Finland to introduce licensing system for online gambling in 2027

Finland is preparing to end its online gambling monopoly and move to a partial licensing system in 2027, setting a new regulatory structure that will cover online casino games and betting while separating Veikkaus Oy's exclusive operations into a different entity.

The government’s proposal, submitted as legislative draft HE 16/2025 vp, states that the monopoly model has not met its intended objectives. The government reported that the monopoly’s market share in digital gambling is near 50%, meaning a substantial portion of online play currently takes place outside the state-regulated environment.

“This legislative proposal aims to find a regulatory solution for balancing the regulation combating gambling harm with the willingness of gambling operators to apply for a licence, and for shifting online gambling towards a range of regulated games,” said Finland’s Minister of the Interior, Mari Rantanen.

Under the reform plan, licenses for online casino games and betting will be granted for a maximum of five years. The national lottery and physical slot machines will remain exclusive to Veikkaus Oy but will be divided into a separate legal entity within the same group.

A newly formed supervisory authority would oversee compliance and be funded through supervision fees paid by license holders. It will hold authority to enforce regulations, including issuing fines, revoking licenses, and ordering the removal of illegal online content.

The proposal also requires a software license for game suppliers. Licensed operators may only utilize software from other licensed providers.

A uniform lottery tax rate of 22% of gross gaming revenue (GGR) will apply to all licensed operators. The proposal introduces taxation on player winnings from unlicensed gambling sites, in a move to boost channeling.

Measures in the proposal also include player registration requirements, strict identity and residency verification, and defined boundaries for promotional communications.

Marketing will be allowed to direct users toward legal gambling options, but must remain “moderate and responsible.” Direct marketing without explicit player consent will not be permitted, and prohibited promotion methods will be detailed in the legislation.

The plan outlines a centralized self-exclusion mechanism that enables individuals to block access to all licensed gambling services in Finland through a single request. The system intends to support efforts directed at preventing and reducing gambling-related harm.

The government views consolidation of all operators into a single nationally supervised licensing structure as a means to improve overall channeling to regulated services.