Poll: What does the future hold for egaming in Germany?

Following the expiration of the EC standstill period regarding Schleswig-Holstein’s abolition of its existing egaming licensing regime, the progress of regulated online gambling in Germany has reached a crossroads.

The breakaway state had initially opted to introduce its own licensing structure, issuing 15 licences to date for sports betting and a further 12 for casino and poker, however a newly installed coalition government has since pushed for a return to the State Treaty agreed upon by the country’s remaining 15 Länder.

This culminated in the publication of an EC opinion in December last year opposing the return, with the Treaty’s limitations on products offered (just sports betting) and licences issued (a maximum of 20) coming under particular scrutiny and viewed as non-compliant with EU law.

Schleswig-Holstein’s ruling party, the SPD alongside its coalition partners, announced in July that it planned to fall in line with the other 15 Länder, while last week an SH parliamentary committee recommended that its legislature press on with its plans to repeal its more liberal egaming laws. But with operators such as bwin.party particularly vocal in their opinion that their existing non-sports offering is legitimate, might we see those licences already issued continue to run for their full term before lapsing as Schleswig-Holstein assimilates with the remainder of the dot.de market?

Or might we see a more extreme solution, with Schleswig-Holstein licences immediately becoming redundant upon the Land joining the State Treaty? The expiration of the standstill period has been interpreted by some as a precursor to such an outcome, however operators licensed in the jurisdiction remain convinced that this will not be the case.

Indeed the uncertainty, coupled with continued objections to the restrictions imposed by federal proposals, could yet bring about two regimes operating in tandem, for a short period at least.

Following the EC opinion – backed up by the UK and Malta – Sigrid Ligné of the European Gaming and Betting Association said: “The European Commission’s detailed opinion against Schleswig-Holstein sends a clear message that Member States are no longer going to be allowed to impose gaming regulations that fail to meet the tests set by the CJEU,”

There remains some hope from some quarters that things will go even further, with members of the State Treaty perhaps reluctantly agreeing to change their existing stance and instead introduce a more open regulatory regime which those currently serving German customers find more amenable.

To have your say on which outcome you consider most likely, vote in the poll on the right-hand side of the page.