Austria's conservative chancellor Karl Nehammer said Saturday he would step down in the 'coming days' after breaking off coalition talks with the Social Democrats over disagreements on key issues.
The New from the Old – The Challenge of Regulating the Gambling Market. With the formation of a new government and the start of the tender for new online casino licenses, a significant market opening is anticipated. Maarten Haijer, Secretary General of the European Gaming and Betting Association (EGBA), has called on Austria to modernize its online gambling regulations.
Currently, Austria operates a monopoly system for online gambling, a position it shares only with Poland within the European Union. This approach has led to a thriving black market, where thousands of Austrian players engage in unregulated websites, without consumer protection measures or governmental oversight.
The EGBA emphasizes that 21 EU member states have already modernized their online gambling regulatory frameworks through multi-license systems. Countries like Denmark and Sweden have successfully implemented these models, resulting in improved consumer protection and significant tax revenues.
For example, Denmark introduced the multi-license system in 2012, and by 2023, the regulated online market reached a 90% channeling rate.
The Benefits of a Multi-License System
The EGBA proposes that Austria adopt a multi-license system for online casino gambling, offering key benefits such as:
- Improved Player Protection: Integrating online casino games into a regulated framework would allow for the implementation of mandatory safeguards and safer gambling tools, ensuring comprehensive consumer protection.
- Enhanced Regulatory Oversight: A multi-license system would grant Austrian authorities’ greater control over the online gambling market, replacing the current situation where much of the gambling activity occurs unchecked.
- Significant Economic Benefits: It is estimated that a multi-license system for online casino gambling could generate up to €1 billion in additional tax revenue by 2030, by incorporating currently unregulated activity into the fiscal system.
The European Gambling and Betting Association protecting the players from advertisements
The EGBA urges Austrian government negotiators, including Chancellor Nehammer (ÖVP), President Babler (SPÖ), and President Meinl-Reisinger (NEOS), to prioritize the introduction of a multi-license system for online casino gambling in the new government's program. This reform would align Austria with European best practices and deliver a more effective and beneficial regulatory framework for the country.
