The Swedish Trade Association for Online Gambling (BOS) has voiced its support for the National Audit Office’s recent recommendation to review Sweden’s Gambling Act. The report, which sheds light on deficiencies in the regulatory supervision of the gambling market, highlights the need for more stringent measures to curb unlicensed gambling operations in the country.
The National Audit Office’s investigation focuses on the Swedish Gambling Authority’s oversight of the gambling industry. It emphasizes the gaps in the current legislative framework that allow certain unlicensed gambling companies to operate legally in Sweden. The BOS has welcomed the report’s findings and agrees with the proposal for a comprehensive review of the Gambling Act, particularly in terms of how the law defines illegal gambling operators.
Licensing Loopholes in the Current Legislation
At the heart of the issue is the scope of application within Sweden’s Gambling Act, which dictates which unlicensed gambling operators are considered illegal. Under current legislation, operators that offer their services in English and use the euro currency are not classified as illegal despite lacking a Swedish gambling license. On the other hand, companies that provide their services in Swedish, use the Swedish krona, or offer Swedish-speaking customer support are considered illegal if they don’t hold a license.
This discrepancy has created a significant loophole that allows unlicensed operators to target Swedish consumers while circumventing the legal framework intended to regulate the market. BOS Secretary General Gustaf Hoffstedt strongly advocates for closing this gap. “That today’s gambling legislation allows such extensive parts of the gambling market to operate without a license is unsustainable,” Hoffstedt stated.
BOS Calls for Expansion of the Gambling Act
For years, BOS has lobbied both current and previous governments for an expansion of the Gambling Act’s scope of application. Hoffstedt reiterated that extending the law would make it illegal for unlicensed gambling companies to operate in Sweden, thus forcing them to geo-block Swedish consumers. “It is very welcome that the National Audit Office reasons in a similar way in the report,” he added.
The BOS supports the National Audit Office’s stance that unlicensed gambling companies targeting Swedish consumers without adhering to local regulations should face stricter consequences. This extension of criminalization would help create a more regulated and safer gambling environment in the country, in line with the original goals of the Gambling Act.
A Push for Better Regulatory Oversight
The National Audit Office’s report also criticizes the current oversight practices of the Swedish Gambling Authority, Spelinspektionen. The report argues that the authority’s inability to regulate all unlicensed operators undermines the effectiveness of the country’s gambling legislation. Spelinspektionen has been unable to prevent unlicensed operators from exploiting the regulatory loophole, which further complicates efforts to ensure a well-regulated gambling market.
The BOS has expressed its agreement with the report’s assessment that Spelinspektionen needs to strengthen its regulatory framework. By revising the scope of the Gambling Act and expanding its jurisdiction, the BOS believes the authority will be better equipped to protect Swedish consumers from the risks associated with unlicensed gambling operators.
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