Finland is on the brink of a significant transformation as it prepares to move away from the Veikkaus monopoly model, transitioning to a licensed framework for commercial operators. This change, set to take effect on July 1, 2027, has sparked considerable interest within the industry.
As the country gears up for this shift, various challenges are anticipated, particularly regarding channelisation. Factors such as marketing restrictions and tax rates will play a crucial role in determining the success of this new model.
Heikki Koivula, a Senior iGaming Industry Advisor at Nordic Law, has shared insights with iGaming Expert about the current market landscape and the impending changes. He emphasizes that the upcoming launch will test Finland's ability to adapt to a commercially regulated environment.
The new Gambling Act, passed by Parliament on December 18, 2025, marks a pivotal moment for Finland, allowing online casinos and betting to enter a competitive market. The transition period will be critical for operators, regulators, and players as they navigate the new system.
Key dates to remember include:
- March 2, 2026: License applications open.
- July 1, 2027: The licensed market officially launches, with the Finnish Supervisory Agency (Lupa- ja valvontavirasto) taking over regulatory responsibilities from the National Police Board (Poliisihallitus).
- July 1, 2028: A B2B license becomes mandatory, restricting operators to licensed game software.
As of September 24, 2026, the National Police Board reported receiving 75 license applications, surpassing the anticipated range of 40-60. This surge indicates genuine interest in the Finnish market, despite the stringent regulatory framework. Veikkaus will maintain exclusive rights to lottery-type games, scratch cards, and land-based slots.
The application fee is set at €29,000, which is relatively reasonable given that it covers all gaming verticals. Applicants will be evaluated based on their suitability and compliance history, reflecting a serious commitment to entering the market.
A primary goal of this reform is to increase the channelisation rate from approximately 50% to 80-90%. Although some advocate for a target of 100%, achieving this is practically unfeasible. The tax rate is established at 22% of gross gaming revenue (GGR), with annual supervision fees ranging from €4,000 to a maximum of €434,000, which remains competitive for larger operators.
Currently, around 50% of Finnish gambling occurs outside the regulated system, with the actual online gambling rate being significantly lower. Successfully transitioning these players to licensed platforms will require building trust in these new brands.
Fortunately, many players currently engaged with unregulated sites may transition with ease, as they likely already participate in games offered by current applicants. These sites are not included in the existing channelisation statistics while the monopoly remains in effect.
Operators can retain their existing player base, provided players consent to the transfer to the new licensed entity. This positions applicants who built a player base during the monopoly era advantageously, as they can leverage their established relationships. Veikkaus, with approximately 2.7 million registered customers in a population of under six million, is also entering this competitive landscape with a solid foundation.