The Swedish gambling market experienced a modest growth in the third quarter of 2025, with a reported 0.5 percent increase in revenue, reaching SEK6.71bn (€613m). This growth was primarily driven by the robust performance of the online gambling sector. In contrast, traditional sectors like lottery and land-based slots witnessed a decline in their revenues compared to the same period last year.
Online gambling continues to be a significant contributor to the market’s growth, with revenues hitting SEK4.51bn, marking a 3.5 percent rise year-on-year. Interestingly, this growth in online sports betting revenue came despite the impact of major global sporting events like Euro 2024 and the Paris 2024 Olympics, which had earlier influenced betting patterns.
The state-owned Svenska Spel, however, saw a decline in its traditional offerings. Revenue from its lottery and slot machines dropped by 7.2 percent year-on-year to SEK1.26bn. This decline highlights the shifting consumer preferences, as more players gravitate towards digital platforms. On the other hand, lotteries for public benefit managed to secure a 0.5 percent increase, bringing in SEK822m, while bingo revenue remained steady at SEK48m. Commercial land-based gaming, including restaurant casinos, reported an increase of 3.1 percent, generating SEK67m.
The absence of land-based casino revenue is noteworthy this quarter, marking the first full quarter since Svenska Spel closed its last Casino Cosmopol in April. This decision reflects a broader trend of declining patronage in physical casinos, as digital alternatives continue to gain favor among gamblers.
Comparing quarter-to-quarter results, the revenue for the three months ending in September was down by 4.4 percent from the SEK7.02bn reported in the second quarter of this year. This sequential decline could indicate a leveling off after a particularly strong second quarter or possibly reflect market adjustments post-major international events.
This period of transition in the Swedish gambling landscape is underscored by the upcoming introduction of a comprehensive ban on gambling with credit, set to take effect in April 2026. This regulatory change aims to curb potential gambling-related debt and promote responsible gaming practices among Swedish players. In anticipation of this change, the Swedish regulator Spelinspektionen has announced plans to intensify its oversight of Svenska Spel’s gaming halls. These inspections will focus on the strategic placement of slot machines, ensuring they comply with upcoming regulatory standards.
On the financial front, Svenska Spel’s net gaming revenue for the quarter stood at SEK1.87bn (€199.4m), reflecting a 7 percent increase over the same period in 2024. This growth was largely driven by the performance of its Tur lottery and Sport & Casino divisions. These sectors proved resilient, effectively offsetting the decline in the Vegas gaming machine segment and the closure of Casino Cosmopol.
Industry experts suggest that the sustained growth in online gambling revenue might be attributed to a combination of increased digital outreach and innovative gaming experiences that appeal to a broader demographic. There’s a sense of optimism within the industry, with a belief that digital platforms can continue to bolster the market despite regulatory challenges.
However, not everyone shares this optimistic outlook. Critics warn that the over-reliance on online gambling could pose long-term risks, including potential market saturation and the challenges of maintaining consumer interest over time. Furthermore, they caution that increased regulatory scrutiny and the forthcoming credit ban may introduce new operational hurdles for operators.
The dialogue around these trends underscores the dynamic nature of the Swedish gambling market. As digitalization continues to reshape the industry, operators are compelled to innovate continually and adapt to shifting regulatory landscapes. While the immediate future appears promising, with digital platforms leading growth, the industry must remain vigilant to sustain this momentum in an increasingly competitive and regulated environment.
Looking ahead, the Swedish gambling market is poised for a transformative phase, with digital innovation at the helm. As operators navigate these changes, balancing consumer demand with responsible gaming practices will be crucial. The coming years will likely see further consolidation in the industry, as companies strive to harness the full potential of digital technologies while adhering to evolving regulatory frameworks.
