.0m. One dollar slots brought in $55.8m, up 1.0% from April 2021.

Read the full story on iGB North America.

Turnover – which is made up of all the revenue Intralot made as a B2B supplier plus all of the money staked with its B2C operation – came to €97.7m. This was almost exactly level with the total recorded in Q1 of 2021.

The business noted that 61.9% of revenue came from lotteries, 18.8% from sports betting, 11.2% from video lottery terminals, 7.7% from IT products and services and 0.5% from racing.

On the B2B side, technology and support services brought in €55.1m, up 1.3%, driven by higher revenue in Australia as lockdowns were eased. Management contract revenue, though, was down by 18.3% to €10.9m. 

This, Intralot said, was almost entirely due to currency exchange impacts in Turkey, which is the largest market for Intralot’s management contract business.

Stakes from B2C operations made up €31.6m of this total, up by 6.1%. This, it said, was partly due to local market growth in Argentina, with the City of Buenos Aires launching its igaming market. Revenue from the country was up by 32.4% to €10.3m. On the other hand, however, revenue from Malta was down by €600,000.

Intralot’s B2C business paid out €17.8m in winnings. As a result, gross gaming revenue from B2C operations was €13.8m, up 23.9%. Overall gross gaming revenue – including the B2B business – was €79.8m, up by 1.2%.

In addition to these €17.8m in winnings, Intralot incurred a further €54.6m in other costs of sales, meaning its total cost of sales was €72.5m, up 0.7%.

When these costs of sales, including winnings, were subtracted from the€97.7m in overall turnover, Intralot’s gross profit was €25.2m, a decline of 1.6%.

The business made €5.7m in other operating income, but also incurred €4.7m in selling expenses and €16.6m in administrative expenses, as well as €417,000 in research and development costs and €305,000 in other operating expenses.

The business noted that €17.4m of these costs were related to depreciation and amortisation, meaning that earnings before interest tax, depreciation and amortisation came to €26.1m, an increase of 4.8%.

Its earnings before interest and tax, meanwhile, came to €8.7m, a 123.1% increase due to lower depreciation and amortisation costs in Q1 of 2021..

Intralot then faced €10.3m in interest and similar expenses and €511,000 in exchange rate losses, which contributed to a loss before tax of €2.3m, 17.9% less than the loss in Q1 of 2021.

After paying €2.6m in tax, up 22.8%, Intralot’s net loss came to €4,945, only €3 away from the loss recorded a year prior.

Intralot chairman and CEO Sokratis P. Kokkalis said that he was pleased with the results which showed continued progress on the supplier’s business plan.

“First quarter results show a consolidation of gains and recovery from the Covid impact and reflect an improved financial profile, with normalised revenues and a reduction in operational expenses and debt servicing costs consistent with the company’s business plan,” he said.

As a result, he added, the business has called a shareholders’ meeting to approve an increase in its share capital.

“On the background of this strongly improved P/L and balance sheet, the company has designed and is about to launch a share capital increase by means of rights issue and has secured the commitment of Sandard General Master Fund II as cornerstone investor for the unsubscribed rights in a move that will significantly strengthen our prospects to grasp the tremendous opportunities in the US and the global markets,” he said.

The appointees include Brianne Doura-Schawohl, founder and CEO of government relations and gambling policy consultancy firm Doura-Schawohl Consulting.

Doura-Schawohl recently held the role of vice president of US policy and strategic development for Epic Risk Management. Before this she was the legislative director for the National Council on Problem Gambling.

“This is a very exciting opportunity to make a big impact on a space that has been calling out for support for years,” said Doura-Schawohl. “A telehealth solution that organises care and access that works with large-scale corporations and distribution partners to get the message out there about the necessity to manage mental health in the gambling space is a huge victory that is long overdue.”

Professional sports executive Eric Kussin has also been appointed to the board. In the last 20 years Kussin has held a variety of roles with the National Basketball Association and the National Hockey League.

After experiencing mental health issues and going through recovery Kussin launched “#SameHere”, the Global Mental Health Alliance, a non-profit organisation that aims to ignite conversation around mental health issues.

