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Responsible Gambling: The Swedish Approach

Responsible Gambling: The Swedish Approach

In Sweden, a nation known for its progressive and citizen-centric policies, the approach to responsible gambling reflects a broader societal ethos. Unlike punitive models, Swedish domestic policy tends to focus on rehabilitation and long-term behavioral change. This philosophy extends to various aspects of social governance, including the approach to illegal activities. This might explain why in Sweden, where sex work is officially prohibited, the law targets not the sex workers, but rather those who purchase and exploit their services.

In the realm of gambling, Sweden's judicial system has set a global precedent in consumer protection. In a landmark case against Betsson, a major online gambling company, a Swedish court ruled in favor of a player suffering from gambling addiction. The court found that Betsson's "aggressive marketing tactics," which included ongoing bonus offers, exacerbated the plaintiff's condition. Consequently, the court ordered Betsson to compensate the player for both the financial losses and moral suffering, amounting to 5.8 million Swedish kronor (approximately €520,000).

This ruling in December 2023 was swiftly followed by another significant lawsuit in January. Renowned Swedish fashion designer Per Holknekt filed a case against Kindred, a major online gambling operator, and its subsidiary Spooniker Ltd., accusing them of fueling his gambling addiction. Holknekt's claims included staggering amounts spent on various gambling platforms. Before filing the claim, Holknekt told Swedish media that he had spent a total of £8.7 million on 30 different gambling companies. According to him, he spent more than €2.3 million on Kindred-controlled Unibet alone.

Image Source: Wikipedia
Per Holknekt

"In the global gambling industry, there is a notable divide between major operators and regulatory bodies. While most operators focus on maximizing profits, often at the expense of responsible gaming rules, regulatory organizations strive to create a more ethical and safe gambling environment. They do this by identifying unreliable countries and operators and enforcing regulations to influence the industry's direction.

2023 saw a significant development when Entain, a leading industry player, exited all unregulated markets globally, demonstrating a rare commitment to responsible gaming principles despite potential financial implications. This move by Entain is an exception in an industry often driven by financial gain rather than ethical considerations.

In contrast, Swedish courts have established an even more exceptional practice, focusing on protecting individuals suffering from gambling addiction. This approach involves penalizing operators not for operating in 'gray zones'—areas where online gambling is either banned or not monitored at a legislative level—but for failing to protect the gamblers from themselves. 

Swedish cases involving accusations against operators and compensations paid to gamblers have sparked dissatisfaction among gambling business representatives. However, these actions are applauded by European organizations overseeing responsible gambling, highlighting a significant shift towards legal and safe practices for players.

As witnessed in mentioned court cases, the transformation in the gambling sector towards greater legality and player safety is on its way for Sweden. It stands in contrast to operators like Bet365 and 1XBet, that still operates in ambiguous legal zones, risking the reputation of the gambling industry as a whole.

Integrating the Swedish Approach 

As seen in Sweden's progressive gambling industry, the key to a more ethical and safe gambling environment globally lies in adhering to responsible gaming principles. This local model, focusing on protecting and educating gamblers rather than punitive measures, aligns closely with these principles, serving as a beacon for global standards.

Image Source: Midjourney

Self-Restraint Systems

In line with Sweden’s responsible approach, self-restraint systems empower players to set limits on their bets and financial losses. Such systems are crucial in preventing problematic gambling habits and reflect Sweden's commitment to player protection.

Deposit Limits

Players setting their own deposit limits is a practice that resonates with the Swedish emphasis on personal responsibility in gambling. Essential control

to prevent excessive spending aligns with Sweden's approach to promoting responsible financial behavior in gambling.

Betting Limits or Responsible Wagering

Betting limits, a core aspect of Sweden's responsible gambling framework, enable players to set caps on their wager amounts. It ensures that players do not risk more than they can afford, echoing Sweden's dedication to safer gambling practices. 

Strengthening Age Control

Rigorous age checks by operators to prevent underage gambling are in line with Sweden's strict enforcement of age control in the gambling sector.

A vital measure for protecting minors is a priority in both Swedish and global gambling regulations.

Providing Information and Assistance

Consistent with Sweden's approach, all licensed operators must offer information on problem gambling and contacts for support organizations. Such commitment to supporting players struggling with addiction mirrors the Swedish emphasis on care and support in the gambling industry.

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