Spanish online gambling trade association Jdigital has responded to the decision of the country’s Council of Ministers to give the green light to the “Royal Decree on Advertising” – a move that ended up with the largest restrictions on gambling advertising in Europe being imposed on the country’s gambling sector. The measure came into effect on November 3rd.
Now, Jdigital has shared its concern that the levels of illegal gambling will probably rise in Spain. The Spanish Government decided to introduce new regulations on gambling advertising to impose further restrictions on audio-visual and digital commercial communications, bonuses and special offers used by gambling operators, and sponsorship agreements with professional sports clubs.
For the time being, gambling advertising on radio and TV channels is restricted to between 1:00 AM and 5:00 AM, while online gambling companies are required to verify their customers’ age. Promotional offers and special bonuses that have often been used to lure customers into gambling are now suspended and so are sponsorship agreements between gambling companies and football clubs. The Spanish Government requires operators to make sure their existing sponsorship deals are ended at the end of the 2020/2021 season.
The aforementioned decisions of the authorities have, however, been criticized by Jdigital, which suggested that the stringent regulatory regime will have precisely the opposite effect on the sector and lead to an increase in the black market’s popularity.
Spanish Government Imposes Stricter Regulation on Online Gambling Operators
According to the trade body representing the online gambling operators in Spain, there is no good or bad gambling, as suggested by the Government. The organization explained that it defends a position that digital gambling should be a responsible entertainment and leisure option, as the industry has so far advocated.
At the time when the Draft Royal Decree on Commercial Communications of Gaming Activities was approved, Jdigital shared it considered the piece of legislation not only discriminatory but also disproportionate and unfair, especially when it comes to the country’s online gambling market that is highly regulated. The online gambling trade association further reminded that gambling addiction’s incidence rate in Spain has remained stable at 0.3% of the people between 15 and 65 years of age for the last five years, which is one of the lowest problem gambling rates on the territory of Europe.
According to Jdigital, the new stricter measures are likely to end up with an increase in illegal gambling rates with the aforementioned piece of legislation being enforced across the 17 autonomous communities in the country. The trade body further shared an opinion that the restrictions imposed on all traditional advertising mediums used by gambling companies will do nothing more but leave the most vulnerable groups of society to be targeted by companies operating on the black gambling market.
