EU considers increasing regulation in gambling sector
A new approach towards the gambling industry in the EU is currently under discussion in Brussels as various member states originally opposed to EU regulation in this sector are signalling a change of heart. According to EU sources, although there are...
A new approach towards the gambling industry in the EU is currently under discussion in Brussels as various member states originally opposed to EU regulation in this sector are signalling a change of heart.
According to EU sources, although there are no immediate plans to impose some new regulatory regime on the EU's multi-million-euro gambling industry, there are efforts to have at least more collaboration and less monopolistic practices.
The European Commission is currently discussing a new document to be presented to competition ministers next month highlighting the need for a common approach towards the gambling industry.
The document, asked for by the current French EU Presidency, notes that "while the legal frameworks differ (in member states), there are significant similarities in the member states' objectives as regards gambling and betting". It also states that "the common challenges identified would appear to justify the development of a new EU-level approach".
Malta, together with Britain, is considered to be one of the most influential EU member states where it comes to the on-line betting industry with many inter-national betting companies setting up shop in Malta over the past years.
The regulation of the gambling industry is a controversial issue within the EU and the European Commission has until now no competence over this sector. Regulation is done at member state level, and although considered to be illegal, many member states are still protecting their markets trying to prevent "foreign" companies into their markets. This has now become increasingly difficult with the online industry.
A European Court of Justice (ECJ) decision last year in what was known as the Gambelli case changed the scenario as according to the Luxembourg-based court EU gambling and betting companies operating in one member state could offer their services in the other member states.
Despite this judgement, many EU governments are still trying to restrict access to their national markets, forcing the European Commission to initiate infringement procedures.
According to the new Commission document, competition among national gaming regulators now appears to be a "first-step" necessity in combating money laundering, fraud and corruption.
"Topics for discussion could include methods for real-time checking of players and trans-actions or mandatory reporting of transactions and verification methods," according to the draft document.
A ceiling on player rates of return could be part of an EU approach and finance ministers could look at ending double-taxation by taxing gaming where it takes place, the document states.
Although the discussion to take place next month between EU competition ministers is being considered as a step in the right direction, no concrete decisions are expected to be taken.
Sources said that what will probably happen is that the EU Council will call for the Commission to conduct detailed studies and consultations and possibly make formal proposals.
The sources commented that "the ball has started to roll even in this sector".
According to EU sources, although there are no immediate plans to impose some new regulatory regime on the EU's multi-million-euro gambling industry, there are efforts to have at least more collaboration and less monopolistic practices.
The European Commission is currently discussing a new document to be presented to competition ministers next month highlighting the need for a common approach towards the gambling industry.
The document, asked for by the current French EU Presidency, notes that "while the legal frameworks differ (in member states), there are significant similarities in the member states' objectives as regards gambling and betting". It also states that "the common challenges identified would appear to justify the development of a new EU-level approach".
Malta, together with Britain, is considered to be one of the most influential EU member states where it comes to the on-line betting industry with many inter-national betting companies setting up shop in Malta over the past years.
The regulation of the gambling industry is a controversial issue within the EU and the European Commission has until now no competence over this sector. Regulation is done at member state level, and although considered to be illegal, many member states are still protecting their markets trying to prevent "foreign" companies into their markets. This has now become increasingly difficult with the online industry.
A European Court of Justice (ECJ) decision last year in what was known as the Gambelli case changed the scenario as according to the Luxembourg-based court EU gambling and betting companies operating in one member state could offer their services in the other member states.
Despite this judgement, many EU governments are still trying to restrict access to their national markets, forcing the European Commission to initiate infringement procedures.
According to the new Commission document, competition among national gaming regulators now appears to be a "first-step" necessity in combating money laundering, fraud and corruption.
"Topics for discussion could include methods for real-time checking of players and trans-actions or mandatory reporting of transactions and verification methods," according to the draft document.
A ceiling on player rates of return could be part of an EU approach and finance ministers could look at ending double-taxation by taxing gaming where it takes place, the document states.
Although the discussion to take place next month between EU competition ministers is being considered as a step in the right direction, no concrete decisions are expected to be taken.
Sources said that what will probably happen is that the EU Council will call for the Commission to conduct detailed studies and consultations and possibly make formal proposals.
The sources commented that "the ball has started to roll even in this sector".