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Finland’s gambling laws are unique. Finland has its own unique story in this area. While many European countries have free markets, which are open to international operators and fair competition, Finland is a different story. This regulatory gambling landscape, while not ideal for Finns, is also not popular with Finnish gamblers.
You may know that Finland is a country where gambling services are offered by only a few government-regulated operators. This creates a 3+1 environment, in which only selected operators can offer gambling services. This applies to both online and land-based gambling.
This creates a monopoly that is owned by the country, where gambling is heavily controlled. Finland’s government defends this position for some time now, as they tax gambling gains of both operators and individuals to raise funds for various social causes including charities.
However, the Finnish government hasn’t been able to prevent Finnish citizens from gambling at off-shore online casinos, which is why Finns use reliable sources like kasinohai.com/uudet-kasinot, for example, to find online casinos that suit them the most. Let’s take a closer look at online casinos in Finland.
What is the gambling law in Finland today?
Finland is a country that has a 3+1 government monopoly on local gambling. In Finland, only the state operator Veikkaus is permitted to offer gambling games. This is according to Finland’s Lotteries Act 1047/2001. There is no licensing system for different operators if they meet certain standards or other policies.
Finnish government wants to use its monopoly in order to control, reduce and prevent the negative effects of gambling. This includes gambling addiction. In 2021, the Finnish Competition and Consumer Authority stated that the gambling system was ineffective in minimizing negative effects. Finland, in fact, is one of the top countries in the entire world when it comes to gambling addiction.
To strengthen the monopoly, and to get another chance at minimising negative effects of gambling we introduced amendments that included penalties and payment block for service providers. Payment service providers must block all payments made by Finns to online casinos that are not located in Finland. All of the amendments will be in force by 2023.
Finnish online casinos are not well known to foreign players
Even though the Lotteries Act has been amended, Finnish gamblers can still play their favorite casino game at offshore or international casinos. You might be wondering why this is the case, when gambling is legal in Finland and is regulated by government. Finns are looking for gambling and entertainment outside of Finland.
Finns don’t like being restricted by operators who offer a limited selection of games and bonuses. They also dislike having their winnings and payments taxed heavily. In this case, the grass is indeed greener on other sides of the fence. The EU free market offers Finnish players a wide range of choices, not just in terms of operators, but also when it comes down to game variety and bonuses.
It’s not surprising that Finns prefer off-shore operators to local ones. International casinos welcome players from Finland. Even if local operators offered better deals, the high tax implications would drive many Finns to off-shore operators.
Finland’s Gambling Laws: Potential Changes
The local government has been impacted by the Finns who venture outside their borders to play casino games. Finns spend more money in international casinos than at local ones. Veikkaus reported in September 2022 that its profits were decreasing, and they only held 70% of the market share in Finland.
The majority of political parties in Finland are now beginning to reconsider the support they have given up until now. You may be wondering why. It’s all about the money. Finland, as things stand now, would gain more money from issuing casino licenses to foreign operators than it does from the current taxation on local gambling. A major change could be coming to Finland. The licensing of the commercial online gambling market will not happen overnight.
Veikkaus, too, agrees that Finland should make a rapid transition to capitalize on this opportunity. However, some political leaders are in favor of a more calculated and slower approach. Finland is likely to adopt the licensing system that exists in Sweden and Denmark if they make the initial changes. Let’s wait and see.
