Joonas Karhu from Bojoko discusses the probable dismantling of the Veikkaus monopoly in Finland, and what it means for operators and associated companies that follow the market closely.
Finland's relationship with casino and tipping is interesting. For decades, the state has had a monopoly on land -based and online betting, with Veikkaus running the show. However, Finnish players are free to play on foreign gaming companies if they wish.
Many find plays at foreign gaming companies
And playing on foreign companies is on a large scale among the Finns. Pools Even estimates that around 50% of Finnish players gambling with other companies (which means that more than half of all digital revenues go abroad) with the percentage that continues to rise at a steady pace. This can be compared to the situation in USA.
More parties in Finland want to abolish the monopoly
This, and other factors, has caused the monopoly to question.
In fact, a recent survey of all political parties in Finland found that the majority agreed to abolish the monopoly and regulate and licenses the market so that other gaming companies (online casinos) Can operate in the country. The only exception was a small party, which probably wants to know a little more first.
Book with critical facts led to change in practice
The publication of the book called Veikkaus Croatia, in early 2021, questioned the bias in the monopoly and highlighted the challenges it poses, including the risk of corruption.
This led to the Finnish parliament changing how the monopoly was financed, and moved sur directly into the state budget instead of letting Veikkaus control how and where it was used. This, combined with the fact that half of all players focus on foreign gaming sites, has finally led to action.
What benefits can regulation have?
Protection for more players against unhealthy gambling.
The first, and most important thing, is to lower the rates for problem playing. Veikkaus undoubtedly does a good job of promoting responsible game And give the players the tools they need to control their gaming, but with half of all players focusing on foreign gaming companies, many are at risk.
Markets with Monopoly have more problem players
This is why gambling problems are often much higher in markets with monopoly. In USA, for example, the gambling problem has doubled over the last seven years and is more than four times higher than in Spain or the United Kingdom - countries that have open regulated markets.
Actually have UK Gambling Commission Just published statistics showing that it has a historically low problem gambling rate of only 0.2%.
Finns want choices
There are several finds that are not satisfied with the offer that Veikkaus has to offer, and believes they can get a better offer at foreign gaming companies. This also has great similarities to the situation in USA.
Joonas Karhu believes that being able to offer Finnish players the choice to invest in several gaming companies, under a safe framework where they meet the necessary criteria for a License, certainly the best way is ahead.
Regulation and licensing can also be good for the Finnish government in the form of:
- Tax
- Establishment of offices in the country
- Investment
- Increased employment
- Organizations with global reach
- Increased access to talented local staff
Karhu envisions that any regulations and licensing requirements will be equal to Sweden. It remains to be seen what will be the final decision, but maybe implementation in Finland can get USA to follow in the same direction? Last words are not said in this case.
Source: EGR Global