Finland removes state gambling monopoly: Market opening from 2027

The Finnish government has announced in a press release that it will phase out the state gambling monopoly at the end of 2026. Instead, the government will introduce a licensing system, thereby opening up some types of gambling to competition.

License for sports betting and online casinos

According to the press release from the Finnish Ministry of the Interior, the market opening will initially apply to sports betting and online casinos. Providers will have the opportunity to apply for a license and then offer gambling legally. So far, the Finnish gambling company Veikkaus has a monopoly on all gambling in Finland.

However, this monopoly is only to be partially abolished. The Finnish Ministry of the Interior explains that Veikkaus will continue to have the monopoly on toto games (lottery-based sports betting) and lottery games, such as scratch cards. Stationary casino games and physical slot machines will also continue to be offered exclusively by Veikkaus.

The main target is Q4 2026 where there will be the end of monopoly provider Veikkaus’ hold over sports betting and online casino games which online sites can offer, like pikakasino. The company will be split into two entities: one running a monopoly for lottery and land-based gaming and the other competing in the online market.

The press release also presented an initial timetable for the partial abolition of the gambling monopoly. The gambling law is to be presented to the Finnish parliament in spring 2025. Gambling providers would then have the opportunity to submit applications for a Finnish license from 2025.

Veikkaus’ monopoly is set to expire at the end of 2026. Accordingly, licensed gambling in Finland will probably begin in 2027.

Gambling outside the monopoly system

The Finnish government pointed out last year that the current gambling policy was not successful. Gambling addiction in Finland has also increased significantly in recent years.

In addition, more and more players have been gambling on unlicensed sites. According to a study by the Finnish government, around 5 to 6 percent of the Finnish population are said to participate in unlicensed gambling.

Has Finland’s gambling policy Veikkaus failed?

The trade magazine iGaming Business explains that the Finnish government has described the current gambling policy as unsuccessful. This is partly because addictive gambling is a problem in Finland and more and more players seem to be switching to unlicensed offerings.

As early as April 2023, the Finnish government commissioned a study to develop alternatives to the current monopoly, taking as its guide countries where a licensing system had been used.

A key aspect of the new gambling policy is to tighten gambling laws. To this end, an authority should be created that will be equipped with sufficient resources to be able to implement measures to combat money laundering, among other things.

Introduction of a supervisory authority planned

As part of the market liberalization, the Finnish government plans to introduce a supervisory authority for the gambling market. This authority will be given extensive powers and will be connected to the administrative office of the Finnish Ministry of Finance.

The new authority will be responsible for imposing sanctions for violations of the law. If necessary, it can also revoke licenses and prohibit the marketing of gambling. As part of its work, it will also be authorized to carry out test purchases.

The newly established supervisory authority will also monitor providers to ensure compliance with applicable laws. Preventing money laundering and terrorist financing will also fall within its remit.

The new authority will be able to prevent illegal gambling by blocking networks and payments. With this step, the government wants to ensure that players are directed towards licensed gambling.

Planned measures for player protection

In its statement, the Finnish Ministry of the Interior presents some planned measures for player protection. Verification of the identity of players is to be firmly anchored in Finnish gambling law. In this context, an age limit is to be set that must be observed during identification. The Finnish government laid the first foundation for this last year: Since 2024, scratch cards can only be purchased in Finland after an ID check .

In addition, a blocking register is to be introduced. Players could register themselves and have themselves blocked from gambling with all licensed providers.

The Interior Ministry also plans to set rules for marketing and sponsoring gambling and to list prohibited marketing tools. Marketing will be permitted on certain channels but will also be subject to regulations. For example, commercial cooperation between gambling providers and influencers, for example, will not be permitted.

How will the end of the monopoly affect the Finnish gambling market?

With the upcoming market opening, the Finnish government is pursuing a planned tightening of gambling policy. What may initially sound like a contradiction has already proven itself in other countries.

Not only is the abolition of the monopoly planned, but also the introduction of a supervisory authority. With the necessary resources, this authority would be able to monitor the Finnish gambling market and take the necessary measures. The opening of the market and the planned licensing system could therefore help to ensure better player protection.

What is Veikkaus – the monopolist for Finnish gambling

The Finnish gaming company Veikkaus is fully state-owned and the only official gaming operator in Finland. The company was founded as a result of a merger of the gaming companies Veikkaus, Fintoto and RAY in 2017.

As a non-profit company, Veikkaus invests the revenue from gaming operations in social and infrastructure projects in the country, among other things. However, Veikkaus' revenues seem to have stagnated, which

is explained by the emergence of stronger online competition. According to estimates, Veikkaus' market share in Finland is only around 50%. Experts attribute this to the Finnish population's participation in unlicensed gambling services.