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New Dutch Regulations on Online Gambling Take Effect October 2024

Posted on October 4, 2024 | 12:58 pm
Online-deposit-limits-come-into-force-in-Netherlands

As of October 1, 2024, a set of comprehensive measures aimed at protecting online gamblers in the Netherlands has come into effect. These changes, brought forth by the Dutch government, are designed to reduce gambling-related risks by imposing stricter limits on deposits and introducing new responsible gambling protocols. Licensed operators in the country are now required to comply with these regulations, which include real-time player monitoring and enhanced intervention strategies.

One of the most notable rules introduced is the mandatory net deposit threshold. Starting this month, players will be limited to a net deposit of €700 in any given calendar month. If a player exceeds this threshold, their ability to deposit further funds will be temporarily blocked until the beginning of the next month. A lower limit of €300 has been set for young adults aged 18 to 25, aiming to offer additional protection to this vulnerable demographic.

This deposit limit does not only cap the amount of money players can wager, but it also requires online casinos to monitor a player’s financial capacity. If a player reaches the set deposit threshold, the operator must verify whether the player has the necessary financial means to continue gambling responsibly. In cases where a player wishes to exceed the standard limit, they must provide proof of income, which will be used to determine a suitable maximum deposit amount. This ensures that players only wager within their financial capacity.

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Additional Measures for Responsible Gambling

In addition to deposit limits, players are now required to set a personal deposit limit when registering with an online gambling platform. If a player opts to set a limit higher than €350 per month (€150 for young adults), the operator is required to initiate a direct conversation with them. This mandatory contact point, whether by phone or chat, serves to remind the player of the risks associated with gambling and to inform them about available support resources, such as the Crucks national self-exclusion scheme.

To further enhance responsible gambling practices, players will now receive periodic reminders during gameplay. Every 30 minutes, a pop-up notification will appear, reminding players how long they have been gambling. These messages are intended to prompt players to reflect on their gaming habits and encourage responsible behavior. Additionally, a similar pop-up will alert players when they have reached 50% of their self-imposed time limit. Once the time limit is fully reached, the system will automatically log the player out, ensuring they cannot continue without taking a break.

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Industry Support and Concerns

The introduction of these new rules has been welcomed by the Dutch industry association VNLOK, which represents licensed online gambling providersHelma Lodders, the chair of VNLOK, expressed her support for the regulations, highlighting that members have already taken extra measures beyond the legal requirements to protect players. “VNLOK members have already taken extra-legal measures to provide additional protection for players,” Lodders stated, pointing to initiatives such as the Online Gambling Advertising Code and stricter limits for young adult players.

However, while supportive of effective regulation, VNLOK has also raised concerns about the broader impact of ongoing changes to Dutch gambling laws. The current Remote Gambling Act is under evaluation by the Dutch gambling regulator Kansspelautoriteit (KSA), with findings expected by the end of October 2024. Lodders warned that repeated changes to legislation could result in reduced coherence in the law and the unintended consequence of driving players to illegal gambling websites. “Well-intentioned measures can thus have a counterproductive effect,” Lodders said, stressing the importance of finding the right balance between regulation and preventing an increase in illegal gambling activity.

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Financial Impact on Operators

The new regulations, while aimed at player protection, are expected to increase operational costs for licensed gambling operators in the Netherlands. Local gambling lawyer Alan Littler has pointed out that these changes may reduce consumer spending and significantly increase compliance costs for businesses. Littler also noted that further regulatory changes could emerge following the conclusion of the KSA’s evaluation of the Remote Gambling Act, adding that the industry should prepare for additional requirements.

The Dutch government has also announced a rise in gambling taxes, set to take effect in 2025. The tax rate will increase from 30.5% to 34.2%, with an additional rise to 37.3% scheduled for 2026. VNLOK and other trade bodies have expressed concerns that higher taxes, combined with tighter regulations, may encourage players to seek out illegal gambling operators, where such restrictions do not apply.

Source:

“Nieuwe maatregelen voor aanvullende bescherming van online spelers per 1 oktober 2024“, vnlok.nl, October 1, 2024.

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