On Friday the European Commission approved a proposed amendment to the Danish gambling legislation, which dismisses the Danske Spil’s Monopoly and paves the way for online bingo and racing markets.
After three months of waiting, over which the bill was stalled, Denmark can finally celebrate its “liberty” from the years-long monopoly. The bill finally puts an end to the monopoly over horse racing and online bingo, liberalizing both to be offered by licensed casino operators. The revised regulations stipulate that the casino operators need to apply for a special permission. This measure is used to prevent the Danish players from engaging in illegal gaming activities.
Market analysts explain that this will contribute to the improvement of the sports and animal racing, since 8% of the total earnings from bets placed on horse races will be given to support the development of the Danish horse racing sector. Thus, the Danske Spil’s monopoly is said to have a fair share in the noticeable decline of the racing sector.
Furthermore, the invalidating of the monopoly will bring dividends to the country’s economy, having in mind that the operators, who are offering such betting options illegally are two times higher than the ones, who are complying with the regulations, set by the monopoly. In fact, Danke Spil represents the country’s lottery sector.
The legislators see the monopoly as inappropriate for the constantly developing market, since it fails to meet its needs. Denmark has allowed the online gambling in 2012. The figures show that this act definitely increased the country’s budget and boosted the economy. The new regulations are said to come into effect from 1st January 2018, when casino operators will be enabled to apply for licenses.
Due to the monopoly, which stopped the development of the racing and online bingo market for years, hopes are placed the casino operators will manage to arise the interest of the players to these sectors, which remained in the shadow of the oblivion thanks to the stagnant monopoly.
Over the years, in which the monopoly ruled, many players were attracted by the idea to place their bets on the black market. Thus, the removing of the constraints is seen as a way to cut the illegal practices and bring the players back to the regulated market.
Gaming operators explained that efforts should be placed to diversify the betting options and promote them, but they remain optimistic that the process of “extinction” of the racing and online bingo sectors can be stopped. The annulment of the monopoly will positively influence the country’s budget and the revival of the horse racing, since it will eliminate the illegal practices and the money leakage.