Austria targets regulatory reform with new independent body
Government greenlights widespread overhaul of existing governance framework and player-protection standards
Austrian government officials have unveiled the biggest package of regulatory reform in the history of gambling in the country, including the creation of a new gambling regulator.
In a presentation to the Austrian Council of Ministers, the government pledged to increase its “economic and socio-political responsibility” through a raft of efficiency-based measures.
These include transferring regulatory authority away from the Austrian Ministry of Finance to a yet-to-be-created regulatory entity, which will take over licensing, oversight and enforcement powers.
Taxation of operators and the funding of an independent body to assist in the treatment of problem gamblers in Austria is also envisioned within the reform package.
Austrian officials will look to impose a restrictive advertising regime on online gambling like that used in the advertising of tobacco products.
In addition, the reforms will include restrictions on stakes, maximum net losses and winnings, together with duration of play restrictions on online slots.
The creation of a national self-exclusion register for both online and offline players is also included in proposals, together with the implementation of DNS blocking of unlicensed sites and the creation of Austria’s first gambling operator blacklist.
A licence to operate video lottery terminals (VLTs) granted to the state will be abolished, while three remaining unclaimed casino-based gaming licences will be cancelled.
The package of measures has been passed for assessment by Austrian officials with a full report made available by the end of April. It is understood the Austrian government wants the reforms to be in place by autumn.
The Austrian Betting and Gambling Association (OVWG) welcomed the proposal to establish an independent regulator but took exception to the government’s pitch to introduce DNS blocking, arguing instead for other measures.
“Before discussing a sanction mechanism, the effort should be to introduce a long overdue gambling regulation with an up-to-date licensing system,” the OVWG said.
“Only in this way will it be possible to make an attractive gambling offer accessible to Austrians, in which the highest player-protection standards are effectively implemented.
“Everyone benefits equally from a regulated market with a fair and level playing field. Licensed gambling providers grant a high level of player protection and tax revenues and are strong partners for media and sports,” the OVWG added.
The OVWG has said licensed providers operating with EU licences in Austria contribute €100m (£86.8m) annually in sports sponsorship and marketing investment, together with approximately €123m (£106.7m) in gambling levies, creating more than 1,000 jobs.
However, there is currently a high-profile legal dispute taking place between EU-licensed operators targeting the Austrian market and a group of 2,000 players seeking a return of net losses totalling more than €40m.