CU and SP push for stricter gambling regulations in Netherlands

Sudhanshu Ranjan November 22, 2024

SiGMA news

CU and SP push for stricter gambling regulations in Netherlands

In response to growing concerns about gambling’s impact on young people?in the Netherlands, the Christen Unie (CU) and Socialist Party (SP) have introduced a draft bill aimed at curbing gambling harm among youth. Citing findings from the Scientific Research and Data Center (WODC), this proposal seeks to tighten regulations and address gaps in the current legislative framework established by the Remote Gambling Act (KOA).

KOA act and WODC report

The KOA Act, introduced in 2021, was a landmark reform that legalised and regulated online gambling in the Netherlands. Its primary goal was to create a safe and controlled gambling environment, ensuring consumer protection while curbing illegal operators. However, its relatively short implementation period has exposed significant challenges, particularly in promoting responsible gambling.

The WODC’s evaluation of the KOA Act revealed a mixed picture. While the act brought greater transparency and oversight to the gambling market, it fell short of achieving its primary objective of fostering responsible gambling practices.

One of the most concerning findings was the growing prevalence of gambling among young adults. This demographic is particularly vulnerable to the risks of addiction, financial loss, and long-term personal harm, highlighting an urgent need for stricter measures.

The report stated, “Although the policy has led to a reliable offer and to a degree of verifiability and control that is greater than with the unlicensed offer, we do not yet believe that it is a responsible offer. The policy has also led to a large group of new players, including many young adults. Based on the policy and the current implementation practice, it can be expected damage will occur as a result of the policy, particularly in this group. This does not only concern financial damage, but potentially also great personal suffering as a result.”

Proposal by CU and SP

Led by Michiel van Nispen (SP) (pictured above) and Mirjam Bikker (CU), the new bill aims to address the shortcomings of the KOA Act. Both leaders have emphasised the pressing need to protect young people from the dangers of gambling.

Van Nispen highlighted the widespread social damage caused by unregulated gambling freedoms, while Bikker called for immediate action to shield young people from what she described as a dangerous and addictive industry.

Van Nispen said, “We need to tighten the screws on gambling companies. Because the freedom of gambling companies now leads to a lot of misery for individuals and great social damage.”

Bikker added, “Gambling has bad consequences for all young people in the Netherlands. The gambling industry is dangerous and addictive. We need to protect our young people better and we can’t wait. That is why we now need to intervene and present a law that protects them more.”

The draft bill proposes several stringent measures to enhance gambling regulations. These include a near-complete ban on gambling advertisements across all platforms, compulsory limits on deposits and playtime to prevent excessive gambling, and the elimination of credit cards as a payment method to discourage reckless gambling. These steps aim to create a safer gambling environment, particularly for vulnerable young adults.

Teun Struycken, Secretary of State for Legal Protection, has acknowledged the need for stricter oversight. However, gambling operators have pushed back, citing concerns over revenue loss and market stability. Unchecked gambling harm affects more than just individuals; it ripples through families and communities, leading to financial instability and emotional strain. Addressing this issue could yield significant social benefits.