The legal framework in New Zealand and Germany
Many things are happening in relation to the legal regulatory frameworks of online gambling in Europe. In New Zealand the new Ministry of Consumer Affairs of Alberto Garzón has introduced the decree on the advertising of bookmakers that has not left anyone indifferent. Germany, which represents one of the largest markets in Europe, is about to establish an agreement for the regulation of online gambling. How is it different and how does it improve on our current legislation? We offer you an analysis.
Germany is taking its first steps towards effective online gambling legislation. Some of his measures would surprise those who call the current Spanish legislation restrictive. ©ArtTower/Pixabay
Online gambling continues to grow, and it does it all over Europe . No one doubts this fact. In 2018 he arrived at generate 220,000 million euros , up 11% from the previous year. The data is from the European Betting and Gaming Association (EGBA).
It is up to New Zealand a market share of just 4.6% occupying the sixth place among European countries. The United Kingdom, as one would expect, far surpasses the rest of Europe; and in Germany online gambling accounts for 11.1% of the market.
However, in the Teutonic country, online gambling and sports betting are moving in a legal twilight zone . The operators that operate in the online market do so with licenses from Malta and Gibraltar, legal in the European framework, but questionable in Germany.
In fact, only the Bundesland Schleswig-Holstein has a regulated market. Although it may sound paradoxical, online gambling in Germany is illegal , without this being to say that it is illegal. For a long time, professional and social sectors have raised their voices to bring about a legislative change.
Things have started to move and if all the federated states can agree, the idea is to have effective legislation by July 2021 . A central authority will be responsible for ensuring compliance with the law and the treaty will be valid until the end of 2028 .
What are the main features of the new treaty?
There is no doubt that the sector and professionals have welcomed the steps taken by Germany. In the new treaty the benefits for the industry and players , for example, in terms of protection and safe play, they are many.
However, some of the measures on the table have already been object of analysis and criticism . The aforementioned European association of gaming and betting operators, the EGBA, although he welcomed the progress made in Germany, he also pointed out that there were many points where improvements were necessary.
The EGBA points out the danger that too restrictive measures end up being ineffective. One of the points that are answered is the proposal for limit deposits to $1,000 per month , regardless of the number of operators on which one wants to play online.
Let us remember that the limits established by the DGOJ , the Spanish regulatory authority, are $1,500 a week and $3,000 a month. Precisely, one of the tasks of the German central authority will be to control these limits. From the EGBA it is proposed, however, that it is much more effective self-control , noting that the voluntary limits have been successfully tested.
On the other hand, in a very similar way to what happens in our country, the traditional table games: roulette, blackjack and baccarat, will be quite limited; which has been, again, the object of criticism. Without an offer that covers the full range of online casino products , it is quite possible that it will end up favoring gambling on unregulated operators.
Sports betting
Another sector in which the regulation has focused its efforts is that of sports betting. It is a question here of implementing restrictions that affect, for example, the betting on sports competitions involving minors or amateur teams.
In fact, and in accordance with the Gambling Act 2011, in New Zealand this type of betting has already been banned . In a 2018 study it was pointed out that until that moment the 5.45% of the competitions offered online included minors in them.
The new German legislation also imposes restrictions on bets that are based on game situations that may be under the influence of a single player . This would be the case, for example, of yellow cards in football. In Sweden, the country's regulatory authority, Spelinspektionen, would have already begun regulating such markets.
Advertising and online gambling
The Royal Decree on the advertising of the sector prepared by the Ministry of Consumer Affairs, headed by Alberto Garzón, has raised blisters in the industry, especially among bookmakers. One of the main points of the decree is regulation of schedules and advertising content .
"There's no more watching commercials at any time. And within responsible gambling, the content will also be regulated” , the minister would have declared. As we already reported in a previous edition, the royal decree has not left anyone indifferent neither to the sector nor to civil society.
In the treaty that is on the table in Germany, it is proposed a total restriction of advertising television of the online game between 6 in the morning and 9 at night; a measure clearly more restrictive than the proposal from the Garzón ministry.
Now, and as in the case of our country, it is still not very clear in what way it will be done comply with the restriction on online media , for example, YouTube channels. The German association of private media, Vaunet, has had harsh words for the text of the agreement as they consider that it puts them at a disadvantage compared to operators who are not subject to the ban.
New Zealand and Germany are not the only European countries in which the massive advertising of online gambling, especially sports betting, is beginning to be regulated. It is being discussed in Norway implement restrictive measures to advertising gambling in those media that can be accessed in the country but broadcast from abroad.
In Italy they have gone further. The coalition government decreed the total ban of the game's advertising as of June 2019. Italy, which accounts for just over 8% of the online gambling market in Europe, has thus wanted to combat what is considered to be an epidemic of problem gambling and addiction.
As you would say in poker, the cards are on the table and, perhaps, none of the players has the best trick on paper. In this regard, we will see in the coming months interesting movements between the main actors. But one thing is beyond doubt. This year we will be attending a legislation on advertising of online gambling very similar in most European countries with regulated markets.
