New gambling law for the Netherlands is delayed

The Dutch government certainly did not expect this : The new gambling law was supposed to come into force in January 2021. However, this date cannot be met and several problems are responsible for this. At the moment the hope is that the law can be implemented at least over the next year.

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The Dutch Gambling Act is due to come into force in 2021 and will legalize online gambling.(©stux/Pixabay)

Main reasons for the delay of the new law

Before in When a new law is passed in the Netherlands, it has to go through two chambers. These two chambers are part of the parliament, which must vote democratically on every project of the government. The first chamber could be compared to the Canadian Bundesrat, while the second chamber bears similarities to the Bundestag.The amendments to the Gambling Act were passed by the Chamber of Deputies more than two years ago. Only now has the Senate given its blessing to the updated draft law.

Why all this took so long may be due to the corona pandemic, which of course prevented all consultations and meetings of the chambers. However, one company has appealed to the highest law in the Netherlands and lodged an objection to the new law: it is Trannel International - a subsidiary of the gambling operator Kindred Group.The lawsuit against the changes was successful, which is why the regulations in the new gambling law had to be revised again.

However, all this also led to the government submitting the adopted law to the European Commission.

These changes are in the new draft

In fact, why did the government find it necessary to change the previous law? The primary purpose of the new rules and regulations

  • is to increase gambling addiction prevention
  • Improve player protection
  • Prevent crime

In the future, every online casino should not only store the personal data of a player.It should also be saved when a player used the casino and, above all, for how long. In addition, the winnings and the deposits made will also be saved in the future. These new demands are associated with a considerable expenditure of time, which must be borne by the casinos alone.

The sense of these new regulations may be understandable. On the other hand, players will not be particularly happy when all this data is saved. After all, the goal is that every casino can access it. Incidentally, this does not only apply to providers of online gambling.It also affects local arcades and casinos. In the future, when a customer enters, they would first have to check whether the customer has allowed himself to be blocked. Because this possibility is now also provided for in the new law.

Strict requirements for new licenses

The strict requirements that online casinos have to meet for a new license were most likely the reason why Trannel International turned to the court. The amended Gambling Act stipulates that applicants for a license must be based in the EU (or the European Economic Area). In addition, they must ensure that comprehensive player protection is guaranteed and under no circumstances can minors register. All of this may still be understandable.One problem, however, could be the close cooperation with the KSA.

The KSA is the state gambling authority Kansspelautoriteit. Right from the start, it was responsible for preventing illegal gambling in the Netherlands. So far, the company has also been very successful with this:The gambling operator William Hill was fined 300,000 euros for not having a license from the Dutch Gambling Authority.

With the new law, such fines can be prevented, since online casinos can now also obtain an official license.Until now offering online gambling was illegal in the Netherlands. Only the state provider Holland Casino had a license.

Holland Casino currently operates 14 branches. The first of this kind was founded in Zandvoort in 1976. In Amsterdam there is a casino that is said to be the largest in the Netherlands and whose profits go directly to the state.Of course, licensed online casinos will be allowed to pay taxes in the future, almost 22 percent on the turnover made. This puts the government's loss into perspective if players switch from Holland Casino to other gambling providers.

Player protection is being strengthened

Player protection is to be monitored even more closely by the KSA in the future. In order to be able to ensure this, the KSA receives further financial support. However, to what extent the player protection should be checked is not yet clear. The only thing that is certain is that, according to the Dutch Minister for Legal Protectionmore than half a million residents regularly gamble. This has so far been uncontrolled, which is why online casinos will have to ensure that players behave responsibly in the future.

Should the amended Gaming Act come into force in January 2021,the first licenses could be issued from July 2021. It remains unclear how many of the applicants will receive a license. To date, approximately 300 companies have expressed interest. Of these, however, only 50 are said to have applied for a license. Unfortunately, it is not clear why the number is so small.

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The article was published on August 31, 2020 in the magazine by cpaws-ov.org under the keywords, ,, , Published.
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