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Read Full BioSpain’s gambling regulator has issued fines amounting to over €33 million ($38 million) to gambling companies. This includes heavy penalties for unlicensed operators as well as fines to high-profile brands, including Betfair, 888, and Codere.
The Directorate General for Gambling Regulation (DGOJ) announced the sanctions, noting that it brings the total fines this year to almost €111 million.
In the latest round of sanctions, six companies will pay €5 million ($5.79 million) each for operating without a valid license. The companies are XYZ Entertainment, Moonrail Limited, EOD Code SRL, Samaki, Lone Rock Holdings, and Novaforge.
In addition, several high-profile betting brands have been fined. Betfair, owned by Flutter, has been fined €100,000 for failing to comply with responsible gambling and player protection rules. 888 Online will pay €250,000 for using unapproved or unauthorized technical systems.
Other companies named include Electraworks Ceuta, which has been fined €512,000 for allowing prohibited individuals access to unapproved systems and failing to meet technical compliance requirements. Beatya Online will pay €300,000 for failing to comply with technical requirements for software and communication systems, while Codere faces a €17,500 penalty for using unapproved technical systems.
Another 21 companies have also been sanctioned, paying a combined total of over €2 million, but have not been named.
Spain Cracking Down on Gambling Industry
Spain’s gambling regulator, headed by Pablo Bustinduy, has taken a tough stance on gambling recently. It has now imposed 58 sanctions this year. Since an amendment to the Gambling Regulation Act in July 2021, it has fined operators almost €500 million.
The country is one of the strictest in Europe and continues to introduce new measures to curb the gambling industry. Earlier this year, Bustinduy announced that betting companies must include severe warnings to users highlighting the harms of gambling.
The new messages are akin to warning labels on tobacco. Companies must prominently display messages such as:
- Gambling addiction is a risk of gambling
- The probability of being a losing gambler is 75%
- Losses for all gamblers are four times greater than their winnings
The Minister said that “the responsibility should not fall on users but on the authorities, who have the democratic duty to ensure that the environments they access are safe.”
New Tools Aim to Curb Problem Gambling
The explicit messaging has been designed to limit the rise in problem gambling, particularly among young people in Spain. In addition, the Ministry has launched a campaign against loot boxes in video games, which it argues are further encouraging underage gambling.
The country also announced plans to utilize technology to address problem gambling. Last week, it announced a new algorithm that it claims will enable it to identify risky online gambling behavior more accurately and earlier. In the future, operators will be required to use the algorithm to identify and limit customers who exhibit signs of problem gambling.
Andrés Barragán, Spain’s Secretary General for Consumer Affairs & Gambling, called the algorithm “a revolutionary tool” that puts technology “at the service of social well-being” and strengthens public policy grounded in scientific evidence.
While enforcing stricter rules on licensed operators, the €30 million fines imposed on unlicensed companies demonstrate a wide-reaching strategy by the government to tackle gambling problems.