“Gambling addiction has largely gone unaddressed in US sport, and this is a chance to drive the conversation about the underlying mental health factors that can and often do lead to problem gambling,” said Kussin. “This conversation is needed now more than ever as the factors that impact mental health complications have been on the rise, and gambling which can temporarily soothe or even cover up one’s emotional pain, is more accessible than ever. ”

Seth Young is an international gaming expert with over 20 years experience in the industry. He currently serves as the chief strategy officer at Fifth Street Gaming Digital and managing partner at gaming consultancy firm The Strategy Organisation.

“Kindbridge is a first-of-its-kind solution for the gaming space that offers real, tangible support and services to individuals that may be experiencing behavioral issues related to gambling, in addition to other tremendously credible mental health support initiatives on both an individualized and corporate level,” said Young. “It’s time there was a solid solution for this at scale in the US gaming market, and Kindbridge is paving the way.”

Daniel Umfleet, CEO of Kindbridge, says the appointments come at a crucial time for the mental health landscape in the US, while sports betting is expanded throughout the country.

“This strategic expansion of the Board offers an opportunity to provide high-quality mental health services for employees and patrons of sportsbooks, casinos, and associated businesses,” said Umfleet.

“Given the state of mental health in the US and the rapid expansion of legal sports betting, we have a unique opportunity to provide more screening and education, while simultaneously building a national network of care providers that understand the complexities of gambling disorder.”

The Control Centre is a customer-facing interface that allows customers to monitor their gambling activity through real-time data, as well as control their gambling through different tools such as ‘take a break’ restrictions, deposit limits and self-exclusion options.

888 first launched its Control Centre in the UK in November 2019 and has since expanded the service into a number of other regulated markets in which it is active.  

In 2021, 888 reported a 23% rise in the use of safer gambling tools among its customers, with customers using the Control Centre 20% more likely to amend their personal deposit limit and 102% more likely to use the ‘take a break’ tool.

“888 we recognise the need to use our proprietary technology to protect customers and promote safer play,” 888’s vice president of customer safety and due diligence Andrew Anthony said.

“By giving customers transparent information about their gambling activity in real time, we continue to ensure that safer gambling remains at the heart of the 888 customer experience.”

“We are focused on ensuring that our customers are empowered to make safe and responsible decisions about their gambling, and we remain committed to continually investing in our teams and technology to create industry-leading, user-friendly tools that help achieve this.”

The launch in Italy forms part of the ‘Made to Play Safely’ pillar within the operator’s ‘Made for the Future’ new ESG framework. This strategy framework is focused on empowering players to make safe and responsible decisions about their betting and gaming, as well as normalising the use of safer gambling tools.

The state’s handle was comfortably ahead of the $29.0m wagered by players in April 2021, but 12.0% lower than $45.7m in March of this year.

Players spent $25.5m wagering via mobile during April, with the remaining $14.7m bet at the Twin River and Tiverton Casino retail sportsbooks.

Revenue for the month amounted to $2.6m, down 18.8% from $3.2m in April 2021 and also 29.7% lower than $3.7m in Marc this year.

Mobile revenue reached $1.3m, while Twin River posted $802,433 in retail betting revenue and Tiverton Casino $548,010.

Consumers won a total of $37.6m from betting in April, with $24.2m coming from mobile and $13.4m retail sportsbooks.

For the financial year to date, handle for the 10 months to the end of April was $295.3m, some 49.6% higher than at the same point last year, while revenue was also 18.2% up to $35.1m.

The HKD$1.91bn purchase price will be paid entirely through the issue of convertible bonds, with HKD$1.39bn to cover the resort’s gaming area and $HKD516m for the non-gaming area.

SJM said that the deal would “enable the group to fulfil the relevant requirements” for a new gaming concession when the current concessions expire on 31 December.

Currently, SJM leases the SJM property from SDTM, paying rent of HKD$80.6m in 2021, up from $HKD43.0m in 2020. However, as concessionaires are expected to transfer, “free of charge and free of any encumbrances or burdens”, any casinos and equipment at the end of the concession period, the business determined that SJM itself should own Oceanus so it can be transferred.

In addition to this factor, SJM said that the purchase “enables SJM Resorts to operate both gaming and non-gaming businesses within Oceanus in a synergised manner which are complementary to one another”.

