Finland Takes Step Towards Breaking Up Its Gambling Monopoly

The Finnish government has submitted legislation to Parliament that would significantly reform the country’s gambling landscape by ending Veikkaus’ monopoly on online gambling at the end of 2026. The proposed changes would introduce a licensing model allowing international gaming firms to legally operate in Finland while adhering to local regulations.

Key Elements of the Proposed Reform

Licensing System for International Operators

Under the proposed system:

• International gaming companies would be able to apply for licenses beginning in early 2026
• Licensed operators could commence operations from January 1, 2027
• Operators would be required to follow Finnish laws and pay taxes in Finland
• The state would maintain the option to sell part of Veikkaus while retaining control of the company

New Regulatory Framework

The reform includes the establishment of a new gambling authority to oversee the industry, expected to be operational by early 2026. This authority would manage the licensing process and ensure compliance with Finnish regulations.

Advertising Restrictions

The legislation outlines specific limitations on gambling advertising:

• Ban on social media influencers promoting gambling products
• Prohibition of outdoor advertising for high-risk games, including online slot machines and casino games
• Restrictions on advertising near schools
• Permission for brand-level marketing and sponsorship deals (allowing gaming company logos on sponsored parties’ channels)

Player Protection Measures

To mitigate gambling-related harm, the reform would require operators to implement:

• Daily or monthly money transfer limits for players
• Systems for temporary player bans
• Other responsible gambling measures

Notably, the proposal does not include an absolute cap on gambling losses, which has drawn criticism from harm reduction advocates.

Conflicting Perspectives on Reform

Prime Minister Petteri Orpo’s government maintains that the reforms are designed to:

• Reduce gambling-related harm
• Increase state revenue through the licensing system
• Bring foreign operators under Finnish regulatory oversight and taxation
• Create a more controlled gambling environment

Concerns from Health Organizations

Several organizations, including the Finnish Institute for Health and Welfare (THL), have expressed skepticism about the reform’s harm-reduction claims:

• They reject the assertion that expanding the gambling market and increasing advertising would reduce gambling harms
• Recent THL research indicates that while fewer Finns are gambling overall, problem gambling rates have increased among those who do participate

Timeline for Implementation

If approved by Parliament, the implementation schedule would be:

• New gambling authority established in early 2026
• License application process begins in early 2026
• International operators commence licensed operations on January 1, 2027
• Veikkaus’ online gambling monopoly officially ends December 31, 2026

The reform represents one of the most significant changes to Finland’s gambling landscape in decades, as the country moves to align its regulatory approach with the realities of a digital gambling market where borders are increasingly porous.