admin

The government has launched a consultation on the proposal to ban all broadcast gambling advertising from January 1.

The Netherlands.- Gambling operators in the Netherlands were surprised earlier this week to learn that the Dutch government plans to ban all TV, radio and outdoor gambling advertising from January 1. Gambling sponsorship arrangements would be phased out in two stages over subsequent years – first media sponsorship from January 2024, and then all sports sponsorship in 2025.

The government has now launched a first-stage consultation on the proposed ban to seek feedback from all those affected, including “consumers, media agencies, sports clubs and gambling operators”. The consultation will run until September 4.

The government has told the Ministry of Legal Protections to define “untargeted adverts” and to clarify the technical resources that will be required to impose the ban. It’s believed that the Dutch regulator, KSA, would be responsible for policing the new measures, but it’s not yet clear whether the state-owned lottery will also be included in the ban. If it isn’t, other gambling operators are very likely to challenge the decision.

While MPs have called for action on untargeted gambling ads due to what they see as a saturation since the regulated online gambling market launched in October, Franc Weerwind, who as minister for legal protections has responsibility for gambling, said he opposed a blanket ban because he saw advertising as necessary for channelling to the regulated market.

Weerwind now argues that the proposed advertising ban will not unbalance channelling goals and that the phased approach would give operators time to adapt. Online and direct advertising will still be allowed.

However, the gambling industry groups VNLOK and NOGA claim that gambling operators were denied the right to demonstrate the effectiveness of their self-regulatory measures. They reached an agreement on a code of conduct in March to reduce advertising saturation and improve targeting.

At the start of this month, the Netherlands introduced a ban on the use of role models in gambling advertising.

Industry commentators Earnings + More claim to have received leaked details of Britain’s proposed changes to gambling legislation.

UK.- Passive affordability checks on losses of £125 a month, a default stake limit of £2 to £5 per spin for online slots and a ban on online VIP schemes. These are some of the measures to be included in the UK gambling white paper, according to the latest leaked information.

Industry commentators Earnings + More claim to have received details of the proposed new gambling legislation from reliable sources. Part of what they report certainly matches previous rumours, so it seems fairly convincing, although they note that discussions between the DCMS and the Gambling Commission are ongoing.

Stake limits for online casino
We had already heard that the government planned to propose stake limits of between £2 and £5 for online slots. This was one widely expected result of the review of gambling legislation since it would bring online slots in line with land-based FOBTs, which have a £2 stake limit.

However, the latest leak suggests that this would be a “smart stake limit“. The default stake limit would be set at £2 to £5, but customers who so wish could request to go through enhanced checks in order to raise that limit to something between £10 to £25.

It appears that the intention is to decide the exact figure after a consultation in autumn. There would be no stake limits on betting or other types of casino games.

Affordability checks
One more surprising suggestion is that affordability checks will kick in at a loss of £125 a month or £500 a year. The Gambling Commission had previously put forward a loss limit of £100 for affordability checks, and the proposal was generally criticised as being overly restrictive.

However, under the new proposals, these initial checks would be passive and automatic, with the customer not noticing them. They would include automatic checks for signs of financial distress such as county court judgements, with the complete details to be figured out by the Gambling Commission in an imminent consultation.

More detailed checks on a customer’s finances would reportedly be required in cases where a player loses £1,000 in a 24-hour period or £2,000 within 90 days (or £500 in losses in 24 hours for the new accounts in their first month). The intention is that these checks would also be “largely frictionless for customers”, initially being conducted online via credit reference agencies and open banking.

Information would only be requested from customers themselves when necessary to complete an assessment. However, the government and the Gambling Commission will also reportedly explore the possibility of mandatory deposit limits online.

Promotions
One of the other areas that has been contentious for the industry has been a call from campaigners to ban free bets. According to Earnings + More, the white paper will propose a ban on online VIP schemes. It will not ban free bets completely but will ban the targeting of free bets and other bonuses based on a customers’ spend or losses.

As for advertising, it’s already been reported elsewhere that the Premier League is hoping to avoid a complete ban on gambling sponsorship by reaching a voluntary agreement to phase out front-of-shirt placement for gambling operators.

Land-based casinos
Small casinos licensed under the 1968 Gambling Act (around 70 of the 1968 Act casinos) will be eligible for the same gaming machine allowance as larger venues. Land-based casinos will also be able to offer sports betting, but it’s not yet clear if this will apply to all casinos or only larger casinos licensed under the 2005 Gambling Act.

