Netherlands Gaming Authority raises concern over risk analysis report findings

The Kansspelautoriteit (KSA) has raised concerns over the risk analysis process for online gambling in the Netherlands, following a study that it sanctioned.

The Netherlands Gaming Authority found in its report that the current systems deployed by gambling operators are “not functioning properly” and essentially, falling short of expectations to provide “effective” protections to players.

The ‘Study report on risk analyses of games offered by licensed online gambling operators’, published on Friday (September 5), showed significant concerns were raised by the KSA about the functionality of the risk analysis framework used across the licensed sector.

The measures are an integral part of the duty-of-care obligations established under Dutch law, which all operators are required to meet. In particular, ‘high-risk games’ are supposed to be mitigated with protective actions such as warnings or deposit limits.

With the research conducted across 2024 into the current year, all 28 licensed operators in the Netherlands had their methods assessed and evaluated, resulting in the conclusion that the systems are not working “optimally”, producing inadequate results despite the significant costs and resources incurred.

Moving forward to address risk analysis in the Netherlands

The Kansspelautoriteit stated the measures stem from before the 2021 market liberalization and have not been updated since, showing they are not fit for the purpose of the contemporary market. 

Several concerns were highlighted by the KSA, including Outdated and Inconsistent Methodologies, Category-Level vs Individual Game Analysis, Insufficient Expertise and Independence, and High Costs with Minimal Benefits. 

Under these headings, the respective problems and findings were detailed, with the Dutch body also considering Broader Regulatory and Market Implications.

In response to the report and its content, the Kanspelautoriteit has committed to directly liaising with the Dutch Ministry of Justice and Security on proposed reforms to establish a “clearer and more consistent system” for risk analyses. 

This could include mandatory requirements for operators, such as per-game assessments, standardized methodologies, and clearer expertise requirements. 

Although the current approach meets the minimum legal requirements, the reality is much different, falling way short on effective player protections. 

The KSA is known to uphold stringent requirements and expectations, with many recent examples of enforcement against entities that have not been compliant.

One of these was the €450,000 ($524,160) fine meted out to Optdeck Service, the Dutch operator of the prominent Unibet brand, for offering bets on prohibited soccer markets.

Image credit: Kobu Agency/Unsplash

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