Recent news about Italy’s legal framework for the gambling industry informs that the country is going to limit the number of license holders.
The EGBA asks for clarification of the upcoming law as it can damage the regulated gambling environment and, vice versa, stimulate the growth of the black market.
European Commission insists on considering the proposal
The proposal to adopt the law, which will reduce the number of gambling license holders in Italy to forty, has elicited a response from the European Gaming and Betting Association. According to it, if the law comes into force in 2023, it will lead to weakening the regulated market. Illegal operators will be more available to players than licensed companies, and this will facilitate the development of the black market.
The EGBA needs to consider the proposal as it may be contrary to the EU law. In addition to this, the Commission expresses concern over the cost of the license, which will be €2.5 million. It is ten times bigger than the current fee. Unlicensed service providers will be able to offer more competitive terms for players because they won’t pay extremely huge sums for the permission to operate. The license fee, together with the decrease in the number of licensees, will influence the regulated gambling industry negatively. That is why the Italian regulator should provide the draft of the law to the Association for consideration.