Entain’s Ladbrokes cleared of anti-competition breaches in Belgium
Other operators had claimed that Ladbrokes received illegal state aid in the form of exclusive virtual betting rights.
Belgium.- The European Commission (EC) has closed its investigation into Ladbrokes’ operations in Belgium, clearing the Entain-owned betting brand of breaches of European competition law. It began a probe in 2020 after the gaming operators Rocoluc NV and European Amusement Company claimed that Ladbrokes had received illegal state aid from the Belgian government in the form of exclusive rights for virtual betting operations.
The complaints claimed that the Belgian gambling regulator, Kansspelcommissie, had given Ladbrokes an unfair market advantage in 2014 and 2015 by allowing it to offer online and retail virtual betting before any regulatory framework had been established for the sector. The operators noted that other operators were denied the same permissions in 2015 and 2016.
However, the EC has concluded that Ladbrokes’ exclusive rights for virtual betting did not constitute a breach of EU State aid rules as outlined in Article 107(1) of the Treaty on the Functioning of the European Union (TFEU).
It said: “The Commission found that informal email replies sent by the Belgian Gaming Commission to Ladbrokes did not qualify as an act granting aid within the meaning of Article 107(1) TFEU. Furthermore, the Commission found that the Belgian State did not waive or forgo any resources which should have been paid by Ladbrokes for operating virtual betting.”
Ladbrokes Coral was bought by Entain (then GVC Holdings) in an agreement reached in December 2017. It continues to hold a licence from Kansspelcommissie and has 300 betting shops across Belgium, occupying a significant market share.
There were mixed results for FTSE 100-listed Entain Plc in 2024. The company saw a return to organic growth, but restructuring costs alongside impairments and write-downs meant it still posted a loss of £460m compared to a loss of £900m in 2023.
Revenue reached £5.16bn, up 7 per cent year-on-year. Group EBITDA hit £1.08bn with £941m from online and £261m from retail. But separate impairment charges totalled £476m, including for TAB NZ (£142m), BetCity.NL (£113m) and STS Poland (£75m). Meanwhile, £286m was logged for amortisation of assets and the write-down of intangible assets related to BetCity.nl, STS Poland, Ladbrokes Coral and SuperSport in Croatia.
