Key takeaways from our Global Gambling Webinar
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Bird & Bird’s International Gambling Group were delighted to host our inaugural online Global Gambling webinar on 8 May 2024.
Over the course of the morning, specialists from across our international offices delivered sessions on some of the key issues shaping the industry including the UK White Paper, international regulatory updates, mass consumer claims, tax, AI and much more.
Below you can find some of the key takeaways, along with a recording for each session:
UK White Paper: Where are we now?: “A slew of regulatory changes have been announced following the Commission’s summer 2023 consultation. Importantly, we now have an idea of what the future looks like for light touch financial vulnerability checks, although the future for higher threshold financial risk checks is still not clear. Operators who are considering following the BGC’s new code on customer checks should do so with caution, and should make sure they are still complying with the customer interaction guidance when doing so."
International Markets:
- Finland: “We are eagerly waiting for the publication of the legislation draft and the consultation round that follows during the summer of 2024. This is the right moment for industry stakeholders to take this consultation opportunity to try to influence the outcome of the legislative proposal.”
- Denmark: “A B2B licence system is on the way in Denmark. Key dates are 1 July where application forms are available, 1 September where applications can be submitted and 1 January 2025 where the license obligation takes effect.”
- Sweden: “The Swedish Court has ordered refunds of losses from bets placed by players with gambling addiction, provided the gambling company was aware of the player’s unhealthy gambling addicts. The ruling allows individuals who lost money under similar circumstances to seek similar compensation. The impact this will have on the Swedish gambling market remains to be seen.”
- Netherlands: “In the Netherlands (advertising for) remote games of chance remain under scrutiny. The introduction of further requirements and regulations regarding responsible gambling is expected.”
- Ireland: “Be proactive and stay informed! Do not wait until the last minute to consider how the proposed sweeping changes to the gambling legal framework might affect your business, both onshore and offshore in Ireland.”
Mass Consumer Claims: “Operators should be mindful of the general trend towards increasing consumer action across Europe, particularly in respect of social responsibility failings and data protection. However, whilst we’ve seen a large influx of cases in Germany, Austria and now the Netherlands, it still remains relatively challenging for consumers in the UK to challenge operators on social responsibility grounds, particularly as the government seems to have made little progress establishing an industry ombudsman. Nevertheless, in light of recent high profile cases with consumers seeking to enforce terms and conditions, and potential growth of consumer class actions, operators should be checking their terms to ensure they would stand up to scrutiny.”
Navigating international regulatory due diligence: “With M&A continuing to shape the industry, and with risk appetites of investors changing, it’s never been more important to have a deep understanding of international regulatory risks and opportunities.”
UK Tax Developments: “We are still waiting to see what the consolidation of remote gambling taxation might look like. The scope of the reform may depend on the timing of the UK’s general election, but with the current multiple excise duty regimes that operators have to contend with, along with complex VAT rules and corporation tax for UK-based businesses, some form of simplification would be welcomed - so long as this doesn't come with another duty rise. Operators must ensure they actively engage in the reform's consultation process to ensure the potential implications for the industry are taken into account.”
AI in Gambling: “The use of AI presents a wealth of opportunities for the gambling industry. However, any organisation aiming to develop AI models or systems in-house, or adopt services that include AI, should proactively establish an appropriate AI compliance strategy. It is also advisable to consider an "AI update" for existing contracts, with particular attention to liability, rights transfer, and regulatory compliance.”
Watch the session now
If you have any questions about the topics covered, please reach out to a member of the team above. To find out more about our International Gambling Practice, click here.
