Legal or illegal? 72% of Swedes unsure where they gamble

Written by Ansh Pandey

A rising number of Swedish gamblers are finding it hard to differentiate between legal and illegal gambling platforms, raising concerns over consumer protection and the country’s regulatory effectiveness.

According to a new survey released by Spelinspektionen, the Swedish Gambling Authority, as many as 72 percent of Swedish gamblers claimed that they could not distinguish between licensed and unlicensed gambling products. The survey, conducted by research firm Enkätfabriken, sampled 1,644 individuals in November 2023, of whom 1,164 had gambled in the past 12 months.

While awareness and share of the licensed gambling appears to be rising, with 42 percent now saying a local licence is an essential factor when choosing an operator, up from 28 percent the year before, most of the players still remain uncertain. 

When asked whether licensed operators offered clear benefits, 47 percent said yes, another 47 percent said they did not know, and six percent said they saw no advantage. The gap in understanding is especially wide among younger players. Just 27 percent of respondents aged 18 to 19 prioritised playing with a locally licensed operator, compared to 52 percent among those aged 65 or older.

Among those who avoid unlicensed websites, the most common reasons cited were fears over non-payment, insecure handling of personal data, and a higher risk of gambling problems. Nevertheless, eight percent admitted to using illegal platforms to avoid paying tax on winnings.

Players not aware of the benefit

Gustaf Hoffstedt, Secretary General of Sweden’s gambling trade body BOS, believes that not enough players are aware of the benefits of choosing licensed operators. He urged the government to improve support for the legal market, stating: “Licenced companies must be empowered to offer more attractive options.”

Hoffstedt also mentioned that while Spelinspektionen once considered a seal of approval to help users identify licensed sites, the plan was shelved due to concerns that illegal operators might imitate it. However, many legitimate operators now display the SGA logo as a mark of security.

Channelisation remains a concern. Swedish horseracing operator ATG estimated that legal platforms only account for between 69 and 82 percent of online gambling activity, well below the regulator’s 90 percent target.

91% players now gamble online 

Meanwhile, gambling from home continues to rise, with 91 percent of players now gambling online. Retail activity has dropped to 18 percent, while on-premises casino gambling remains at just two percent. As a result, Sweden recently decided to close its last land-based casino. The government is reviewing gambling regulations to address these issues, but experts warn that more significant reforms may be necessary.

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