“During the period pre-Covid when the borders were open with the mainland and Hong Kong, the group generated substantial free cash flow from Casino Oceanus and it was one of the best performing casinos of the Group during the years 2017 to 2019,” SJM added.

The agreement will see Betsson gain exclusive rights to use AC Milan’s intellectual property across LatAm.

Andrea Rossi, commercial director for South America at Betsson Group, said: “The exclusive partnership with AC Milan in LatAm strengthens our expansion drive in the region and allows us to broaden our content offering and collaborate with an innovation-oriented club.

“Our shared goal is to offer a more modern and engaging storytelling of sports, creating high-quality entertainment for the Rossoneri (AC Milan) fans in South America.”

The operator has been expanding across LatAm for the past few years, creating a presence in Brazil, Argentina, Columbia, Peru and Mexico.

The partnership also includes a full editorial calendar, which will engage directly with LatAm fans. It will also see Bettson gain exclusive brand visibility on the AC Milan stadium perimeter LEDs.

Casper Stylsvig, AC Milan’s chief revenue officer, added: “Joining hands with Betsson helps us move closer to our local fanbase of over 75 million people.

“Latin America is a very special market for AC Milan and one where we truly feel the passion for the Rossoneri colours, so we could not be more excited to kick off this partnership.”

The deal follows Betsson’s partnership with specialised payments platform Paysafe, which saw it launch in the US last month.

AUSTRIA
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Licences for sports betting and horse race betting are available for private operators on a regional basis within Austria, whereas poker, casino, bingo and lottery are controlled by the monopoly, Casinos Austria, which has rights until 2027.
Status: The CJEU has held that the Austrian casino monopoly is incompatible with EU law in a number of cases, although national courts continue to reach conflicting decisions on the compatibility of Austria’s current gambling legislative framework with EU law and the position remains unclear. In June 2021, the Austrian Supreme Court held in favour of a player who brought a claim against an operator licensed elsewhere in the EU for a refund of losses on the basis that their contract with the operator was invalid. In February 2021, a wide-ranging set of proposals to reform gambling in Austria was announced. Proposals include the establishment of a new independent regulator and the introduction of both website blocking and greater player protection measures. A draft law formally setting out the proposed reforms had been expected to be published during 2021 but this did not happen, although comments made by the Austrian Finance Minister in December 2021 suggest that preparatory work remains ongoing.

BELGIUM
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: All products are available to private operators except for lotteries, which are reserved for the monopoly provider. Online operators need to partner with a land-based licence holder in order to satisfy a local establishment requirement – or apply for a retail licence that can be extended to cover online.
Status: There remain valid arguments that the existing regime is incompatible with Belgium’s EU Treaty obligations. Active enforcement measures against operators and players are in place. A mandatory, weekly deposit limit of €500 for all customers of licensed operators is in effect although a draft royal decree adopted in July 2021 will reduce the limit to €200 once it enters into effect. In May 2022, Belgium submitted a draft Royal Decree to the European Commission that aims to introduce greater restrictions on gambling advertising and sponsorship in the country.

BULGARIA        
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery (excluding raffles and instant lottery games).
Operator type: All products are available to private operators except for lotteries, which are reserved for the monopoly.
Status: Any operator from an EU/EEA jurisdiction or the Swiss Confederation can apply for a licence. The Bulgarian regulator has awarded approximately 30 licences to date, including to a number of international operators. The government has adopted amendments to the country’s gambling legislation to establish a monopoly on lotteries in Bulgaria, with any existing lottery licences revoked with immediate effect following the amendment’s entry into force.

CROATIA          
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: All products are available to private operators except for lotteries, which are reserved exclusively for the monopoly provider. Private operators can only be licensed to offer online gambling if they obtain a land-based casino or betting licence.
Status: Attempts by the Ministry to update its gambling legislation have been subject to criticism in respect of EU incompatibility issues (including the requirement that only holders of land-based licences can offer online gambling). Regulatory reforms appear to have stalled in the country.

