Regulation round-up 17 June
The biggest regulatory news from the egaming industry in the last seven days (11 June to 17 June 2014)
UK profit tax set for MP scrutiny
Finance Bill containing 15% Point of Consumption tax proposal faces final committee stage as VAT changes are given go-ahead
The Bill containing the controversial plan to introduce a 15% levy on online bookie profits went before a selection of MPs last week for its final scrutiny before being passed into law.
The Finance Bill, which includes a range of proposed UK taxation changes, reached the committee stage of the parliamentary process which offers MPs the chance to raise any concerns they may have over measures detailed within the Bill.
The committee commenced on last Tuesday with further stages planned before the Bill is then passed on for its final reading.
Amendments to the planned introduction of a Point of Consumption tax for UK-facing offshore egaming operators are thought to be unlikely with the measure having previously enjoyed broad cross-party approval.
Dutch regulator clamps down on World Cup marketing
The Dutch Gaming Authority (Kansspelautoriteit) has issued a warning to operators targeting customers in the country after witnessing a spike in marketing activity ahead of this summer’s football World Cup.
Between five and ten online sportsbooks received a letter last week warning them that advertising to Dutch residents is illegal under the Gaming Act and that only the Dutch Lotto is permitted to do so, according to the regulator.
And Secretary of State Fred Teeven said operators currently breaking Dutch law risked being viewed in a negative light when the regulator begins to issuing egaming licences.
Seven days in regulation:
Ladbrokes Mexico suffers regulatory delays
Regulatory issues are set to prevent Ladbrokes from launching an online sports betting offering in Mexico before or during the World Cup.
The operator had previously revealed its intention to launch its Latin America-facing Sportium brand in the country prior to the tournament, and in March insisted that it remained on track to do so.
However a Ladbrokes spokesperson confirmed the delay to eGaming Review, but noted that the issues were “not a big problem”.
Digibet case concludes leaving uncertain future for Germany
A legal case which questioned the legality of Germany’s controversial Inter State Treaty has today been concluded without any resolution on the future of online gambling regulation in the country.
In a case brought forward earlier this year, domestic operator Digibet questioned the legality of having two separate licensing regimes existent within the same country.
Germany’s Inter State Treaty, introduced in July 2012, has sought to regulate the country’s online gambling market despite the German state of Schleswig-Holstein already having issued several licenses to online operators.
Portugal set for imminent online gambling discussions
Portugal’s ruling parliament will discuss online gambling regulation before the current legislative sessions finishes next month following pressure from the EU troika.
The Portuguese government last week ‘flagged’ the issue, confirming its intent to discuss online gambling legislation before parliament breaks for recess on 10 July.
Previous efforts to regulate online gambling in the country have been hindered by political opposition to an open market, however the EU troika which funded the country’s bailout last year “ consisting of the European Union, International Monetary Fund and European Central Bank “ has recently put pressure of its own on the country to regulate the market to increase taxation revenue.
Suspicious betting reports see five-fold increase
The number of suspicious betting alerts passed on for investigation to sports’ governing bodies rose five-fold in 2013, according to a report by sports integrity organisation European Sports Security Association (ESSA).
The report, published last week revealed 148 reports of ‘unusual’ betting activity had been made to ESSA by its 16 bookmaker members during 2013 “ a rise of 36% on the 109 reports recorded across the previous year.
Of those 148 cases, 30 were deemed to be ‘suspicious’ enough for the case to be handed to the relevant sport’s governing body for further investigation, a steep increase on the six cases similarly referred in 2012.
FDJ kicks-off underage betting prevention campaign
French operator la Française des Jeux (FDJ) has signed up former footballer Bixente Lizarazu to lead a new media campaigned aimed at preventing underage gambling.
The campaign kicked off last week with the tagline “When under 18, sport we live it. But to bet, forget it!” and is set to be aired online during the course of the upcoming football World Cup.
Former France international Lizarazu, who now works as a TV presenter, features in the main campaign clip which is aimed at retailers, gamblers and parents as part of the FDJ’s commitment to responsible gambling.
Poll: Will PokerStars be awarded a licence in California?
Amaya Gaming’s US$4.9bn acquisition of the Rational Group has once again fired up the debate over PokerStars US online gambling ambitions and its potential to re-enter the US market.
The first target will be New Jersey where, in its decision to suspend PokerStars licence application for two years, the New Jersey regulator cited concerns over founder Isai Scheinberg and 13 senior members of the company.
But with Isai and Mark Scheinberg exiting as part of the deal it’s highly likely Amaya will be awarded a transactional waiver in the Garden State, where PokerStars has already partnered with Resorts Casino.