The Dutch gambling regulator, Kansspelautoriteit (KSA), has recently issued stern warnings to three gambling operators for breaching advertising rules regarding unauthorized sports sponsorships. This move highlights the regulator’s increasing efforts to clamp down on gambling promotions, as the Netherlands continues to refine its advertising regulations.

Sponsorship Violations: A Closer Look at the Breaches

The KSA’s actions came in response to three separate cases where operators violated strict sponsorship guidelines. These breaches were mainly related to the visibility of gambling promotions at sporting events and the use of branded merchandise in places where young audiences could be exposed to gambling content.

In one instance, a gambling operator had left expired sponsorship materials visible at a national sporting event. Once the KSA issued its warning, the materials were quickly removed. Another operator was flagged for displaying their branding in areas where minors are often present, inadvertently exposing young viewers to gambling messages. A third case involved the display of gambling-related branding on children’s clothing at an online sports store, a clear infringement of the rules.

This crackdown comes on the heels of the Netherlands’ 2023 ban on “untargeted” gambling advertising, which restricts ads in public spaces, on television, and radio. While sports sponsorships are still allowed, the KSA has made it clear that such sponsorships must not target vulnerable groups, especially minors.

Growing Concerns Over Gambling Addiction Among Youth

While the KSA is enforcing stricter controls, recent findings from the WODC (the Dutch government’s research agency) suggest that the current regulations might not be enough to protect Dutch players, particularly young adults, from the growing risks of gambling addiction. Since the legalization of online gambling in 2021, the WODC has noted a troubling rise in addiction rates among younger demographics.

The research indicates that the licensing of operators, which was meant to provide a regulated and safer gambling environment, has not lived up to its promise. The report pointed out that many operators are not fulfilling their responsibility to provide adequate support for individuals with gambling problems. In a test by the WODC researchers, only 6 out of 23 licensed companies offered any form of assistance to gamblers seeking help, with many operators instead directing individuals to promotional materials.

This lack of sufficient support mechanisms has raised alarms about the broader implications of the online gambling industry’s expansion. The report highlights how gambling can lead to not just addiction, but financial, social, and psychological harm. In light of these findings, experts are calling for more comprehensive regulations to safeguard vulnerable players.

A Call for Stronger Regulatory Oversight

To address these concerns, the WODC has recommended several key changes to the current gambling laws. One of the primary suggestions is to centralize duty-of-care policies, ensuring that all operators adhere to consistent and robust standards when it comes to player protection. The WODC also advocates for better data access to allow independent research into addiction prevention and urges an overhaul of the KSA’s authority to combat illegal gambling, particularly online operations based abroad.

The report further stresses the need to shift the focus of the Remote Gambling Act (Koa) beyond just preventing addiction. It proposes broadening the law’s scope to prevent all forms of gambling-related harm, including financial and psychological damage.

Illegal online gambling is also a growing issue in the Netherlands. Many unlicensed operators, often based outside the country, continue to target Dutch players. The WODC suggests that strengthening enforcement against these illegal sites could significantly improve the overall safety of the gambling environment.

The KSA’s Continued Efforts and the Road Ahead

In response to the WODC’s report, the KSA has reiterated its commitment to regulating licensed operators and ensuring they comply with advertising and sponsorship guidelines. The regulator has also backed the call for stricter policies and more stringent controls to prevent gambling-related harm.

Looking ahead, the KSA reminded operators of the upcoming ban on sports sponsorship, set to take effect in July 2025. Operators must establish solid agreements with external parties to ensure all sponsorship materials fully comply with the new advertising restrictions.

As the debate over the effectiveness of the current gambling regulations continues, it is clear that the Dutch gambling landscape will evolve in the coming years. The KSA, alongside public health experts, is pushing for more safeguards to protect vulnerable groups from the harms of gambling, ensuring that the industry operates responsibly and transparently.