CYPRUS             
Regulated gambling products: Sports betting, horse race betting and lottery.
Operator type: OPAP has a monopoly over lottery operations; betting licences are available to private operators.
Status: Cyprus regulated online betting in July 2012, although a licensing regime was not established until 2016. ISPs are obliged to implement blocking measures to prohibit Cypriot residents from accessing unlicensed gambling websites. A new betting law, which entered into force in March 2019, replaces the 2012 Betting Law. The provisions of the new law are substantially the same, with minor amends introduced to address EU incompatibility concerns under the previous law (such as the requirement to have a local branch in order to obtain a betting licence). In July 2021 the local regulator introduced new rules and restrictions on gambling advertising.

CZECH REPUBLIC         
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: EU and EEA-based operators are able to apply for licences.
Status: The new gambling regulatory regime entered into force in the Czech Republic on 1 January 2017, allowing EU/EEA companies to enter the market. ISP-blocking measures are active in the jurisdiction. Tax rates reportedly increased to up to 30% of GGR for certain online gambling activities from January 2020.

DENMARK        
Regulated gambling products: Sports betting, fantasy sports, horse race betting, poker, casino, bingo and lottery.
Operator type: Licences for all gambling products are available to private operators save for lotteries, which are controlled by the state monopoly.
Status: The Danish online gambling regime went live on 1 January 2012. ISP-blocking measures are active in the jurisdiction and the Danish Gaming Authority (DGA) has been granted an injunction to block operators and suppliers that have been targeting Danish customers without the requisite licence. As of 1 January 2020, licensed operators are required to ensure that customers have set deposit limits before they are allowed to gamble, although it is understood this applies to online casino only. The DGA introduced new marketing regulations, effective from 1 April 2020. In August 2021 the self-regulatory ‘Gambling Advertising Board’ was established.

ESTONIA           
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Licences for all gambling products are available to private operators save for lotteries, which are reserved for the monopoly operator.
Status: Operators seeking to accept business from players in Estonia must be issued an activity licence for the type of gambling they wish to offer, then an operating permit to provide the services online. A blacklist of operators is maintained and updated by local authorities and ISP and payment blocking is in force. Though some operators argue that the regime is still not compatible with EU law, no notification alleging incompatibility has been issued by the EC since the requirement for licensees to main servers in Estonia was removed.

FINLAND           
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: All gambling products are under the exclusive control of monopoly provider Veikkaus Oy.
Status: Despite the existence of a national monopoly, EC enforcement action was dropped subsequent to various changes to Finnish laws. Active enforcement measures are in place (restrictive marketing for offshore operators in particular). In January 2022, amendments to Finland’s gambling law entered into force which grant the Police Board new powers to take administrative action against private operators that target the Finnish market. Provisions concerning payment blocking measures are scheduled to enter into force on 1 January 2023.

FRANCE            
Regulated gambling products: Sports betting, horse race betting, poker, bingo and lottery.
Operator type: Private operators can obtain online licences for sports betting, horse race betting and poker. The monopoly has exclusive rights to bingo and lottery.
Status: A regulated market since the introduction of a licensing regime in 2010, following which the EC withdrew its infringement proceedings. A new regulatory authority, L’autorité Nationale des Jeux, took over from ARJEL in June 2020. In March 2022, ANJ was granted administrative powers to block illegal gambling websites.

GERMANY
Regulated gambling products: Sports betting, horse race betting, virtual slots, online poker and table games.
Operator type: Horse race betting licences are available at a regional level. Sports betting licences can be applied for by private operators as of 1 January 2020. Since 1 July 2021, private operators have been able to submit licence applications to operate virtual slots and online poker. Online table games (such as roulette, blackjack and live dealer casino) are reserved to land-based casinos, most of which are state operated although in August 2021 the states of Schleswig-Holstein and North Rhine-Westphalia have passed laws to open a licensing systems to private operators to offer online table games in their respective states. In February 2022 the new pan-German gambling regulator – the Joint Gambling Authority of the States – launched its website. The regulator is due to formally commence operations in January 2023 (although it will assume certain responsibilities in July 2022).
Status: The main legal framework for gambling regulation in Germany has been the subject of much debate and has been heavily criticised by the EC and interested parties/states within Germany for a number of years. Discussions to reform the existing legislation resulted in the approval of the 3rd Amendment Treaty which entered into force on 1 January 2020. This removed the limit on the number of sports betting licences and reintroduced a sports betting licensing process. The ban on online casino remains in place, although there is an exception to the prohibition for S-H. In March 2020, the German prime ministers approved the new Interstate Treaty on Gambling which brings new licensing options for private operators for online poker and virtual slots (although stringent restrictions, such as stake limits, shall apply). In October 2020 a transitional toleration regime was introduced which permits operators to offer online poker and slots provided they comply with the toleration regime’s requirements and certain restrictions (such as stake limits); it is anticipated that the toleration regime will remain in place until such time that the virtual slots and online poker market fully launches. According to the May 2022 version of the ‘White List’ maintained by authorities in Saxony-Anhalt, the first online slots licence has now been granted.

