Swedish lottery and gaming operator Svenska Spel has called for a prohibition of lottery betting products in the newly regulated market.
Svenska Spel chief executive Patrik Hofbauer wants the government to investigate the negative consequences of the new gaming act, with a focus on lottery betting products where players bet on the outcome of draws rather than participating in the actual lottery.
“I think everyone is aware that there are sometimes negative side effects of major reordering and re-regulation,” says Hofbauer. “Often it is about rogue players seeing an opening that the legislature had not foreseen.
“This does not mean that the re-regulation in itself is bad, only that it is extremely difficult to predict in advance all conceivable loopholes.”
Hofbauer says it is incomprehensible that licensed operators in the Swedish market are allowed to offer bets on popular lottery draws that are operated by others, depriving social causes of financing.
“I cannot think of any other industry where it is okay to use competing companies' products as draws for their own business,” he said. “The shadow gaming companies cannibalize on well-known lotteries without owning the brands that they market and sell.”
He also believes that Swedish consumers will find it difficult to understand the game they are playing, adding: “You need to be a game technology expert to understand what ‘betting on the outcome of lotteries’ means.”
Hofbauer wants the Swedish government to follow the lead of Denmark and prohibit licensed betting operators from offering bets on lottery draws.