Casinos in London’s Mayfair district will reportedly be allowed to offer credit to international customers after “stringent checks” and may be able to introduce machines with higher limits on stakes and winnings.

The Gambling Commission
It’s suggested that the Gambling Commission will be given the power to set its own fees, with fees almost certain to rise. The regulator will also get the power to require bulk data from online operators.

It also appears that finally a levy for research, prevention and treatment (RET) funding will go ahead, to be set at 1 per cent of GGY for online operators. This will be paid directly to the Gambling Commission under the DCMS’s “strategic direction”.

A consultation in autumn will look into the creation of a gambling ombudsman to resolve complaints from customers against operators.

It appears that there will not be a licensing regime for online affiliates nor will white label arrangements face new legislation. However, Earnings + More’s sources say that, despite claims that the white paper is finished, the government and the Gambling Commission are still discussing much of the detail and that a second draft is believed to be in circulation.

There is still no clear timeline for when the paper will be published. The government has said it will be published “in the coming weeks”, but it’s been saying that for months, and matters have been delayed further by the resignation of Chris Philp and the handing of responsibility for the review to Damian Collins, the new parliamentary under-secretary of state for online safety.

The island will overhaul its liberal licensing regime following international pressure.

Curaçao.- The Caribbean island of Curaçao has announced plans to radically overhaul its famously liberal licensing regime for online gambling operators. It will create a new licensing body, which will tighten the requirements for operators and will liaise with other international regulators to tackle illegal gambling.

The new licensing regime will replace the current system of master licences, which has been criticised internationally for a lack of scrutiny over operators. As part of the Kingdom of the Netherlands, Curaçao has come under increased pressure to tighten its licensing system since the Netherlands launched its regulated online gambling market last year.

Under the current system of master licences, only four businesses have direct licences from the island’s government, but each can then offer sub-licences of their own, and under their own terms. The system effectively granted the four master licence holders most of the control over licensing and saw the number of operators proliferate.

But a bill passed by Curaçao’s Council of Ministers will see the creation of a new independent state licensing body, the Curaçao Gaming Authority (CGA), which will issue both B2C operator and B2B supplier licences. Fees for the licences are expected to be around €4,000 to apply and then €12,000 per year plus a monthly fee of €250 per URL.

The government has begun registering current sub-licensees, who will all initially be able to move to the new system through 12-month transitional licences. Licensees will need to meet new controls to continue to maintain their licences, including tighter money laundering measures and a new requirement for a minimum of three employees in key positions to be based on the island itself. That’s likely to force some operators to leave the jurisdiction.

It’s also expected that the CGA will enter into agreements to cooperate with other global regulators, which suggests it may look to prevent operators from targeting particular jurisdictions. However, there are not expected to be specific rules against targeting any particular market.

The bill will now go to consultation with advisory bodies with the final draft expected to be put to Parliament by the end of the year.

The major European gambling hub of Gibraltar has also introduced new rules for operators to have a more prominent local presence as part of its licence conditions.

Last year, Sander Dekker, then the Dutch minister for legal protection, said the Netherlands’ government was planning to implement an action plan designed to clamp down on unlicensed gambling operators targeting Dutch players from Curaçao. He noted that the island had accepted the proposal of an independent gambling regulator.

Questions on the issue were raised in the Dutch parliament after an article in the investigative journalism site Follow the Money claimed that there were 12,000 illegal gambling sites operating in Curaçao and that the island was responsible for 40 per cent of all unregulated gambling internationally due to a web of sub-licences.

Meanwhile, the Swedish gambling regulator, Spelinspektionen, has injunctions against several Curaçao-licensed gaming operators, ordering them to stop targeting the Swedish market. It issued injunctions against Disrupt Entertainment Limited, Nero Media and Indigo Soft, among others.

A ban on broadcast gambling ads will come into effect at the start of next year, and sponsorship will be banned from 2025.

The Netherlands.- The Dutch government is finally moving ahead with its plans to ban “untargeted” gambling ads in the country. Broadcast ads will be banned from January and gambling sponsorship in sport will be banned from the start of 2025.

The Ministry of Legal Protection has drawn up the plans having faced pressure from MPs for several months due to the surge in gambling advertising seen after the Dutch regulated online gambling market launched in October last year.

The ban on broadcast ads covers not only television but also radio and advertising in public spaces. It will come into effect from January 1. Further measures will be phased in over the two subsequent years. Sponsorship of television programs and events will be banned from January 1, 2024 and the sponsorship of sports kits and venues will be banned from January 1, 2025.