GREAT BRITAIN             
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: All licences are available to private operators save for lottery, which is reserved exclusively for the monopoly provider, Camelot, until 2024.
Status: Any operator that transacts with, or advertises to, British residents requires a licence from the Gambling Commission (GC). Licensed operators are required to source gambling software from GC-licensed businesses. Last December, the government launched a “wide-ranging” review into the current gambling legislation in Great Britain. It is anticipated that any proposals for reform will be published in a white paper that is expected in the short term.

GREECE            
Regulated gambling products:  Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Under the permanent licensing regime, two ‘Types’ of licences are available to private operators: (i) Type 1 for online betting; and (ii) Type 2 for other online games (which includes poker and casino games). However, certain entities which were previously state-owned have the exclusive right to offer bingo, lottery and pari-mutual betting or fixed-odds betting on horse racing.
Status: In 2012, a ‘transition period’ commenced, whereby the Greek government granted 24 transitional licences to operators, enabling them to provide services to Greek residents. Legislation, which introduced an open licensing regime for online betting and “other online games”, including casino and poker, entered into force in 2019. However, the regulations implementing the new legal regime were not published until August 2020 and it wasn’t until July 2021 that the permanent licensed market launched.
UPDATE: Since Wiggin provided this round-up, Greece has raised the RNG stake limit to €20 from €2 and maximum winnings from €70,000 to €140,000, and also reduced the required time between ‘game rounds’ including slot spins from three seconds to two.

HUNGARY        
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Only the state monopolies and local concession companies can apply for a licence.
Status: Amendments to Hungarian gambling law came into force on 1 October 2015 and allow only two land-based casinos to hold remote casino concessions. The regulator has since issued fines, a number of which have been challenged, against unlicensed operators that continue to target the market. In June 2017, the ECJ determined Hungary’s gambling regime to be incompatible with Article 56 TFEU. A subsequent ECJ decision in February 2018 ruled against the Hungarian requirement that online gambling operators must have a land-based licence to offer online gambling services to Hungarian citizens, further strengthening arguments that the current regime is incompatible with EU law. However, in February 2022 Hungary notified the European Commission of two draft bills, one of which seeks to liberalise the local sports betting market by affording operators within the EEA the opportunity to apply for a local licence.

IRELAND           
Regulated gambling products: Online betting has been regulated since 2015. Online gaming is not specifically accounted for in Ireland’s outdated legislation and as such is currently unregulated.
Operator type: Private operators can apply for a betting licence.
Status: Ireland has contemplated updating its legislation, which will create a comprehensive igaming regime, for some time. Interim reform measures intended to modernise the regulation of gambling in Ireland entered into effect on 1 December 2020. Draft legislation published in April 2021 (by an opposition party) which, if passed, would restrict most forms of gambling advertising, progressed to committee stage in March 2022. In October 2021, the General Scheme of the Gambling Regulation Bill was published which covers, among other things, the planned introduction of a B2C and B2B licensing regime and the establishment of the Gambling Authority of Ireland. Pre-legislative scrutiny of the General Scheme commenced in March 2022.

ITALY
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Fully regulated market, although lotteries are the subject of a state monopoly.
Status: Remote gambling licences are granted within specific application windows. The last tender process for applications closed on 19 March 2018. AGCOM, the Italian communications regulator, has issued sanctions against operators and media companies for violation of the gambling advertising ban (introduced in 2018). Measures to combat unlicensed gambling, including payment blocking measures, entered into effect in October 2019. It is understood that Italian authorities are currently preparing a draft law on a 2023 licensing tender process that will reduce the number of available online licences to 40.

