Will Sweden Reject Proposals For Advertising Restrictions?
The Swedish government will decide whether to impose gambling advertising restrictions that will directly affect the betting industry over the coming weeks. Currently, politicians debate the validity of these proposals, and talks are expected to conclude over the coming days. Once a decision is made it will be broadcast to the gambling industry as well as the public to reassure the public of any changes that may occur. Some are suggesting this is a dangerous precedent to set and are accusing the Swedish government of censoring the casino industry.
Sweden’s government are currently debating whether to approve new gambling advertising restrictions. Concerns were raised after a sharp increase in online gambling during the pandemic resulting in higher individual problems related to betting. They view marketing as a direct catalyst for this behaviour and look to counteract it by censoring it. ©john_loannidis/Pixabay
Sweden’s online gambling association has stood against these latest proposals, claiming them unconstitutional and a violation of business rights. While it may seem drastic, many European countries have restricted gambling advertising over the last year due to rising concerns about underage betting. For example, the French gambling authority conducted a stern review of advertising standards after Euro 2020; online gambling figures skyrocketed drastically during the tournament. Governments are concerned by the latest increase in online gambling and are looking for solutions to control it all over Europe.
Swedish advertising standards are among the latest in Europe, and before these recent proposals, there had been almost no indication that they would ever change. However, due to increased online gambling numbers and illegal betting cases, the government has been forced to address these concerns due to pressure from the EU and the public. The EU have a great deal of influence on the governmental decision-making process related to gambling. As the industry is an economic stronghold, a greater deal of care and involvement is taken for a major decision such as the advertising standard changes.
After submissions from the finance ministry, government officials were called in to discuss the growing amount of capital spent on online gambling. Their concerns echoed towards land-based casinos, which in Sweden have complete freedom without any restrictions on slot machines or payment barriers. The government have a very liberal attitude towards the country’s gambling industry, and up to this point, almost no intervention has occurred. Still, after increasing figures and growing concerns, government officials are ready to take aim at the online betting sector.
The government have identified social media as the biggest route for gambling advertising, as minors can access all forms such as Instagram and Facebook. This content is technically available for underage users to view and interact with. While they cannot sign up to betting sites due to several layers of encryption and identification verification, their online presence makes it easy for them to read this type of content. The Swedish media recently addressed this by criticizing the gambling industry for allegedly promoting their service to minors.
Stockholm’s Casinos are Under Pressure
Stockholm’s casinos have had an incredibly rough 2020/21. Forced closures due to the pandemic and a major loss of income due to a lack of customers have left the industry in a financially crippled state. Many representatives of casinos view this new round of proposed changes as nothing more than putting the nail in the coffin. They are trying to promote their business after losing so many customers aggressively. Now that the government wishes to restrict gambling advertising, it will be harder for them to reach new clientele.
Its become a vicious cycle, and land-based casinos are the hardest hit out of all gambling industry sectors. It’s no secret that online betting sites have surged in popularity since the beginning of the pandemic. While this is great financially for sportsbooks across the continent, governments are negatively responding to this sudden increase in user activity. According to numerous gambling sector representatives, a dangerous precedent is being set if these proposals go through, and they are pleading with the government to abort these new marketing changes.