The ministry said the staggered prohibition was intended to “give the sports sector the opportunity to find alternative sponsors”.

The national gambling regulator Kansspelautoriteit (KSA) will be responsible for monitoring compliance with the rules and will have the power to intervene in the case of breaches, first with a warning and then with fines.

Minister for legal protection Franc Weerwind said: “Today we have taken an important step towards further curbing gambling advertisements. Advertising is a means of directing people to the legal offer, but the importance of addiction prevention is more important.

“With this, I want to protect vulnerable groups such as young people in particular.”

Weerwind has previously insisted that some form of advertising was necessary to direct players to legal offerings. Under the new rules, online and direct marketing will be allowed, but the government said the rules would be tightened to protect vulnerable groups.

Yesterday, Kindred’s Unibet went live in the Netherlands under its new Dutch gaming licence. It had been blocking Dutch players since the regulated market launched in October. It’s operating at Unibet.nl. The brand has already signed a sponsorship deal with the football club Ajax.

The British regulator will review its penalties for regulatory breaches.

UK.- The Gambling Commission will carry out a consultation on its penalties for breaches of regulations and on how to improve gambling operators’ accountability. The regulator said it aimed to be more transparent on its enforcement action and about how penalties are calculated.

The regulator will seek feedback on how to improve the way it calculates penalties in order to ensure that they are more effective in encouraging operator compliance. It will also look at how accountability can be improved by expanding the personal management licence regime.

Senior policy director Tim Miller revealed the plans for the consultation at a CMS Tax/Law Gambling Conference in London last week. He said the industry should not be surprised by the move given that the Gambling Commission has warned on several occasions that it was unsatisfied with repeat failings in operators’ customer interactions.

He noted that too many operators still failed to fulfil their duties when it comes to detecting customers that show signs of potential gambling harm and carrying out interactions with them.

He said: ‘Both the commission and the government have stated publicly that more work is needed here, especially on how operators understand whether they are allowing customers to gamble in ways that are unaffordable. So a continuing focus on this should come as no surprise to anyone.”

Miller said there would be changes in how feedback is collected from stakeholders. He said the regulator recognised that it had been criticised in the past for having “sometimes taken a scattergun approach”. Now, rather than running consultations as and when it feels like it, the regulator intends to run “consultation windows” with a set schedule in two fixed periods each year.

Miller said: “I can’t promise we won’t ever be forced to issue a consultation outside these periods but that should be the exception rather than the rule and we would clearly explain why we needed to depart from the usual window.”

Last week, the Gambling Commission has announced that it has suspended Bet-at-home’s British licence while it conducts an investigation into its operations. It said that it suspects the Dusseldorf-headquartered operator, which has offices in Gibraltar and Malta, may have breached social responsibility and anti-money laundering rules.

Meanwhile, the timeline for the UK government’s already long-delayed white paper proposing new gambling legislation has been put in further doubt following the resignation of Chris Philp, the minister responsible for overseeing the review of the 2005 Gambling Act.

Maryland six casinos registered $162.7m in gaming revenue in June, up 0.8 per cent compared to the same month last year but down from May’s $178.8m.

US.- Maryland’s casinos registered $162.7m in gaming revenue in June, a slight increase of 0.8 per cent compared to June 2021. According to the report released by the Maryland Lottery and Gaming Control Commission, the state’s six casinos’ gaming revenue decreased from May’s $178.8m.

More than $68.4m was contributed to the state, the majority of which goes to the state’s Education Trust Fund.

Leading the way for casino revenue was MGM National Harbor, which generated $68.4m – up 7.4 per cent year-on-year. Live! Casino & Hotel recorded $56m, down 4.2 per cent compared to June 2021.

Horseshoe Casino generated $17m while the state’s three smaller casinos, Ocean Downs, Hollywood Casino and Rocky Gap, all had June gaming revenue totals that were lower than in the same month last year.

Sports betting in Maryland
Maryland’s Sports Wagering Application Review Commission (SWARC) has held a meeting to review proposed sports betting rules and applications for retail establishments and mobile operators. It comes after governor Larry Hogan urged the commission to “accelerate and intensify” its work to get mobile sports gambling up and running by September.

Hogan signed a bill to legalise online and retail sports betting in Maryland last year after voters approved sports betting through a November 2020 referendum. Retail betting has been available for six months, but online sports betting has not yet launched. Hogan has said he wanted to have mobile sports betting in time for the NFL season in September.

The commission may approve regulations and applications at its next meeting, which is scheduled for July 20. There will be 60 mobile and 30 retail licences available. Several steps remain before regulations are in place.