LUXEMBOURG
Regulated gambling products: Lottery.
Operator type: Monopoly.
Status: The general prohibition on gambling appears sufficiently wide to cover all forms of online gambling.

MALTA              
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Private operators can apply for a local licence (except for lottery products).
Status: In 2018, Malta approved a new Gaming Act that replaced all existing gaming legislation with a single piece of legislation, supplemented by secondary legislation. The Gaming Act, with directives and regulations, became effective on 1 August 2018.

NETHERLANDS              
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Private operators can apply for licences for all gambling products save for lottery.
Status: The Remote Gambling Act, which entered into force on 1 April 2021, set the framework for the Dutch licensing regime and market which opened on 1 October 2021 with the grant of 10 licences. Operators may now submit applications for a licence under the new regime. However, operators that have previously directly ‘targeted’ the Dutch market will face a 33-month cooling-off period before being eligible for a licence and may be liable to penalty for continuing to make their services available to Dutch players (even passively) until such time as they are licensed.

NORWAY          
Regulated gambling products: Sports betting, horse race betting and lottery.
Operator type: Online gambling is reserved for the two monopoly providers, Norsk Tipping and Norsk Rikstoto.
Status: The monopoly has extended its offering to include live betting, online bingo and casino games in an attempt to redirect traffic from unlicensed sites. The Norwegian regulator continues to step up enforcement efforts against unregulated operators, local banks and payment service providers. The government has passed amendments to try and stem the flow of gambling supply from offshore, including enhanced enforcement powers to prevent gambling advertising from abroad. Expanded payment blocking provisions entered into effect on 1 January 2020. Draft legislation consolidating Norway’s various gambling laws and further strengthening the regulator’s powers to address unlicensed gambling (such as through website blocking) and the advertisement of the same was submitted to Norwegian parliament for debate in June 2021, together with related consultations in September 2021. The draft legislation was approved in March 2022 and is scheduled to enter into effect on 1 January 2023.

POLAND            
Regulated gambling products: Sports betting, horse race betting, casino and poker.
Operator type: Betting licences are available for companies with a representative in Poland. Casino and poker are reserved for a state monopoly.
Status: Legislation enacted 1 January 2012 permits betting. Online gaming (including poker) is no longer prohibited as of 1 April 2017, although the exclusive rights to offer such products are reserved for a state monopoly. Provisions that provide for the establishment of a blacklist of unlicensed operators and ISP and payment blocking came into force on 1 July 2017. The blacklist contains more than 1,000 domain names.

PORTUGAL       
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Any EU/EEA operator can apply for an online gambling licence. Lottery and land-based fixed-odds sports betting are reserved for the monopoly.
Status: A regulated market since 2015. Although operators can apply for licences, their Portuguese revenue streams are subject to comparatively high tax rates, particularly in sports betting. Portugal’s 2020 Budget implemented changes to the current taxation rates applicable to selected gambling products offered online. The Portuguese government has instituted legislation that imposes a partial or total ban on online gambling for the duration of the Covid-19 pandemic. The legislation does not state the specifics on the limitations, but it is understood that it will apply to online casino only (if implemented).

ROMANIA         
Regulated gambling products: Sports betting, horse race betting, casino, bingo and lottery.
Operator type: Any operator from an EU/EEA jurisdiction or the Swiss Confederation can apply for a licence. Lottery games are reserved for the monopoly.
Status: The Gambling Law (as amended) introduced a legal framework for a fully regulated online gambling market and requires licences to be held by online gambling operators, as well as software providers, payment processors, affiliates and testing labs. After some delay, the secondary legislation that fully implemented the new licensing regime came into force on 26 February 2016. The gambling regulator actively polices the regime and notifies ISPs to block blacklisted websites.

