Finland’s anticipated move to liberalize its online gambling market by 2027 is fraught with delays and uncertainties, leaving industry leaders concerned about the future of gambling regulation in the country. Initially envisioned as a straightforward transition to a competitive and regulated market, the reform process has been slowed by political caution and ambiguous legislation.
At the recent SBC Summit in Lisbon, industry experts emphasized that Finland’s success in this endeavor hinges on legislative clarity. The debate over gambling reform, which has been ongoing for years, has left operators in a state of limbo as they await clear directives from the government. In 2020, Veikkaus, Finland’s state-owned monopoly, acknowledged losing its grip on the online market, a revelation that sparked discussions on the need for change. Yet, the timeline for implementing these reforms has been delayed, with the current target set for January 1, 2027. However, there are concerns that this may be postponed until after the April 2027 elections. Antti Koivula, Chief Compliance Officer at Hippos ATG, expressed fears that political caution could push the start date even further to June, while others remain hopeful that the government will adhere to its January commitment, despite the tight timeline.
Nils Andén, CEO of Kindred (FDJ United), observed that the launch date will likely coincide with when Veikkaus feels comfortable, hinting at a possible delay until after the elections. This uncertainty mirrors situations seen in other European markets where prolonged debates have blurred regulatory timelines. Finland’s path to market liberalization has been slow and fraught with hesitation, as explored in an overview of the country’s gambling regulation challenges.
As Finland’s gambling legislation enters its final consultation phase, operators have voiced frustration over the lack of clear rules. Sverker Skogberg, General Counsel of Paf, criticized the current draft for lacking essential determinations needed for a predictable market. Paf has urged the government to clarify conditions related to affiliates, deposit limits, and crypto-related frameworks to prevent confusion once the market opens. Finland has an opportunity to lead by example rather than mimicking neighboring countries, Skogberg argued, and if the goal is a sustainable market, an upgraded framework needs to be in place from the outset. Koivula added that overly restrictive measures could drive players towards unlicensed platforms, arguing that a system deterring players from regulated operators cannot be deemed responsible. Andén further agreed that compliance should not hinge on guesswork, noting that operators wish to compete on product innovation rather than on ambiguous interpretations of the duty of care or marketing codes. The role of the regulator should be to clearly define the parameters, not leave them open to interpretation.
Another significant challenge for Finland will be addressing marketing regulations. Without stringent communication rules, the onset of 2027 could be marred by public backlash. Panellists at the Lisbon summit humorously warned of “angry Finnish aunties,” representing public discontent if gambling advertisements flood television screens post-launch. Koivula cautioned that an unregulated “marketing war” could quickly necessitate tighter restrictions. Dainis Niedra, Managing Director for North and Central Europe at Entain, predicted that smaller operators might initiate aggressive advertising campaigns, prompting regulatory intervention. He warned that such scenarios typically lead to stricter rules, making the market more challenging for everyone involved. Finland has the chance to avoid this pitfall by carefully planning the market’s rollout.
For Finland, the success of the gambling market reform will depend more on precise regulatory measures than on the speed of implementation. Koivula summarized the industry’s concerns by stating that vague laws lead to arbitrary enforcement, which ultimately harms everyone. Operators are keen to follow the rules but are challenged by the ambiguity of those rules. Early guidance from regulators could prevent inconsistencies similar to those experienced during Sweden’s market rollout in 2019. For Finland’s reform to succeed, it is crucial to set transparent standards before licenses are issued.
Veikkaus, the state monopoly, still retains a strong position heading into the open market phase. With established brand loyalty, comprehensive data access, and years of preparation, Veikkaus remains a central player in Finland’s gambling landscape. However, in an open market, share will inevitably shift, raising questions about the speed of this transition. Veikkaus will face the challenge of adapting to increased competition and accountability, qualities that monopolies are not traditionally required to master. Niedra added that while loyalty is a potent force, it is not limitless. As new products with faster technology and more engaging bonuses emerge, customer loyalty may not remain as steadfast as anticipated. This will be Finland’s true test of market transition.
As the countdown to 2027 continues, Finland grapples with a pivotal question: will political caution and half measures permit genuine liberalization, or will they result in a market perpetually in transition? The coming years will determine whether Finland can successfully navigate these challenges to establish a robust and competitive gambling market.
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