Once approved by the SWARC, the regulations need to be approved by the General Assembly’s Joint Committee on Administrative, Executive, and Legislative Review. After that, the rules are subject to a 30-day public comment period. That may lead to additional tweaks to the rules before they’re ultimately implemented. There is still no definitive timeline for launch.

The All-Party Parliamentary Group on Gambling-Related harm will write to prime minister Boris Johnson about the matter.

UK.- Anti-gambling MPs appear to be preparing their response on the back of reports that the UK’s overhaul of gambling legislation will be watered down. Members of the All-Party Parliamentary Group on Gambling-Related Harm have said they plan to write to Boris Johnson to voice concern about the gambling industry’s influence on Downing Street.

The group, led by Tory MP Iain Duncan Smith and Labour MP Carolyn Harris, will raise concerns about policy advisors with past links to the industry. They say they fear such advisors may be opposing tougher regulation.

Their concern comes after The Guardian newspaper reported that gambling operators had spent £280,000 on MPs, paying for trips to Wimbledon, Lord’s and the Euro 2020 football tournament plus fees for speaking engagements and second jobs. It highlighted cases of MPs speaking in parliament against gambling restrictions on the same day or soon after receiving hospitality from the industry.

Harris said: “It would be deeply concerning if unelected officials in No 10 with ties to gambling are now involved in making decisions about the contents of the government’s gambling white paper. Frankly, the people of this country deserve better and it would bring into question all the outcomes of this review that we have already waited far too long for.”

Proposed reforms to gambling legislation are believed to have now been drafted by the Department for Digital, Culture, Media and Sport (DCMS). The prime minister will then decide whether to adopt the proposals, which the government still says it will publish “in the coming weeks”.

One proposal known to be on the table is for the Premier League to adopt a voluntary ban on front-of-shirt sponsorship. Clubs will vote on whether they agree with the league’s proposal, but it’s not yet clear whether the government would definitely accept the compromise, which would let clubs continue to display gambling advertising elsewhere.

According to reports, the proposals will include a stake limit for online casinos and new affordability checks, but may not include a mandatory levy to fund treatment for gambling harm. According to The Guardian, several cabinet ministers along with Boris Johnson’s parliamentary private secretary, Andrew Griffith, and deputy chief of staff David Canzini, are unconvinced by the DCMS’s proposals, which could be what’s been holding things up for so long.

Griffith previously worked as chief financial officer of the Sky media group, which has a brand licensing deal with SkyBet. Sky sold a 20 per cent stake in the betting brand to Flutter while Griffith was at the company.

Meanwhile, Canzini has worked for the lobbying firm CT Group, which worked with Entain to create the gamblers’ advocacy group the Players’ Panel, whose launch caused controversy after members posted racist messages on Facebook.

The government has said that all of Griffith and Canzini’s interests were properly declared and that they had no financial interests in the gambling industry. It said Griffith had no links with Sky Group after leaving the company in July 2019.

Meanwhile The Guardian found 38 MPs received £280,000 in salaries, hospitality and fees for speaking engagements in the period before the review of gambling legislation. Earlier this year, Jonathan Gullis MP had to apologise for forgetting to declare tickets received for a football match before he read from a briefing written by Bet365 during a Westminster debate.

Other MPs to have received significant fees or hospitality from the sector include Tewkesbury MP Laurence Robertson, Shipley MP Philip Davies, Blackpool South MP Scott Benton and former gambling minister John Whittingdale.

iGB Live! opened Wednesday 6 July with organisers confident of celebrating a record-breaking edition of gaming’s fastest-growing B2B and affiliate in-person event.

Press release.- Industry professionals converged on the Amsterdam RAI to Connect, Converse and Convert alongside 190 sponsors and exhibitors occupying over 4,500 sqm of space.
Naomi Barton, Portfolio Director for the iGB brand said: “We are delighted to open the 2022 edition of iGB Live! and to welcome our international stakeholders to Amsterdam. We are looking forward to building on the success of the 2021 edition of iGB Live! and more recently April’s iGB Affiliate London as we consolidate the show’s status as one of the most influential in-person events in the gaming industry calendar.”

Reflecting on the dynamics of the show, she added: “This edition of iGB Live! is larger than the 2019 pre-pandemic edition when there was a greater concentration on smaller shell-scheme stands. In 2022 we have more exhibitors buying larger space-only stands, which underlines the growing status of the brand, a preparedness on behalf of the industry to invest in their presence and to view iGB Live! as an opportunity to showcase brands.

