Shift Towards Multi-Licensing in European Online Gambling
Across Europe, the online gambling sector is witnessing a significant regulatory shift towards multi-licensing, as more countries move away from monopolistic systems to open, competitive markets. An increasing number of European nations are adopting multi-licensing frameworks, with 27 out of 31 countries now implementing this approach. The trend signals a broader move to enhance consumer protection, foster healthy competition, and boost tax revenues.
Under a multi-licensing system, online gambling operators are required to obtain licenses from multiple jurisdictions in order to offer their services across different countries. This is a shift from the traditional single-license or state-controlled monopolies that many nations have historically used to regulate gambling activities. By diversifying the number of licenses required, countries open up their markets to more competition, which benefits both consumers and the economy.
One of the key motivations behind the rise of multi-licensing is improving consumer protection. A competitive environment forces operators to maintain high standards of safety, fairness, and transparency, which ultimately helps safeguard players from potential harm. Moreover, as operators must comply with each country’s regulations, this model helps ensure that consumers are using licensed and secure platforms. The result is a healthier, more trustworthy online gambling landscape.
In addition to consumer protection, the multi-licensing approach offers an opportunity for governments to generate increased tax revenues. By requiring operators to obtain licenses and pay fees for each jurisdiction they serve, governments can tap into a growing source of income from the online gambling industry. This has proven to be a positive step for countries looking to strengthen their economy while ensuring that gambling remains responsibly regulated.
Finland, for example, is in the process of legislative reforms aimed at implementing a multi-licensing system by 2026. This change is a part of the country’s effort to modernize its gambling regulations and align them with broader European standards. By offering more licenses, Finland hopes to create a more competitive market, providing more choices for consumers while ensuring the industry is properly regulated.
Another significant advantage of multi-licensing is its potential to reduce illegal gambling. In countries with a single-operator model or strict monopoly laws, unregulated or black-market gambling can thrive as consumers seek alternatives to state-run services. Multi-licensing makes it harder for illegal operators to succeed, as players are more likely to engage with licensed, regulated platforms that are held accountable by authorities.
As more European countries adopt multi-licensing systems, this trend is expected to continue reshaping the online gambling market across the continent. While each country’s approach to licensing may differ, the overall shift represents a move towards a more dynamic, competitive, and transparent gambling environment that prioritizes consumer safety and benefits national economies.
With this transformation underway, the European online gambling industry is poised for a more sustainable future, where regulatory frameworks encourage growth, innovation, and responsible gaming practices.