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Swedish Bonus Ban Proposal Would Benefit Gambling Monopolies, Says Trade Body
Sweden’s Trade Association for Online Gambling (BOS) has criticised a proposal by former monopolies Svenska Spel and ATG to enforce a blanket ban on iGaming bonuses.BOS argues that such a restriction would contract the legal market, increase the market share of the former monopolists, and inadvertently aid the black market.
Industry Body Rejects Link Between Bonuses and Youth Gambling
The proposal to ban all forms of online bonuses offered by licensed operators was put forward in a joint op-ed by Svenska Spel's Anna Johnson and ATG's Hasse Lord Skarplöth, published in the Svenska Dagbladet newspaper on 7 November. They cited concerns that bonuses could contribute to problem gambling, noting their specific appeal to younger individuals.
The op-ed highlighted data from a Swedish Association for Alcohol and Drug Education report, which indicated that gambling among high school boys increased from 27% to 43% over a five-year period. While BOS Secretary General Gustaf Hoffstedt shares the concern over under-18 gambling, he rejected the claim that welcome bonuses offered to adult players are the root cause. He instead pointed to the impact of mechanics like "skins and loot boxes" in popular games as a contributing factor.
Accusation of Boosting Monopoly Market Share
Hoffstedt insisted that the primary motive behind the bonus ban proposal was to increase the market share of Svenska Spel and ATG. Both companies retained significant market shares following the re-regulation of the Swedish gambling market in 2019. Hoffstedt argued that prohibiting competitors from offering welcome bonuses to new customers, while the former monopolists maintain their existing customer base, is a tempting proposition for them.
However, he cautioned that demanding further restrictions on the legal licensed market would only lead to a shrinking licence market overall. Hoffstedt stated that by running "solo games for short-term benefit," the companies were ignoring the common good of the wider gambling market and ultimately undermining consumer protection efforts in Sweden.
Concern Over Migration to Unlicensed Websites
BOS also raised concerns that a bonus ban would drive consumers toward unlicensed, or black market, sites. Such sites may still offer bonuses but lack the consumer protection measures mandated for licensed operators.
Hoffstedt stressed that maintaining a high proportion of legally licensed gambling requires balancing consumer protection with "gambling pleasure."
He stated, "If they get their way, we probably haven’t seen the bottom yet in how low the proportion of legally licensed gambling can fall."
These comments come as Sweden is currently in the process of reviewing its Gambling Act to strengthen enforcement against the illegal market.
