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Swedish Gambling Regulator Ends Investigation into Postcode Lottery

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Spelinspektionen, the Swedish gambling regulatory authority, has concluded its supervisory investigation into the Swedish Postcode Association. This decision comes after a review initiated last year, when the Swedish Consumer Agency began scrutinizing the marketing techniques employed in the telephone sales of lottery tickets. The investigation had aimed to assess potential violations of the Marketing Act by the association.

The Consumer Agency holds the primary responsibility for addressing concerns about compliance with marketing regulations. Following its review, the agency presented its findings to the secretariat of the Consumer Ombudsman (KO). The next steps depend on whether the KO decides to pursue the matter in court, which could lead to a formal legal challenge.

Currently, Spelinspektionen has not found conclusive evidence that the Swedish Postcode Association breached the Marketing Act. Consequently, the regulator has opted not to continue with its supervisory actions. However, it remains vigilant and reserves the right to reopen the investigation if future information suggests a violation, or if new circumstances emerge.

In parallel to the lottery investigation, Spelinspektionen has completed inspections of several bingo halls across Sweden. This initiative aimed to ensure that all licensees adhere to the mandatory requirements for displaying information, as specified in the Gambling Act (2018:1138). During the site visits, inspectors focused particularly on the visibility of the winnings plan and age limit notices to ensure compliance.

The venues included in these inspections were Bingoföreningen Sverige in Linköping, Bingoringen Karlskoga, Örebro Bingo Alliance Association’s Bingo 8:an, and Norrköpings Bingoallians’ Citybingo in Norrköping. According to the Gambling Act, operators must clearly display the winnings plan and other critical information for players, such as age restrictions and accessible player guidance.

The findings from these inspections are currently under assessment by Spelinspektionen. The regulator has not yet declared whether any enforcement actions or interventions will be necessary, but it underscores the importance of transparency and adherence to statutory requirements within the gambling sector.

In a significant leadership update, Spelinspektionen announced that Johan Röhr would become its acting director general following the departure of Camilla Rosenberg on November 1. Röhr, who is presently the head of the legal department at Spelinspektionen, brings extensive experience from his tenure in the Swedish justice system, including a position at the Court of Appeal in Stockholm. His interim leadership is expected to maintain the regulator’s strong oversight and strategic direction while a permanent director general is appointed.

In conjunction with these developments, Spelinspektionen has continued its crackdown on unlicensed gambling activities. Recently, it banned two companies, Bitx Operations N.V. and Ryker B.V., from targeting Swedish consumers. This action aligns with the regulator’s ongoing efforts to protect the Swedish gambling market from unauthorized operators and ensure that all players within the industry comply with local licensing requirements.

While some industry observers applaud these stringent measures as necessary for maintaining integrity and consumer protection, others argue that regulatory approaches should better accommodate market innovation and evolving business models. This debate reflects broader tensions within the gambling industry, as regulators worldwide grapple with balancing rigorous oversight against supporting industry growth and technological advancements.

The Swedish gambling market, characterized by strict regulatory controls, continues to evolve under the watchful eye of Spelinspektionen. As the industry adapts to new regulatory frameworks and consumer expectations, it remains to be seen how these dynamics will shape the future landscape of gambling in Sweden. With ongoing inspections, regulatory revisions, and leadership changes, the market is poised for continued scrutiny and potential reform.

Ultimately, the resolution of the Swedish Postcode Association investigation and the outcome of the bingo hall inspections will provide further insights into Spelinspektionen’s regulatory priorities. Stakeholders within the gambling industry will closely monitor these developments, which could set important precedents for marketing practices, compliance standards, and regulatory enforcement in Sweden.