The European Gaming and Betting Association (EGBA) suggests that a future EU approach on igaming could be based upon the blueprint used for financial services, whereby a licensed operator in one member state should be recognised by other member states.
On September 10, the European Parliament voted on a resolution on online gambling where MEPs, by a vote of 572 to 79 (with 61 abstentions), called on the European Commission to pursue enforcement action against member states whose online gambling regimes fall foul of internal market rules, while simultaneously upholding the right of member states to limit market access on grounds of morality or public order as interpreted in that member state.
The resolution reaffirms the present situation as arising out of the decisions of the European Court of Justice which leaves it up to member states whether they accept the online offer coming from an operator established and licensed in another member state.
As more EU countries are actively issuing their own gaming licences in response to the online offer coming from outside, EGBA director Ewout Keuleers said: “EGBA will continue to advocate for a European approach to the industry without surrendering on vested EU rights. One needs to observe that member states are reforming their national laws and this should not prejudice EU rights and cross-border consumer choice.
“Against that context, EGBA would suggest that a future EU approach could be based upon the blue-print used for financial services, whereby a licensed operator in one member state, for example Malta, should be recognised by other member states under the so-called passport system. In line with its Manifesto for a Sustainable EU Policy for Online Gambling, EGBA will be calling upon the new EU Commission to take steps forward in that direction between 2015 and 2020”.
Mr Keuleers is in Malta as a speaker at a public dialogue with MEPs and industry on online gaming being held at Europe House tomorrow, another event in the series launched by the European Parliament Information Office in the run-up to the European Parliament Elections on May 24 next year.
Mr Keuleers argues that the local igaming industry cluster provides quality jobs and a very tangible “trickle-down” effect that is worth at least eight per cent of Malta’s GDP. However, the recent resolution by the European Parliament could prove to be challenging for the igaming industry in Malta, which faces stiff competition from other jurisdictions such as the UK and Dublin, or non-EU jurisdictions such as the Isle of Man and Channel Islands, among others.
Mr Keuleers said that Malta has, due to its pioneering work in the area of remote gambling and the first member state to implement specific igaming rules, enjoyed a unique advantage in Europe as most EU member states operated their own gaming monopolies and prohibited applications for remote gaming licences. These are are now moving towards controlled re-regulation of their national laws. Such a national process should, however, be in line with EU law and its fundamental freedoms, he said.
Mr Keuleers warned that attention should be paid in Malta to national re-regulation processes, broader EU policy and legislative developments such as the proposed fourth AML directive or the debate on corruption in sports and match fixing. Addressing these increased challenges would enable Malta to use its acquired expertise to not only master the challenge but to remain attractive as a base for operators and associated broader stakeholders, he said.
The EGBA is advocating that all Maltese stakeholders, including the LGA, MRGC and the Government should set up a high-level long-term strategy to ensure that remote gaming can continue to be one of the drivers of the Maltese knowledge economy and a central hub for economic growth. Execution of the strategy, he claims, will depend on clear overall ownership with a well-mapped Maltese Digital Agenda and allocation of sufficient resources and expertise to its strategy.
“While we have come a great way, the challenge is not becoming any smaller. On the contrary, the industry today is facing more and bigger challenges, which, one way or another will almost certainly negatively impact the Maltese economy if not pro-actively and adequately met. Survival of the fittest is not about being the strongest but about tapping the capacity to turn the EU challenge into an opportunity,” he said.
For more information visit www.europarlmt.eu. One may follow the proceedings of the public dialogue live online and participate in the discussion via the Facebook page at https://www.facebook.com/Parlament-Ewropew .