New report slams “incoherent and incompatible” Austrian gambling regulation
Trade body-commissioned report claims current rules are contrary to EU law
Austria’s gambling laws are “incoherent and incompatible” with EU law, according to a new report commissioned by the Austrian Association for Betting and Gambling (OVWG).
The report carried out by German professors Tristan Barczak of the University of Passau and Bernd J. Hartmann of the University of Osnabrück criticised the Austrian gambling regulator citing numerous examples of inconsistencies in its approach.
It suggested the design of Austrian regulation was mismatched with EU law and therefore to a large extent contrary to European law and inapplicable.
The professors questioned why there was only one online gaming licence, which is currently used by Casinos Austria Group, but an unlimited number of sports betting licences.
“The difference cannot be justified in particular on the basis of arguments relating to player protection,” the report claims, with researchers questioning a lack of empirical evidence for the restriction on player protection grounds.
The professors also highlighted a lack of coherence in sports betting regulation for being permitted and regulated at individual state level but not nationally, in contrast with online slots, which is regulated at both levels.
The report asks why Austrian regulators have not issued a new tender for three additional casino licences after licences were revoked in 2016.
Austrian regulators were required to issue an invitation to tender for the licences following a European Court of Justice (ECJ) ruling in 2010.
Since then, only Casinos Austria, which is partly owned by the State, has been given the opportunity to tender, which the professors claim is another example of its incompatibility with EU law.
“The expert opinion clearly proves the illegality of the Austrian gambling monopoly under EU law and thus confirms a fact that we have been pointing out for many years: online providers licensed in another EU Member State may also offer their services in Austria,” OVWG president and bet-at-home legal counsel Claus Retschitzegger said.
“We expressly welcome this, because the providers bring a lot of added value and countless IT jobs to Austria,” he added.
Last month, the OVWG called for the introduction of a new online gambling licensing system to boost Austrian sport as it grapples with the financial fallout of Covid-19.
The trade body claimed this process would generate between €30m-€50m, money it claimed could then be paid back to Austrian sports causes.