Small Italian town hits €12,749 average gambling per resident, investigation launched

Garance Limouzy October 30, 2024
Small Italian town hits €12,749 average gambling per resident, investigation launched

The Italian financial police in Trentino has initiated an investigation into the online gambling activities associated with the small municipality of Calliano. With a population of just over 2,000, Calliano ranks as the second highest in Italy for online betting among small municipalities. In 2023, the average resident placed bets amounting to €12,749, contributing to an overall gambling total of more than €19 million.

The inquiry follows the release of a report titled “The Spread of Gambling in Small Italian Municipalities,” published by CGIL (the Italian General Confederation of Labour and the second-largest trade union in Europe), Federconsumatori (a consumer association), and the Institute for Consumption Studies (Isscon). The study gathered and analysed data from the Italian Customs and Monopolies Agency to shed light on gambling trends in small communities. “How it is possible that in such small municipalities, with a few thousand inhabitants, you can record average online games that exceed 1000 euros per month per capita?”, asked the CGIL.

Lorenzo Conci, the mayor of Calliano, confirmed the investigation, stating, “Officials are currently conducting thorough reviews of the data, focusing on information from the Customs Agency.” Recently, Conci met with the leadership of the financial police in Rovereto, the local authority responsible for the Vallagarina region.

A call for change

The report explores the previously overlooked online gambling activities in 3,232 Italian municipalities with populations between 2,000 and 9,999 inhabitants, accounting for a quarter of Italy’s population and 41 percent of its municipalities. This investigation follows the earlier “Black Book of Online Gambling,” which documented trends in larger regions.

Despite challenges due to data dissemination limitations established by Parliament in December 2019, the report reveals the significant role that smaller municipalities play in the overall gambling landscape. The Customs and Monopolies Agency reported an impressive €150 billion in total gambling for 2023. While larger centres show higher gambling averages, small municipalities exhibit more significant anomalies in their gambling data.

The report stresses the need for municipalities to take an active role in regulating gambling to mitigate its potential negative effects on community health and wellbeing and to understand the gambling phenomenon at the municipal level to develop effective regulations.

Italy’s gambling legislation

In other news, Italy’s eagerly awaited online gambling licensing tender is facing a delay of one month due to concerns raised by Malta, which were submitted to the European Commission. Initially anticipated to proceed after a standstill period that ended on 18 October, the tender’s new deadline is now 18 November. Malta’s intervention highlights three significant issues: the requirement for B2B companies to obtain licences before entering the Italian market, a prohibition on operators managing multiple brands under a single licence, and the need for improved measures to prevent underage gambling.

The upcoming changes in Italy’s gambling landscape will also see a dramatic increase in licence fees, from €200,000 to €7 million, making it challenging for smaller operators to compete. The new licensing system is expected to reshape the market and improve financial safeguards. Current operators will need to reapply under the new framework, which imposes strict regulations limiting each operator to one app and one website for each gambling activity.

The Italian Ministry of Economy and Finance estimates that at least 50 operators will pursue licences, generating approximately €350 million in initial concession fees and an additional €100 million annually over the next nine years. Additionally, around 30,000 online agents are expected to pay annual registration fees, contributing over €3 million each year.

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