Danish Gambling Regulator Opens Consultation for Supplier Licence Certification

Danish Gambling Regulator Opens Consultation on Supplier Licences

The Danish gambling landscape is set for a significant regulatory transformation!

Spillemyndigheden, Denmark’s gambling regulator, has launched a consultation on a new supplier licence certification process.

Discover how these changes aim to bolster market security and elevate player protection standards.

Stay informed and participate in shaping the future of Danish gaming regulation.

Danish Gambling Regulator Opens Consultation on Supplier Licences

The Danish gambling regulator, Spillemyndigheden, has initiated a comprehensive consultation on its proposed supplier licence certification process. This pivotal move invites stakeholders, including betting and iGaming providers, to submit their responses until August 19 via a form available on the regulator’s website. This consultation aims to gather valuable insights and feedback from the industry to ensure the effectiveness and relevance of the new licensing framework.

Introduction of Supplier Licence Certification

Scheduled to be introduced from January 2025, the proposed supplier licence certification aligns Denmark with its neighbor, Sweden, which has already implemented similar measures. Spillemyndigheden believes that this new system will significantly enhance market security and player protection standards. By providing a clearer understanding of regulatory requirements, the certification aims to streamline operations and ensure a higher level of compliance within the industry.

Key Aspects of the Proposal

Dividing Responsibilities: One of the central features of the proposal is the clear delineation of responsibilities between licence holders and game suppliers. Suppliers will now be required to hold a licence of their own and file regular reports with Spillemyndigheden. This change ensures that both parties are accountable for their roles in maintaining a fair and secure gaming environment.

Increased Reporting Frequency: The frequency of reports will increase from every two months to every month. This shift aims to provide the regulator with more timely data, allowing for quicker identification and resolution of potential issues.

Autonomy for System Changes: Suppliers will no longer need the approval of a licence holder to implement system changes. However, Spillemyndigheden will require a stronger business link to ensure that these changes do not negatively impact the functioning of games or platforms. This provision aims to balance operational flexibility with regulatory oversight.

Extended RNG Certification Approval: The regulator will have the authority to delay the approval of Random Number Generator (RNG) certification by up to a month if a more comprehensive analysis and testing are deemed necessary. This measure ensures that all gaming systems meet the highest standards of fairness and reliability.

Finalization and Implementation

Spillemyndigheden plans to publish the final version of the rules by the end of the year, allowing ample time for industry stakeholders to prepare for the new requirements. This timeline reflects the regulator’s commitment to thorough consultation and thoughtful implementation.

Recent Regulatory Enhancements

Earlier this month, Spillemyndigheden was granted new powers to address non-compliance among licensed operators. Amendments to the Gambling Act, effective from July 1, provide the regulator with a broader range of sanctions. These include the power to issue specific requests, file police reports, and even revoke licences for failures to comply with regulatory orders or deadlines. Additionally, the regulator has expanded data processing authority, enabling more comprehensive analysis of gambling data.

Collaboration with Spilreklamenævnet and Consumer Ombudsman

In a parallel development, Spillemyndigheden has announced a collaborative effort with Spilreklamenævnet, the Danish gambling advertising board, and the country’s consumer ombudsman. This partnership aims to ensure stricter compliance with marketing rules. Regular communication and annual meetings will facilitate coordinated enforcement actions, preventing duplication of efforts and ensuring consistency in regulatory practices.

Conclusion

The introduction of a supplier licence certification process by Spillemyndigheden marks a significant step towards enhancing the integrity and security of the Danish gambling market. By increasing the frequency of reporting, delineating responsibilities, and granting greater autonomy for system changes, the regulator aims to create a more transparent and accountable industry. Stakeholders are encouraged to participate in the consultation process, contributing to the development of a robust regulatory framework that protects players and supports a thriving, fair gaming environment.

Stay tuned for further updates as Spillemyndigheden finalizes the new rules and prepares for their implementation in January 2025. This period of transition presents an opportunity for the industry to align with best practices and ensure continued compliance with evolving regulatory standards.