Dutch lottery and sports betting monopoly licences renewed for five years despite pending legal appeal
The KSA said it needed to approve the licences to ensure the continuity of legal lottery, scratch cards and land-based sports betting in the Netherlands.
Key takeaways:
- Kansspelautoriteit has renewed Lotto BV’s exclusive rights to operate lottery games, instant scratch cards, and land-based sports betting until December 31, 2031.
- A legal appeal challenging the monopoly system remains ongoing.
- The updated permits include stricter player protection rules, obligations to prevent underage gambling, and requirements for notifying the regulator of ownership or control changes, with potential revocation if Lotto BV is privatised.
The Netherlands.- The Dutch gambling regulator Kansspelautoriteit has granted the state-owned operator Lotto BV three monopoly licences for a period of 5 years. The move renews the monopoly operator’s permission to offer lottery games, instant scratch cards and land-based sports betting until December 31 2031.
An appeal is pending before the Administrative Jurisdiction Division of the Council of State regarding the lawfulness of the continuation of the monopoly system for these verticals. The KSA said that it would have preferred to await the ruling of the Council of State before granting new monopoly licences but ultimately decided that it needed to make a decision given the approaching expiration of the current licences at the end of this year.
“It is important in this regard that an uninterrupted legal supply of lottery games, instant lotteries, and land-based sports betting is guaranteed after December 31 2026,” the regulator said. “Lotto BV also needs to receive timely clarity regarding whether it can continue its offering of games. For these reasons, the KSA has chosen to grant the new licences in advance.
New licence conditions
The new licences come with new regulations aimed at protecting players and preventing participation by minors. In addition, a notification obligation has been included for intended changes to the ownership and control structure of Lotto BV.
The licences were granted privately due to the special position of Lotto BV as a state-owned enterprise and the control exercised by the State. If Lotto BV is privatised during the licence period, the KSA will assess whether the change affects the licence and whether the licence can be continued after the change or whether it may need to be revoked, the regulator said.
It said: “If the Council of State rules that the monopoly system must henceforth be opened up, the licences granted to Lotto BV may remain valid. In that case, other parties may also apply for a licence for this game of chance. If the Council of State rules that awarding contracts by private negotiation is no longer permitted, this may mean that the granted licence is revoked. Given the preparation time the KSA would then need for a transparent awarding process, any revocation would not take place earlier than one year after the ruling of the Council of State.
Last year, a government review ruled out the possibility of privatising the Dutch national lottery or state casino operator Holland Casino in the short term. There has since been a chance in government. The new Dutch government led by Prime Minister Rob Jetten was sworn in on February 23 of this year. However, the centre-right minority coalition has yet to give any signs that it would open up the verticals. It intends to increase enforcement powers against unlicensed gambling, while legislators also continue to debate a proposal to raise the minimum age for gambling to 21.
