As the online gambling industry continues to grow rapidly across Europe and throughout the wider world, each individual country has taken a different regulatory approach to the subject. Whilst it is interesting to consider how these legal frameworks differ between nations, this varied landscape can also cause a fair amount of confusion. In this article, we’ll be taking a closer look at two nations which have taken distinctly different paths when it comes to gambling regulation. Both Spain and the UK are home to significant domestic iGaming markets, but whilst the UK is known for its simple and straightforward legal landscape, Spanish online gambling laws are notorious for being a little unclear. If you’re keen to understand the differences between the two, then keep reading, as we’ve put together this handy comparison of Spanish and British online gambling law.
Thanks to its considered and concise legal approach, the United Kingdom is home to one of the world’s most well-regulated online gambling markets today. The clarity and transparency of the nation’s gambling law means that many of the world’s leading iGaming operators are licensed in the country. This means we’ve seen sites like casino.org/uk/ pop up all over the country, as a way to act as a watchdog and review site for the burgeoning industry. All iGaming activity in the country is subject to the clear rules laid out in the Gambling Act of 2005, and all online casino operators (both domestic and offshore) must hold a valid license from the UK Gambling Commission (UKGC). This well-defined legal landscape has been praised by operators and consumers alike and has helped the country to develop a thriving and competitive online gambling market which protects consumers and fosters a culture of transparency.
Under this simple and centralised regulatory model, important matters such as player protection, licensing and taxation are regularly reviewed by the UK government, and any changes to legislation are made clear through amendments to the Gambling Act. Similarly, all advertising is regulated by the national Advertising Standards Authority (ASA), allowing operators to quickly and easily understand their responsibilities and restrictions within the UK market. Overall, this well-defined legal landscape has enabled both players and operators to make informed decisions and to feel confident that they understand their specific role within this thriving iGaming industry. This resolutely clear and no-nonsense approach has been praised for contributing to the overall success of the UK’s flourishing online gambling market, whilst also protecting consumers from rogue operators and promoting honesty and transparency within the industry as a whole.
Spain’s domestic online gambling market has been steadily growing in recent years, and its total revenue is predicted to reach almost 2 billion USD by the end of 2024. The monthly average of active game accounts in the country is over 1.4 million, a figure which has been increasing year on year, demonstrating that there is plenty of demand for iGaming amongst Spanish citizens. Whilst this overall growth clearly signifies the strength of the online gambling industry in Spain, its legal landscape can be confusing and difficult to understand for both players and operators alike – an issue which some argue is holding back progress within the Spanish iGaming industry. Gambling law in the nation is complicated by regional variations and constant changes, making it much less straightforward than in the UK, and potentially stunting the growth of this promising iGaming market.
In Spain, online gambling is regulated at both the national and regional levels, and whilst this gives regional governments more autonomy, it tends to complicate the wider regulatory framework across the country. At the national level, online gambling licensing is managed by the Dirección General de Ordenación del Juego (DGOJ), but the Autonomous Communities (regional governments) also have the authority to regulate all gambling activity within their borders. This confusing and overlapping legal landscape frequently means that operators need to procure multiple licenses to operate across the different regions of Spain, creating complications for the industry as a whole. As each region takes a slightly different approach, operators must navigate an inconsistent and changeable regulatory landscape, meaning those working in the iGaming industry in Spain are constantly struggling to maintain compliant practices across the country.
Certain national laws in Spain have also been criticised for creating bizarre restrictions, such as the 2021 Royal Decree on Commercial Communications of Gambling Activities, which limits all gambling adverts to the strange time window of 1 am to 5 am. Unlike the UK’s straightforward approach to advertising which focuses on key issues including preventing operators from targeting minors and problem gamblers, Spain’s unusual time limit on gambling adverts serves to create significant marketing challenges for operators. This restriction impacts operators’ marketing strategies and limits outreach to new customers, causing many to argue that this particular law gets in the way of growth. For many industry experts, it’s thought that better consumer protection and freedoms in Spain could be enabled by more slightly considered and nuanced advertising law.
Ultimately, whilst both countries are home to well-established iGaming markets, Spain’s legal framework for online gambling is generally seen to be fairly confusing, especially when compared to the world-leading clarity of UK regulation. Spain lacks a unified and coherent approach to the subject, as subtle variations between regional regulations mean that operators in the country are forced to navigate a cloudy and unclear legal landscape. Many argue that Spain’s iGaming market would benefit from a much more centralised approach, instead of the current system which is creating a challenging landscape for both operators and players alike. After all, much of the success of the UK iGaming market has been attributed to its signature centralised approach to legislation. Gambling legislation in the UK has enabled the online gaming industry to thrive, thanks to the creation of laws which are straightforward, concise, and easy to understand. It is therefore evident that Spanish lawmakers may need to take inspiration from those in the UK, in order to foster a more transparent, safe, and successful iGaming industry in the future.
Tuesday, November 5, 2024 6:24 PM Image aggregated from The Guardian.
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