Swedish Online Gambling Provider Svenska Spel Free-to-air advertising trouble

Swedish broadcaster TV4 and Svenska Spel – a state-owned company operating in the regulated gambling market in Sweden, have been found in breach of the Radio and Television Act due to a free-to-air television program featuring gambling. The program was deemed to clearly advertise gambling, something that led to a complaint from the BOS – the Swedish online gambling trade association.

According to the BOS, all marketing and advertising must be designed to be abundantly clear to the audience that it is so and not a part of regular programming. The Swedish Press and Broadcasting Authority explained: “Marketing must be designed and presented so that it is clear that it is marketing.” According to the Radio and Television Act, a special signature must distinguish the advertisements from the other content before and after each advertisement.

As this program had no such signal, the content advertising gambling in the program violates the law.

Gustaf Hoffstedt, BOS secretary-general, said: “Today’s decision is a victory for thousands of Swedes who want to engage with the gambling market in a safe and regulated manner. There should be no confusion about what constitutes gambling advertising or special schemes that circumvent the statutory disclosure requirement for the 18+ age limit or information about the national problem gambling helpline. We are pleased that the Swedish Press and Broadcasting Authority has reached the same conclusion.”

“The decision by the authority will help level the playing field in Sweden’s gambling market. By claiming that the keno and scratch card segments did not constitute advertising, Svenska Spel was able to promote its monopoly products outside of regular advertising spots, gaining an unfair advantage over its competitors. We welcome Today’s decision and hope it marks the end of covert advertising practices in the gambling market.”

Until 2019 Sweden had a monopoly gambling market where only state-owned companies (Svenska Spel) or state-controlled companies (ATG) were allowed to provide gambling for money. Public service organisations (Postkodlotteriet, Folkspel, Miljonlotteriet, etc.) were allowed to arrange lotteries and bingo activities.

Since the law changed, allowing private companies to invest and involve themselves in Sweden’s gambling industry, the country has struggled to regulate all the new activity. This is one such example of how this issue continues to pervade the industry in this country.

In 2021 the Swedish gambling market had total gross revenue of SEK 26 billion (2.6 million pounds). In 2020, the total gross revenue was 24,7 billion.