MINISTRY OF THE INTERIOR

The Ministry of the Interior and the Government of Finland regulate the gambling industry. Importantly, all gambling in the country is a monopoly of the state.

There are two operators licensed by Åland and Finland to organize and conduct gambling. These are PAF and Veikkaus.

To be more precise, PAF was specifically authorized by Åland to conduct gambling. But that doesn't mean that islanders can't use the Veikkaus operator.

There were previously more operators. However, in early 2017, the national government merged three licensed companies into one organization: casino RAY, lottery company Veikkaus, and horse betting provider Fintoto. This company became known as Veikkaus. It currently operates Casino Helsinki, the only fully operational casino in Finland.

In 2016, a tender was launched to open a second land-based casino nationwide. More than 70 bids were submitted. This casino is scheduled to open in 2021.

However, this does not mean that the citizens of Finland only have to visit land-based casinos. There are land-based slot machine halls called Feel Vegas. In these establishments, there are significantly lower limits on bets and, accordingly, on expected winnings. In total, there are nine such halls in the country, five of which are located in Helsinki.

The autonomous region of the Åland Islands mainly hosts two licensed operators, Paf and Veikkaus. Paf monopolizes entertainment and gaming activities, including casinos in Åland.

Monopoly on gambling is not unusual in European Union countries. For example, Austria has a similar monopoly.

In 2012, Finland maintained its monopoly system. Which is based on the assertion that gambling is not a normal economic activity. The European Commission confirmed the compliance of Finnish gambling legislation with EU law in 2013.

Since all gambling operators are state-owned, incoming gambling revenues are distributed for charitable purposes. Funding is given to sports, youth programs, arts, and science.

Regulator licensed casinos

MINISTRY OF THE INTERIOR review

Gambling is authorized and operated under Finnish law. It is regulated by the Lotteries Act, and the industry is regulated by several state-owned companies. In particular, the Government issues gambling licenses, and the Ministry of the Interior regulates and supervises companies with gambling licenses.

The Finnish gambling legislation pays attention to the prevention of gambling addiction and the protection of players. The following measures have been introduced to protect players:

• Limitations on maximum bets
• Self-exclusion
• Limitations on working hours.
• Players must be at least 18 years old. They must be registered when visiting the gambling club.

In the fall of 2012, a program was developed that allows players to set their own time and money limits. More than 200,000 people have already used it. If a player wants to be excluded from playing at a land-based casino, they need to apply in person.

The legislation does not provide self-exclusion for relatives.

That is, if you want your relative banned from a casino, only he or she can apply.

There are also measures in place to protect the digital player. Before playing at an online casino, a licensed company must verify the player's name, social security number, age, and address.

The regulator introduces the following requirements for citizens wishing to gamble:

• Age over 18 years old;
• Have a Finnish bank account;
• Have a Finnish social security number;
• Have a permanent address in mainland Finland.

The regulator's requirement for operators looks rather interesting. Customers of a gambling establishment must not be able to play slots or other games in free mode. The Casinoz team was also surprised by the regulation of operating hours and the allowable betting limit on a gambling game. Poker, for example, has no time limits, but the maximum limit is €5,000 on all gaming accounts, and customers cannot deposit more funds into their accounts between 12 a.m. and 6 a.m.

As part of the player protection process for online gambling, players must set daily and monthly loss limits. These limits apply to all types of online gambling. The maximum daily loss limit is €500 for both slot machines and table games.

The local parliament handles casino licensing in the Åland Islands' autonomy. And the regulatory procedures are identical.

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License types of MINISTRY OF THE INTERIOR

Any company wishing to obtain a gambling license in Finland and its autonomous regions must undergo a licensing procedure. There are three types of licenses, each covering a specific type of gambling:

1. Lotteries,
2. Gambling machines and casino management activities,
3. Betting.

Depending on what type of activity a company wants to engage in, it only gets one gambling license. It may seem unfair, but the Government of the country motivates this approach for the following reasons:

• Better protection of players in the legal aspect,
• Protection of companies engaged in gambling,
• Protection against fraudulent actions,
• Reducing the harm caused by gambling.

The license is valid for five years. The Finnish Government handles company licensing. As stated earlier, the country and its autonomous regions have a state monopoly on gambling. Therefore, only Veikkaus and PAF have gambling licenses.

That is, according to the legislation, no other company will NOT be able to obtain a gambling license for a land-based or online casino.

If the organization wishes to open a hall of slot machines, then everything is not much simpler here. It is necessary to obtain a gaming club permit from the local government (in the province or region) in which the arcade is opening and a license from the Government.

• All applications are accepted in writing only. And require additional documentation:
• An annual report that proves the company has previously engaged in gambling activities or another document confirming this is required.
• A statement confirming the decision of the meeting to start gambling activities.
• All financial documents.
• Acknowledgments from the commercial and stock register.
  

However, the list of documentation can be supplemented. For example, if a company opens an online casino, it is necessary to confirm the reliability of the gaming process. That is, to provide advice certificates for video slots and the rules of the games.

Dispute resolution

If a player has a dispute with a casino, he can appeal to local law. But in doing so, he must follow some procedures that would preclude a possible denial of the complaint.

• Set limits on play;
• In case of gambling addiction, set self-exclusion;
• Legal age.
  

If all of this were done before the dispute arose, the state would handle it.

Conclusion

The Government and the Ministry of the Interior regulate gambling in Finland. Licensing and supervision of the gambling industry in Åland is the responsibility of the local Parliament. We specifically combined these regulators in one review due to several important facts:

1. Everywhere, there is a state monopoly on gambling. That is, only local casinos are regulated.
2. The oversight and regulatory procedures, as well as revenue distribution, are identical.
3. The basic principles of player protection
   

Of course, Casinoz does not quite understand the need for a monopoly in this sector, given that citizens of Finland and the Åland Islands can play in other online casinos, which other organizations, such as Malta, regulate. But overall, there are positive aspects, such as the distribution of gambling revenue to charitable causes.