Paf introduces “first-of-its-kind” loss-limit
Operator says £26,000 limit will have a 5% impact on revenues but “benefits outweigh the disadvantages”
Finnish operator Paf has introduced a new annual loss-limit for its customers, as part of an ongoing push to protect customers at risk of problem gambling.
The limit is set at SEK 300,000 (£26,000) per year, making Paf the “first international gaming company to introduce a fixed loss limit” according to the firm.
“We do not want anyone to have their lives destroyed forever thanks to a gambling addiction,” said Paf CEO, Christer Fahlstedt.
“There should be room for coming back. We hope that Paf’s action will be one step in the right direction.”
Paf had previously called for all licensed operators in the re-regulated Swedish market to implement such a limit but its proposals have not been included in the licensing regime.
“Regardless of that, we still choose to take the next step and hope our competitors will follow and the authorities will set a common limit,” Fahlstedt added.
The loss limit will come into effect in September 2018, with Paf projecting a 5% hit to annual revenues.
“We believe that Paf’s owners are prepared to accept the loss,” Paf said. “At the same time, our mission is to generate a good annual profit, so this puts pressure on us to recruit new customers who play at a sustainable level,” Paf added.
The firm’s profits are distributed to non-profit associations and good causes on its native Åland island.
The operator pointed out that limited customers could go and pay elsewhere, but said “the hope is that this will be a wake up call for those who have gambling problems and reach the limit and will encourage them to seek help”.
As for the VIPs who can afford to exceed the loss-limit, Fahlstedt added: “Unfortunately, we will lose them, but the benefits outweigh the disadvantages.”
The loss-limit is the latest initiative at Paf to encourage responsible gambling, after the firm quintupled the number of customers it contacted about potentially risky behaviour in 2017, to almost 10,000.
“We will continue to present graphs of game history and encourage customers to use the tools online and set voluntary game limits that suit their conditions,” added Fahlstedt.