SLOVAKIA        
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Private operators can apply for licences for online casino as of 1 March 2019 and for sports betting licences from 1 July 2019. Lottery and bingo remain reserved for the monopoly provider.
Status: The requirement that only land-based Slovenian operators are eligible for licences is considered by certain industry stakeholders to be incompatible with EU law. In September 2021, draft amendments to the Gaming Act were published by the government that seek to address the Act’s compatibility with EU law. The amendments are currently under discussion in parliament.

SLOVENIA             
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.
Operator type: Online gambling must be operated by land-based casinos or lotteries and, as a result, only the monopoly holds online licences in Slovenia.
Status: The requirement that only land-based Slovenian operators are eligible for licences is considered by certain industry stakeholders to be incompatible with EU law. Draft amendments to the Gaming Act were published in 2015, which aimed to remove the current local establishment requirement. However, the proposal does not appear to have been submitted to parliament to date. Whether any proposed amendments will ultimately introduce an open licensing system remains unclear.

SPAIN  
Regulated gambling products: Sports betting, horse race betting, poker, casino, bingo and lottery.

Operator type: Private operators can apply for licences for all gambling products save for lottery.
Status: Operators must hold a general licence and a specific licence, both issued by the National Gambling Commission, for each activity. Remote gambling licences are granted within specific application windows. The last tender process for applications closed on 18 December 2018. In November 2020, Spain introduced significant restrictions on gambling advertising, sports sponsorship and welcome bonuses

SWEDEN            
Regulated gambling products: Betting (including sports, horse race, pool, exchanges), casino, poker, bingo and lottery.
Operator type: Licences are available for private operators.
Status: As of 1 January 2019, Sweden is a fully regulated market. All gambling operators that wish to offer their services to Swedish residents will be required to obtain a licence in order to validly do so (either a ‘betting’ licence or a ‘commercial online games’ licence, depending on the product(s) being offered). Active enforcement measures are in place. In January 2022, the Swedish government announced proposals to strengthen the regulation of gambling in the territory by introducing, for example, a B2B licensing regime and further restrictions concerning the promotion of illegal and unlicensed gambling.

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In the committee’s version of the bill, the excise tax on betting stakes would remain at 7.5%, while no new tax would be brought in for gambling advertising.

Both of these were amendments from the Treasury’s version of the bill, which proposed a 20% excise tax on betting stakes, plus a 15% tax on gambling advertising spend.

The committee argued that this was not wise, however, as the current 7.5% rate has been in place for less than one year, so there has not been enough time to judge if it has been a success.

“The committee observed that excise duty on gaming activities had been increased in the Finance Act, 2021 and there is therefore need to give the sector time before taxes are increased,” the committee said. “The committee therefore recommends that the amendment be deleted.”

Regarding the tax on ad spend, the committee pointed out that “there are already regulations regulating advertising of gaming activities in the country”. As a result, it said attempting to also indirectly regulate gambling ads by taxation was “not necessary”.

The Treasury had attempted to increase the tax on betting stakes to 20%. The rate had previously been raised from 10% to 20% in 2019, and since then has become a major source of conflict with efforts to both raise and lower the tax rate.

After the increase to 20% – which itself had followed a long dispute over a different 20% tax on player winnings – came into effect, local market leaders Sportpesa and Betin both withdrew from the market.

In 2020, though, the Finance Committee said tax revenue was lower after raising the rate, in part as a result of these market exits. It therefore proposed repealing the tax entirely, a proposal that was accepted by Parliament and signed into law by President Uhuru Kenyatta.

However, Treasury Secretary Ukur Yatani then immediately said that the tax should never have been scrapped and that the government was working to bring it back.

It took steps to do just that with the 2021 Finance Bill, which again stated that excise duty should be 20% of the amount wagered or staked on betting products.

However, the Finance Committee again made changes, this time reducing the stake levy to 7.5%.

This came after the committee heard evidence from a number of stakeholders, including Sportpesa. The operator, which resumed operations in Kenya in November 2020 after an earlier attempt was derailed by a legal challenge, argued that the tax on stakes was contrary to the country’s excise duty law.

The 7.5% rate ultimately made it into the final version of the Finance Bill that became law.

The bill will now go to the floor of the National Assembly, where it could potentially be subject to further changes. If approved by both the National Assembly and the Senate, it may be signed into law by Kenyatta.