How gambling companies try to stretch advertising rules

This article was last updated on August 23, 2023

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Gambling companies had more say than addiction experts in the development of advertising rules about gambling, emerges in pieces which the NOS requested with an appeal to the Open Government Act (WOO). How exactly did that work? A reconstruction of the gambling industry lobby.

Gambling is popular in the Netherlands. Since the opening of the online gambling market in 2021, many more people have started gambling legally than the cabinet had expected. The internal documents of the Ministry of Justice & Security show that gambling companies have been resisting stricter advertising rules for years.

The influence of gambling companies

Gambling companies in the Netherlands have been successful in influencing the development of advertising rules. The Ministry of Justice & Security documents reveal that these companies have been resisting stricter regulations for years. This has raised concerns about the protection of vulnerable individuals, particularly young people.

The role of famous people in advertisements

One of the areas of contention between gambling companies and regulators is the use of famous people in advertisements. The original bill suggested limiting the use of role models like pop idols to protect young people from excessive exposure to gambling. However, this limitation was removed in the final law, despite warnings from addiction care experts. The ministry cited the importance of “channelling” players from illegal to legal gambling options as the reason for the change.

Hans Klok, Kim Feenstra, and Dick Advocaat as endorsers

Toto, a state-owned gambling company, plans to broadcast advertisements featuring well-known Dutch personalities such as Hans Klok, Kim Feenstra, and Dick Advocaat from October 1. This has raised concerns, especially when it was discovered that a relatively large number of young people have created accounts on gambling sites. Members of Parliament have called on the ministry to intervene in this matter.

Lack of advertising restrictions

One of the main issues is the lack of clear limits on the number of advertisements gambling companies are allowed to make. While the ministry expects the sector to regulate itself, the absence of agreed-upon rules has created a situation where there are virtually no restrictions on advertising. This undermines the ministry’s goal of channeling illegal gamblers to legal options.

The ministry and the Consumers’ Association have been at odds over the proposed advertising code for the sector. The association has refused to cooperate, claiming that the proposed code is too weak. Ministry officials have also voiced their dissatisfaction, emphasizing the sector’s responsibility for self-regulation.

Pushback from gambling companies

Under pressure from Members of Parliament, Minister Weerwind announced measures to address the issue in early 2022. In consultations with gambling and media companies, the minister promised to accommodate their concerns and involve them in the development of new rules. However, proposals put forward by gambling companies were deemed inadequate by ministry officials.

Limited involvement of addiction experts

Addiction experts have had limited involvement in the process. They have repeatedly called for stricter regulations to curb the rapidly increasing problems with gambling addiction. Experts argue that an advertising ban should extend to land-based casinos like Holland Casino, which have become more aggressive in their advertising efforts. However, Holland Casino strongly opposes such restrictions, citing potential negative consequences for their business model.

The resistance from Holland Casino and other brick-and-mortar casinos has influenced the development of advertising rules, with the focus primarily on online gambling. While online gambling advertising has been largely banned since July, brick-and-mortar casinos are exempt from these restrictions.

Conclusion

The influence of gambling companies on the development of advertising rules in the Netherlands has raised concerns about the protection of vulnerable individuals, particularly young people. While some restrictions on online gambling advertising have been implemented, the lack of clear limits and the resistance from brick-and-mortar casinos have undermined the efforts to regulate the industry effectively.