KSA tightens rules as Dutch gambling channelisation falls
The Dutch Gambling Authority (Kansspelautoriteit, or KSA) has been facing strong criticism over its handling of the black market, with worrying channelisation rates and what the legal industry sees as unfair pressure placed on licensed operators. Legal operators have been calling for the right to advertise as a way to attract customers who are being drawn to the black market, while opponents argue that vulnerable populations must be protected from gambling incentives. Nonetheless, the Netherlands recently implemented a full ban on sports sponsorship, while the KSA continues to seek new ways to curb the black market’s appeal.
Sports sponsorship ban comes into force
The KSA recently reported on the successful introduction of a full ban on sports sponsorship by gambling companies. The ban, in place since 1 July, targets “sponsorship of athletes, teams of athletes, but also, for example, of clubs, competitions, shirts and other (promotional) material.”
The authority noted: “Almost all public expressions have disappeared,” with only minor violations observed, such as “the sale of merchandise with a logo of the gambling provider on it in webshops of the sports clubs.” Violators received warning letters, and further enforcement actions remain on the table.
Importantly, the KSA reiterated that gambling companies remain responsible even when third parties are involved: “Gambling providers are responsible for compliance with the ban, even if there is cooperation with external parties.”
A regulatory push and a rising black market
Speaking at a recent conference hosted by the Swedish Trade Association for Online Gambling (BOS), Peter-Paul de Goeij, founder of the Netherlands Online Gambling Association (NOGA), didn’t hold back in his criticism.
“Official figures show that only 49% of online gambling revenue goes to licensed operators, meaning the majority flows into unregulated, illegal channels,” de Goeij said, describing the Dutch situation as a “disaster.” Pontus Lindwall, CEO of Betsson, echoed the concern: “Regulation isn’t for the benefit of operators. It’s for protecting consumers, and failing to protect 50% is a failure.”
According to the KSA’s own spring report, traffic to illegal operators’ websites exceeded one million, with spikes in searches like “100 best illegal gambling sites.” Despite this, the regulator maintains that “93% of players consistently play at licensed online casinos.”
De Goeij sees things differently: “Deposit limits have triggered the migration to illegal markets.” He cited a €350 monthly limit for most players and a €150 cap for young adults. “Going over €700 requires submitting financial proof.”
Advertising ban: out of sight, out of mind?
The 2023 ban on untargeted gambling advertising, followed by the current sponsorship ban, has been applauded by some for protecting consumers. But for others, it has added confusion and opacity to an already fragile system.
“72% of Dutch citizens already can’t distinguish between legal and illegal operators,” de Goeij warned. “If you don’t exist in the consumer’s frame of recognition, you’re lost.”
This sentiment was shared by Madeleine Tügel, Chairperson of the Swedish Association of Gambling Addicts: “Gambling is not a regular commodity. It’s addictive and has serious social consequences. We must take action against the leakage to the unregulated market, otherwise, legislation is meaningless.”
A call for dialogue and for reform
Frustration with the Dutch regulatory approach is growing. “It hasn’t sparked any political upheaval, just a ‘nothing to see here, move along’ attitude,” said de Goeij.
Calls for reform stress the need for competitive legal markets, open dialogue between regulators and industry, and evidence-based policymaking. As Lindwall of Betsson put it: “In Sweden, we [operators and regulators] play for the same team. Dialogue is critical.”
“This form of promoting illegal offers must stop”
Perhaps in response to concerns about the black market, the KSA just announced a new structural approach to tackle the ongoing promotion of illegal gambling through online newspapers and magazines. The authority revealed that it continues to receive “many reports about news articles in which consumers are tempted to play at casinos without Cruks.”
Cruks, the national exclusion register, allows vulnerable players to self-exclude from gambling if they feel they are losing control. “Active promotion aimed at this vulnerable target group is therefore very harmful,” the regulator stated.
While previously focused on alerting media outlets with advisory letters, the KSA now aims to “focus more firmly on the entire chain.” This includes marketing agencies that supply paid promotional content for illegal operators. “These agencies will then be reported to the competent regulators in the field of marketing and advertising activities, such as the Netherlands Authority for Consumers and Markets (ACM) and the Advertising Code Foundation (SRC).”
