European Commission to drop online gambling support
Commission will not pursue infringement cases, saying online gambling is no longer a priority
The European Commission (EC) is planning to drop all online gambling infringement cases against EU member states, as soon as next week, it has emerged.
The step would be a major blow to online gambling operators who use the EC to challenge national online gambling regulations that breach EU rules on state aid and freedom of movement of services.
The EC recently ruled that Hungary’s gambling laws breached EU principles for instance, and has also been involved in cases against the Netherlands, Poland and Germany.
However the Commission has written to gambling trade groups and previous complainants, saying it will drop these cases because gambling is no longer a priority.
The EC has separately described the move as a political- rather than legal decision.
Clive Hawkswood, the chief executive of the RGA admitted it was bad news for those looking to challenge restrictive online gambling frameworks.
“As some of these cases are years old I suppose there is the argument that what we’ve never had we’ll never miss, but from our perspective it will of course send a very negative message across the EU and those Member States who are clearly in breach of EU law will no doubt take encouragement from it,” Hawkswood said.
“There remains the option of challenges in national and EU courts, but as we know that is also a very long and expensive process.”
David Schollenberger, partner at law firm Healys added: “It is very disappointing to learn that the EU has dropped infringement actions that were enforcing EU law on free movement of goods and services. This will result in propagation of state monopolies and reduce competition in the industry, to the disadvantage of consumers.”
The College of Commissioners could approve the decision as soon as next Thursday (7 December).