Austria plans to adopt harsher measures against online gambling establishments.
The Austrian Finance Minister, Hartwig Löger, has declared measures against illegal online casinos. These include the ability to impose network blocks on unauthorized websites. This move is intended to benefit the tax authorities as well.
In a recent television interview, Löger, associated with the conservative ÖVP party, discussed a reform of the Gambling Act (GspG). This reform aims to consolidate responsibility for the gambling sector within the Ministry of Finance and introduce options for blocking unlicensed internet offers.
A "Gambling Competence Center" will be established within the ministry to review these internet offers. Those without an Austrian license would be asked to make their sites inaccessible to Austrians. If the sites do not comply, the Regulatory Authority for Telecommunications (TKK) will be responsible for ordering their internet providers to impose a technical block. Additionally, contracts between players and providers could be declared invalid, allowing for stakes to be reclaimed.
By targeting unlicensed online gambling providers in Austria, it is believed that public interest objectives will be safeguarded. Hartwig Löger, Austrian Minister of Finance
Currently, Casinos Austria has a monopoly on providing online gambling - at least theoretically. However, the partially state-owned company faces significant competition with around 2,000 gambling sites accessible from Austria. Some of these sites are licensed in other EU countries such as Malta and Gibraltar, making their offerings available in Austria under the European freedom to provide services.
Protecting the homeland with network blocks
However, like Germany, Austria's government views national law as taking precedence over EU laws in this area. The initiative is also focused on revenue, with the aim of increasing the number of online and offline casinos in Austria to generate more revenue. The Austrian government holds 30% of the shares in Casinos Austria, so any increase in revenue would directly benefit the state. It remains uncertain if this approach would result in higher revenues than if licenses were granted and foreign casinos were taxed.
While Austria's win2day offering cannot compete with the international competition at this time, it does face legislative challenges. With fewer than 50 titles, it may not be enough to convince customers to play even if they are forced to do so. And it's not difficult for players to circumvent internet bans and continue gambling abroad.
Online gambling in the EU remains unstandardized
The Austrian initiative demonstrates how far the EU's internal market remains from full standardization. While efforts are made to remove trade barriers in some areas, unilateral national measures often result in setbacks. Declaring existing agreements void could lead to legal complications. Anyone affected by such a measure could potentially file a lawsuit. Providers may also refer to their European licenses, leading to protracted legal battles.
There are also potential network policy issues. Is it justified to restrict internet freedom to limit gambling? If blocks turn out to be ineffective, they may also be inaccurate. For example, sports betting is not considered gambling in Austria. Yet, many online bookmakers also offer casino games. Blocks could impact an entire offer if they are based on the internet address. Additionally, other sectors may choose to use such technology to protect themselves from foreign competition. Meanwhile, similar considerations have led to existing casino bans needing a resurgence of votes in Switzerland.
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Source: www.onlinecasinosdeutschland.com
