Netherlands Bans Most Gambling Advertising
The Netherlands government, after numerous postponements, has put into effect a prohibition on most types of wagering promotion.
The prohibition, which went into effect on the first of July, encompasses a broad spectrum of media outlets, including television, radio, and printed materials. The new guidelines also forbid gambling advertising in public areas, such as billboards, bus stops, cafes, and even the gambling establishments themselves.
Under a gradual implementation plan, gambling sponsorship of events and clubs will also be discontinued. Sponsorship of events and programs will be banned starting July 1st of 2024, while sponsorship of venues and clubs will cease in 2025. The new guidelines also impose new limitations on affiliate advertising.
However, targeted advertising is allowed in certain circumstances. This implies that advertising is permitted on on-demand streaming services, social media, direct mail, and online gaming platforms.
Regulators have made it clear that the objective is for over 95% of the audience viewing such ads to be over the age of 24. There is still some degree of uncertainty regarding how this will be accurately defined, monitored, and enforced.
The Dutch Gambling Authority (KSA) has stated that it will only provide “limited” guidance on the prohibition, hoping that operators will take the initiative on this matter.
The KSA’s enforcement strategy…
The governing body stated it would notify the sector if the fresh regulations required further explanation. However, the governing body cautioned permit holders against exceeding the legal limits, reiterating a similar warning issued by KSA head Rene Jansen last month.
The governing body had previously made it clear that it would adopt a cautious strategy when enforcing the new regulations. This prompted some anti-gambling lawmakers to question Minister for Gambling Affairs Frank Verwind, wondering if this was a prudent approach.
However, the Minister defended Jansen’s remarks, arguing that communication with permit holders is often more effective in regulating conduct than penalties.
The governing body stated it would closely monitor operators’ response to the limitations: “Now that the prohibition is in effect, the KSA is actively observing the application of the new advertising rules and licensee responsibilities in practice,” the governing body said.
With the advertising prohibition in place, the Dutch gambling industry has released a new version of its self-regulatory code, the “Online Chance Games Advertising Code.”
The code was released by gambling industry organizations VNLOK and NOGA months after the launch of the regulated market in the Netherlands, following the consumer association’s withdrawal of its backing for the code.
Beyond other steps, the legislation incorporates stipulations regarding deceptive promotional materials, restricting the duration of commercials to a half-minute, and permitting a maximum of three gambling advertisements per commercial break.
Casino Nieuws highlights that the revised advertising regulations introduce some restrictive measures to the existing guidelines. These measures encompass:
The path towards a gambling prohibition
The Netherlands commenced its regulated gambling marketplace on October 1, 2021. In the subsequent months following legalization, gambling operators invested heavily in promotional activities.
Welwind proclaimed stricter gambling advertising rules in March 2022, stemming from his concerns about the influence of widespread gambling advertising on the Dutch populace.
The minister pledged to embark on this path after the Dutch parliament approved a motion by Social Democratic Party MP Michiel van Nispen to completely prohibit gambling advertising.
In July 2022, the minister unveiled a more detailed strategy regarding the practical implementation of the prohibition.
Although the minister initially declared that the prohibition would take effect on January 1, 2023, the government postponed the date multiple times due to a lack of clarity concerning certain provisions within the ban, ultimately settling on July.
This news emerges as Belgium also takes action to prohibit all forms of gambling advertising, with its ban being more comprehensive in certain aspects compared to the Dutch ban.
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