The legislature has approved a bipartisan deal to expand funding for the Michigan Gaming Control Board.

US.- Michigan’s legislators have reached a deal for the state’s Fiscal Year 2023 budget, which includes $7m in additional funding for the Michigan Gaming Control Board (MGCB). This deal now heads to Governor Gretchen Whitmer’s desk to await signature. It’s expected to take effect on October 1.

According to the deal, the new funding will support a comprehensive responsible gaming messaging campaign, direct citizens to services available for problem gambling and extend outreach to community organisations. The budget should address capital concerns and ensure the MGCB can continue its current level of service to charities without any increase in licensing fees.

Additional funding has been approved for new positions and IT support/ infrastructure to assist with the increase in internet gaming activity, internet sports betting, and fantasy contests. The funding will increase network storage capacity and network speeds at MGCB casino offices to support operations, including the transfer of large regulatory files.

MGCB executive director Henry Williams, said: “I would like to thank Governor Whitmer and the legislature for their leadership and a budget deal that recognizes the crucial role the MGCB plays in ensuring fair and honest gaming in the State of Michigan.”

Williams added: “Our 2023 budget emphasizes investments to help strengthen our mission and integrity, support local charities, and educate Michigan citizens on ways to enjoy gaming responsibly.”

The Malta Gaming Authority has issued a licence to allow National Lottery PLC to take over the running of the country’s lottery.

Malta.- The Malta Gaming Authority (MGA) has issued a new ten-year licence for Malta’s National Lottery. The regulator granted the licence to IZI Group’s National Lottery PLC, which replaces Maltco Lotteries Limited as the operator of the lottery.

The new operator was granted exclusive rights after the government’s Privatisation Unit issued a Request for Proposals in July last year. A concession agreement was signed by the Ministry for the Economy, European Funds and Lands in March.

It’s the first time in 18 years that a fully Maltese-owned company has operated the lottery. It was the second attempt by IZI Group to win the licence after it participated in the last bid in 2012 but lost against Maltco Lotteries. Owned by Intralot, Associated Supplies Limited and The Players Group (24%), Maltco Lotteries has run the Malta National Lottery since its privatisation in 2003 but did not participate in the latest tender.

MGA chief executive Carl Brincat said: “The Authority is confident that the concessionaire shall dedicate all resources necessary to maintain the very highest level of operational and compliance standards, and as has already been made clear, will invest in taking care of its players and doing its utmost to avoid gaming-related harm.”

National Lottery PLC chief executive Johann Schembri said: “Today marks a new era for the National Lottery of Malta. The licence attained from the Malta Gaming Authority affirms the hard work that we have been undertaking and our commitment to deliver an innovative, forward-looking and above all, fair and transparent, national lottery service.”

Malta’s minister for the economy, European funds and lands Silvio Schembri said: “I’m sure that the new National Lottery licensee shall continue to enhance the popular National Lottery Games, such as the Lotto and Super 5, among others, as well as introduce other games which will further enrich the games portfolio.

“Together, we have ensured that National Lottery PLC will be committed to promoting, designing and putting into practice the principles of actively responsible gaming, while protecting the personal well-being of players. The national economic profit that translates from gambling should be given importance, but not at the expense of the player.”

Malta National Lottery rebranding
All existing lottery outlets displaying the Maltco brand are being rebranded as National Lottery while IZIBET will be the sports betting brand and product.

IZI Group chief commercial officer Franco De Gabriele said in May: “We are proud that after 18 years since the privatisation of the national lottery of Malta in 2004, the lottery will be operated for the first time by a wholly-owned Maltese company, whose mission is to provide the market with a service that is local, innovative and of the highest levels of quality.

“Our first decision was to re-establish ‘National Lottery’ as the corporate brand, restoring the name after a very long absence. This is the first step towards bringing back the national identity of this national concession, a service provided by the Maltese to the Maltese.”

National Lottery PLC has entered into deals with EveryMatrix and International Game Technology (IGT) for online games and technology.

Last month, the G7’s anti-money laundering (AML) watchdog the Financial Action Task Force (FATF) removed Malta from its “greylist” of untrustworthy jurisdictions. The decision was taken months after the FATF visited Malta to inspect reforms, including the country’s implementation of an AML action plan.

Meanwhile, the Malta Gaming Authority has banned former compliance officer Iosif Galea from acting as a director for any of the gaming businesses that it licences. He has been stripped of one current directorship.

It said it had notified Galea of the cancellation of any approvals for him to act as director for Maltese gaming licensees. He only held one such position at the time.