sweden-igaming

Sweden Moves to Block Offshore Casinos with Major Gambling Act Review

Legislation

Sweden is ramping up its efforts to tighten online gambling regulations by reviewing its Gambling Act, aiming to close loopholes that allow offshore casinos to target Swedish players. This move follows growing concerns from industry stakeholders that unregulated gambling is weakening consumer protections and undermining the country’s licensed operators.

Why It Is Reviewing Its Gambling Laws

Currently, unlicensed gambling sites can legally accept Swedish players as long as they avoid using Swedish currency or language. Many players, comfortable with English and the euro, continue to use these platforms, bypassing Sweden’s regulated gambling system. This has led to:

  • Increased risks for players due to a lack of consumer protections
  • Loss of tax revenue for the Swedish government
  • Unfair competition for licensed gambling operators

The Swedish Trade Association for Online Gambling (BOS) has consistently advocated for a regulatory update, contending that these loopholes lead to an unequal playing field.

The Key Changes Under Consideration

To address the issue, the government has appointed a state investigator to explore stricter measures against unlicensed operators. One major focus will be revising the ‘directional criterion,’ which currently determines whether an online gambling site requires a Swedish license.

The assessment intends to examine, among other things, the following:

  • How to effectively block access to unlicensed platforms
  • Stronger enforcement mechanisms to prevent offshore operators from targeting Swedish players
  • Potential penalties for those facilitating access to unregulated gambling sites

The final recommendations will be presented by September 17, 2025, and could reshape Sweden’s online gambling landscape in many ways.

Industry Reactions and What It Means for Players

BOS Secretary General Gustaf Hoffstedt welcomed the government’s decision, emphasizing that the loopholes have been evident since Sweden re-regulated its gambling market in 2019. He expressed confidence that the changes will strengthen the integrity of Sweden’s licensing system.

Minister of Financial Markets Niklas Wykman reinforced the government’s commitment, stating:
“We will stop rogue gambling companies that exploit vulnerable consumers. Amending the Gambling Act is one of the most crucial measures for a safer and healthier gambling market.”

What Is Next?

If the proposed changes take effect, Swedish players can expect:

  • A safer gambling environment with stronger consumer protections
  • Fewer unlicensed sites accessible from Sweden
  • A level playing field for licensed operators

As Sweden moves toward stricter regulations, the coming months will be crucial in determining how the government enforces these changes and what impact they will have on the country’s online casino market.

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