The Finnish Competition and Consumer Authority has urged Vekkaus to take gambling-related problems seriously. The Authority has also recommended to the state-owned non-profit monopolist to bring some changes to its operating procedures.
The Director-General of the authority, Kirsi Leivo, has revealed for a local media that the profits generated by Veikkaus should be paid directly to the country. According to Ms. Leivo, this would be the easiest way to break the links between Veikkaus and organizations and projects that have been receiving funding from gambling operations. She said that in case the money was redirected to the state budget, this would help the authorities offer a clear solution for the beneficiaries.
For the time being, proceeds generated by gambling activities are being transferred by Veikkaus to three Ministries of the Finnish Government – the Ministry of Education and Culture, the Ministry of Social Affairs and Health and the Ministry of Agriculture and Forestry. These three Ministries then decide how to distribute the proceeds to the chosen beneficiaries.
In case Veikkaus transfers the profits directly to the Finnish budget, the beneficiaries of the money would not be associated with the state-owned monopolist and gambling. According to reports of Veikkaus, it has accumulated over a billion euros in annual profits from gambling. This money is distributed to a great variety of good causes in the social, cultural, educational and sporting fields.
Veikkaus Temporarily Stopped Some Radio Ads Following Strong Criticism
Recently, Veikkaus has been facing serious criticism for its marketing, which according to campaigners appeared to encourage gambling addicts to bet even more rather than fighting to leave the vicious circle of compulsive gambling habits.
Back in August, Veikkaus revealed that it was temporarily stopping some of its radio ads from circulation after it had faced massive public criticism over the message they sent to people. The decision affected all advertising material of the monopolist, except for the ads aimed at promoting its flagship service, Lotto, the Nordic-Baltic lottery Vikinglotto, its regional Eurojackpot game, as well as the brand and corporate responsibility marketing.
As revealed at the time by the Chief Executive Officer of Vekkaus, Olli Sarekoski, the advertising material would be off until the end of September 2019.
Slot Machines Should Be in More Controlled Environments, CCA Director Insists
Apart from that, the Director-General of the Finnish Competition and Consumer Authority said that it would be better if Veikkaus slot machines are placed in more controlled environments while the authority’s investigation into the practices used by the monopolist to tackle gambling-related harm. According to Ms. Leivo, competent authorities should consider moving the machines to casinos.
Last month, Veikkaus revealed its intentions to remove up to 3,000 slot machines from kiosks and shops across the country. The decision came as part of its efforts to address the growing calls for stricter restrictions to be imposed on gambling in Finland. However, Ms. Leivo does not believe these efforts are enough and pointed out that the firm needs to take problem gambling and gambling-related harm seriously, especially considering the fact that it is the country’s gambling monopoly.
As the Authority’s Director-General noted, state-owned entities such as Veikkaus must operate in a way that shows that they take gambling and gambling-related problems seriously.
