Sweden: 10 gambling companies fail to meet consumer protection standards

License holders in Sweden fail to protect at-risk players

According to Spelinspektionen, the Swedish Gambling Authority, licensed brands in the country have failed to put in place adequate consumer protection mechanisms, putting people at risk, and brand licences now require further scrutiny.

As one of the most heavily regulated, albeit newest markets, Sweden requires every casino that operates legally in the country to have consumer-focused protection plans to help prevent gambling addiction and address gambling-related harms. These requirements do not apply to the so-called Nya Casino Utan Svensk Licens, new casinos without a Swedish license that are successful and very popular among Swedish players.

However, a recent review by Spelinspektionen found that as many as 10 licence holders had failed to meet the preliminary requirements set out in Sweden's Gambling Act, which came into force on 1 January 2019, when Sweden officially launched its gaming industry. .

Spelinspektionen inspected all 67 licensed operators, although it did not specifically disclose what criteria the regulator used to determine adequate player protection. According to the regulator, 10 operators lacked the tools and internal mechanisms to track problem and at-risk players and respond to excessive gambling by individuals.

nya casino utan svensk licens

Comply with money and deposit limits

Spelinspektionen has recommended that operators begin to monitor players who increase their deposit limits, as in most cases this is indicative of problem gambling behaviour or at least suggests that players who increase their limits are often at risk of excessive gambling practices. .

Consequently, all operators should monitor the actions of anyone who increases their deposits or sets high limits from the outset. Spelinspektionen has previously offered a guide to the main player archetypes that exist today, classifying them as:

-Pleasure players.
-Players at risk
-Problem players

As part of the licensing agreement, operators were obliged to pay special attention to at-risk players and provide them with information on responsible play. However, as the latest inspection revealed, 10 operators did not comply with the requirements.

In particular, the aforementioned companies struggled to protect players or monitor their actions. They also failed to provide any information about gambling problems. Although some operators applied restrictions, but only at the prior request of players.

What will Spelinspektionen do next?

As Spelinspektionen scrutinises operators in the country, operators are facing other challenges as well. The Swedish government recently adopted a weekly deposit limit of $540 to protect at-risk players during the COVID-19 blocking period, although Sweden has never fully implemented restrictive measures.

All bonuses during this period are to be capped at $10 and the measures will be implemented tomorrow, July 2. The company has protested against the measures, warning that over-regulation can only lead to players turning to the offshore sector.

Nevertheless, the government is determined to see the proposed changes through. Interestingly, even Spelinspektionen warned against over-regulating the industry during the outbreak, citing the same reason as business leaders.