Ireland will have a new set of gambling laws where the Gambling Regulatory Authority will be established to regulate the industry, among other provisions. How will the law affect the gaming industry?
It has been coming for the last 15 years, and finally, several attempts to undertake substantial regulatory reforms in gambling in Ireland have come to fruition.
As legislators have pointed out, the journey has been long, but the process is now at an advanced stage, and soon, Ireland will have a new set of regulations in the gambling sector. In this article, we explore the changes to Ireland’s gambling laws and how they will impact the gaming sector.
The new law is currently in Ireland’s parliament, precisely at the amendment stage, with the expectation that it will be passed in 2024. The new law was originally introduced two years ago to bring Ireland’s betting scene to the same standards as countries that have local licensing regimes.
As has been pointed out by Edward Menmuir and Ted Orme-Claye in a podcast that they were hosted by stand-in host Martyn Elliott of SBC, Ireland, just like other jurisdictions, has faced both challenges and opportunities as it seeks to change the gambling law.
The greatest task, as articulated by Minister of State James Browne, is finding the right balance where there is customer protection and, at the same time, avoiding excessive regulation.
This is a sentiment that was echoed by leading gambling companies adding that unintended effects, including directing the customers from the regulated sector, may be experienced if the government opts for excessive regulations.
Areas that will be changed
The key changes in the law are:
- Establishment of the Gambling Regulator Ireland –The Gambling Regulatory Authority of Ireland- GRAI
- More stringent online gambling laws
- Prevent and mitigate the gambling problem
- Introduction of new gambling levies for online gambling operators
Establishment of GRAI
While justifying the establishment of the regulatory body for gambling, the Minister of State said that the country’s betting legislation is archaic and may not be serving the intended purpose.
“Our laws are completely outdated, they are from the 1920s and the 1950s,” said James Brown, adding that the reality right now is that underage kids have control of casinos in their pocket in the form of smartphones necessitating the urgent change of law and establishment of a body that will curb this.
The creation of GRAI has been hailed by industry players as a game changer as it will ensure consistent enforcement. For the platforms that operate by the rules, this comes as an advantage as they do not have to compete with unscrupulous sites that operate outside the law.
More stringent online gambling laws
While comparing the effect of GRAI rules with the Kahnawake Gaming Commission, one commentator observed that the new laws bring to an end the era of unregulated online gambling.
The new law requires operators to get a mandatory license with the gambling regulator in Ireland. The gambling license and permits will ensure that operators play by the rules, especially on issues of underage participation, advertising, and predatory practices.
Prevent and mitigate the gambling problem
We all agree that the gambling problem is real and has affected many people. If left unchecked, it can lead to serious health problems. The new gambling legislation in Ireland comprehensively addresses the problem with the aim of prevention and mitigation.
Most of the betting sites, especially those that operate within the law, have already put measures that discourage players from excessive gambling.
Gambling operators are mandated by the law to come up with responsible gambling practices such as self-exclusion tools and deposit limits.
They should also have in place support services for vulnerable persons struggling with addiction. The law is timely given that the gambling problem is growing in many jurisdictions.
Already as you may find out in betting sites that have been reviewed in MightyTips in Ireland, several operators have taken control to address the problem and ensure compliance.
The industry has taken the initiative even before the enforcement is put in place to promote responsible betting, carry out audits of their sites, and ensure they are in line with the best practices.
Introduction of new gambling levies for online gambling operators
Apart from the authority application fees that operators will be required to pay, there is an introduction of new taxes on online gambling.
Licensing authorities will get a new revenue stream which many observe is an attempt to bring more entities into contributing to the national kitty.
The new revenue can be directed towards different government activities such as education, health, or even the promotion of responsible gaming.
The overall impact of the new gambling legislation
The majority of the citizens back the new gambling legislation. According to research that was commissioned by Lottoland, 75% are in support of the new laws. However, Lottoland fears that some of the proposals are restrictive.
This is a sentiment that is shared by two-thirds of the respondents in the study. If the laws are stringent, they may force people to seek alternative platforms, including those that use unorthodox means to thrive.
Mike Kirwan, the vice president of Lottoland, said they back the overall objectives of the law more, such as the establishment of the GRAI. However, they have reservations that the new law is not strong enough in definitions.
“If passed, these would have “a range of unintended consequences stemming from a range of legal issues”, says Mike Kirwan.
There were fears that the new laws would heavily impact the horse racing industry, but this was disputed by Tanaiste Michael Martin, who said the industry is already strong and will grow further with the introduction of the new legislation.
“I think the Irish racing industry is very strong, the breeding industry is very strong, it’s world-class,” said Michael Martin.
As observed in the paper published by Fantasy Sports and Gaming Association, stringent rules, as is the case with the new Ireland gambling legislation, provide players with a safer and more responsible environment where they are protected against harm.
Although gambling is already regulated in Ireland, the new legislation will make it more personal. The players, operators, and the whole society need to familiarize themselves with the content of the law. It will soon become more personal to individuals in Ireland.
The main purpose of this change is to uphold public interest, prevent crime, promote responsible gambling, and update outdated legislation. The changes, as the investigation reveals, will lead to a safer environment and sustainable gambling industry in Ireland.
