FINNISH CONSUMER AUTHORITY RECOMMENDS CHANGES FOR VEIKKAUS

The Finnish Competition and Consumer Authority (KKV) has published its final report regarding the state-owned gambling monopoly, Veikkaus. 

According to the KKV, control of Veikkaus should be transferred from the Prime Minister’s Office to the Ministry of Social Affairs and Health (STM), and its revenue should be paid to the state treasury, rather than individual ministries. 

As things stand, over 50% of Veikkaus’ revenues are paid directly to the Ministry of Education and Culture, to fund sports, science, and arts. 43% is paid to the Ministry of Social Affairs and Health, and 4% is paid to the Ministry of Agriculture and Forestry, to help fund horse racing. 

However, the KKV has concluded that increased spending on reducing gambling harm could lead to a shortfall in funding for other areas, so all revenue should be paid to the treasure in the interests of planning and stability. 

It also said that, since the STM is already responsible for monitoring, researching, evaluating and developing prevention and treatment for gambling disorders, it is best placed to steer Veikkaus in a direction that reduces harms to Finnish individuals and society. 

Discussing the report research professor Mika Maliranta said:

“If active efforts are made to reduce gambling disadvantages, Veikkaus beneficiaries will not be able to anticipate their funding, as reducing gambling disadvantages is likely to have an impact on the amount of Veikkaus revenues distributed to beneficiaries.

“On the other hand, if the gambling monopoly does not actively seek to reduce harm, the monopoly system does not meet the purpose or justification of the law. This contradiction has hampered the social debate about Veikkaus’ responsibility.”

Staying with gambling in Finland, at the end of 2020 the European Gaming and Betting Association (EGBA) urged the Finnish government to “fix” its gambling policy and end Veikkaus’ monopoly.

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