The government of the German state of Schleswig-Holstein has unveiled its proposal for a replacement to the current State Treaty on Gaming which expires in December 2011, proposing a lifting of marketing restrictions and the licensing and regulation of online gaming.

The ruling FDP-CDU coalition government of Schleswig-Holstein pledged in 2009 that it would work to bring an end to the current gaming monopoly under the State Treaty and open the market to private competition, as a means of better protecting consumers and ensuring continued contributions for sports.

The new draft State Treaty on Gaming unveiled last week in Berlin seeks to address three key failings of the current State Treaty; lack of effective control of the betting market; its failure to prevent gambling addiction; and the loss of tax revenues due to a burgeoning €˜black market' for gambling.

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