Sweden Seeks Change as iGaming Restrictions Expire

Swedish punters can start counting down the days as the temporary gambling restrictions will officially expire on 14 November 2021. Sweden’s government made a public announcement on 28 October where they confirmed the covid-induced gambling caps will fall away.

In the press release, Spelinspektionen received instructions to investigate the impact that these measures had. The Inspectorate is to propose alternative measures to improve consumer protection.

 Liberty, but for How Long?

To minimise risk to vulnerable consumers, Swedish online casino operators and players had limit requirements imposed on them from June 2020. Until 14 November, players may not receive a bonus exceeding SEK100, deposit or lose more than SEK5,000 per week, and players need to limit their gambling time. They implemented these temporary regulations because of workers being sent home as protection measures against Covid-19.

Less than two weeks from now, punters will have more freedom in their gaming, and casino operators may once again offer bonus deals in line with pre-Covid offers. How long these freedoms will be available is unclear though as the Swedish Gambling Inspectorate needs to propose new measures to the government. 

Ann-Sofie Olsson from Sweden’s trade association for online gambling expressed her concerns regarding the uncertainty for players and operators alike:

“We welcome this decision, but we cannot stress enough that a sustainable regulated gaming market needs long-term and consistent, not temporary regulations.”

Although Covid-lockdown restrictions fell away for other industries on 29 September, the online gambling restrictions remained and this caused severe upset.

 iGaming Revenue Boost

Regardless of the limitations set by the government, the online gambling industry experienced a tremendous boost in Sweden. For Q2, it recorded double-digit growth compared to the same period last year. Revenue at brick and mortar casinos plummeted as people avoided being in close proximity to each other.

Of the SEK 6.5 billion gambling revenue generated during the second quarter of this year, SEK 4.1 billion was from online gambling activities. Compared to Q2 2020, the gambling industry had a growth of 10% and online gambling, which includes online casinos and sports betting, showed a phenomenal growth of 13.9%.

Sweden’s Minister of Social Insurance, Ardalan Shekarabi, believes this growth may be proof of a behavioural change that could be long term. As players’ consumption patterns change, Shekarabi believes regulations must adapt to ensure effective safe gambling protocols.

 Analyse and Advise

The Swedish government assigned Spelinspektionen with the responsibility of analysing the impact of the restrictions implemented in the past 18 months. By no later than 15 March 2022, the government expects a partial report from the Inspectorate.

The first part of the report needs to evaluate the impact of temporary restrictions and the second part, which needs to be completed by 31 October 2023, must include suggestions to improve consumer protection. Olsson commented:

“BOS is therefore looking forward to the dialogue that will come from the assignment the government has given to the Swedish Gambling Inspection, where the temporary measures will be evaluated.”

Ann-Sofie Olsson from Branschföreningen för Onlinespel (BOS) praised the government’s decision to lift the restrictions.

 The End is In Sight

As the colder months of the year come closer, punters cross off the days on their calendar to enjoy a less restrictive gambling experience. Safer gambling tools are available to players, as always, and although the rules may change, gambling is still a game of chance, so make good choices.