The recent trend of strong regulatory action towards gambling advertising on TV has not bypassed Norway. The country’s government has already made a proposal for certain legislative changes that would make sure that overseas gambling operators would be suspended from advertising on Norwegian TV channels.
According to the Scandinavian country’s Government, offshore gambling companies have been taking advantage of an existing loophole in the Norwegian laws that has been practically allowing them to promote their gambling services on TV for years. The Norwegian Government, however, seems to be aimed at closing this loophole as quickly as possible. It has already unveiled some amendments to the country’s Broadcasting Act under which the Norwegian Media Authority would be given more power over TV distributors to make sure illegal gambling advertising is suspended.
Gambling advertising on TV has been considered a sensitive issue for quite some time now, with discussions regarding the suspension of unlicensed gambling companies from getting any access to the country’s advertising market being underway for more than two years now. Back in April 2018, the Norwegian gambling regulatory body, Lotteri-of stiftelsestilsynet (also known as Lottstift) rolled out a consultation on the matter but the Government believes that the loophole closure is a more important issue than imposing a ban on the activity.
The Government and Gambling Regulator Want to Protect Vulnerable People from Gambling-Related Harm
For the time being, it is the Norwegian Media Authority that is entitled with the responsibility to raise the awareness of local children’s use of digital media and computer games. The Authority is also responsible for imposing cinema age limits, unveiling rules for TV and radio broadcasts, etc. By providing it with more power to impose restrictions on local TV channels, the country’s Government is hoping to see the NMA tackle the negative impact which gambling has on players, especially on underage ones.
This policy of the Government has been backed by Norwegian gambling operators that currently have official permission to advertise their services. Currently, it is only Norsk Rikstoto and Norsk Tipping that can legally offer and advertise their products on the territory of the country. For the time being, Norsk Tipping offers casino and draw-based games, while Norsk Risktoto offers so-called games of chance.
Both gambling operators have been backing the Government’s policy by providing it with part of their gambling revenue to fund certain programs and purposes that are beneficial for the society, including research, healthcare, sports and cultural initiatives. According to reports, the overall amount of money generated in 2018 from gambling operators as funding of such initiatives was worth NOK5.5 billion.
On the other hand, the country’s gambling regulatory body reported that advertising spending from offshore gambling companies is declining. In October 2019, a 19% drop was registered in the gambling-related advertising spending of gambling operators that are based outside Norway. Still, the decline is considered far from enough, with local anti-gambling groups putting more pressure on the Government and regulators to unveil more drastic action on the activity, including a full ban on offshore gambling operators’ TV advertising.
Norwegian Gambling Watchdog Revealed Ban on Money Transactions for Offshore Gambling Companies in December 2019
As mentioned above, Norwegian authorities have been trying to do their best in order to provide the best possible protection to vulnerable social groups that are considered most susceptible to gambling-related harm, such as former problem gamblers or underage individuals. A few months ago, the country unveiled certain amendments to the existing ban on payments towards foreign gambling operators that have been bypassing the ban on such transactions by using intermediaries.
The measure has been unveiled as part of the ongoing effort of the local authorities to protect local customers. Under the new rules, banks have been given the right to suspend transactions based on company names and related to certain account numbers. Banks are also given the chance to start probes into all parties involved in such transactions.
The afore-mentioned rules have come into force on January 1st, 2020.
As previously reported by CasinoGamesPro, the gambling regulatory body had imposed a ban on deposit and withdrawal transactions to and from gambling companies as part of its efforts to tackle the services provided by illegal gambling companies and to enhance its own anti-money laundering policy. Under the changes that the Norwegian gambling watchdog unveiled in mid-December 2019, offshore gambling operators that still provide local customers with access to their gambling services would be unable to get their payments processed by Norwegian payment service providers.
The gambling regulatory body has been hoping that the amendment would provide it with the opportunity to require the suspension of certain money transactions based on account numbers or company names only.
