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The statement from the European Commissioner Elżbieta Bieńkowska on the need to waive unjustified and discriminatory restrictions on online gaming might open a new page on liberalization of the sector within the European Union.
The Statement of Ms. Bieńkowska on online gaming
According to the gaming press, Ms. Bieńkowska would have responded to a question regarding the compatibility between online gaming licenses and EU principles stating that EU Member States can limit the offering of gambling services within their territory. However such restrictions have to be compliant with the EU Treaty. And in particular they don’t have to be discriminatory as to the nationality of the operator and justified by primary reasons of general interest.
She also added that the European Commission is concerned about national laws that make the offering of online gaming subject to the presence in the national territory of operators.
What effects within the European Union
And it might not be a coincidence that on the 3rd of September relevant changes to Polish gaming law came into force. In particular, such changes allow companies conducting gambling activity and having a registered office in an EU or EFTA member state to obtain a Polish gaming licence if they either establish a Polish branch or appoint a Polish speaking representative located in Poland.
But such statement might for instance also lead to changes in Belgium where online casino operators still have to partner with a land based casinos in order to be licensed. Likewise the coming into force of new online gaming regulations in Hungary accompanied by the increase of the number of land based casinos might lead to a stronger liberalization of the market.
And in Italy?
Yes, I did not mention Italy in this post so far and you were surprised! Well, Italy already went through a process aimed at aligning its gaming regulations to EU principles. And indeed both the license holders and their technical infrastructures can be located in any country of the European Economic Area.
But for instance there is a risk that if no new gaming licenses are issued in July 2016 (which is unlikely) such practice might be considered in breach of EU principles. Therefore this is an issue to be watched quite closely.
Interesting time, let’s see the developments of the matter!
