bet365 has lost its appeal against warnings and significant penalty fees imposed by Sweden’s gambling regulator, Spelinspektionen, over breaches of duty of care and deposit limit regulations. The Court of Appeal sided with the regulator, confirming penalties of SEK 40 million for Hillside (Sports) ENC and SEK 4 million for Hillside (Gaming) ENC, both part of the bet365 group.
Regulatory Investigation and Findings
The penalties stem from Spelinspektionen’s investigation into bet365’s operations between October and December 2021. The regulator determined that bet365 allowed customers to gamble without specifying daily, weekly, or monthly deposit limits, a requirement under Swedish law. bet365 contended that the law permits customers to set their own limits, including the option to have no limit. Spelinspektionen rejected this interpretation, stating that it undermined the intent of the regulations designed to protect players.
Duty of Care Failures
The investigation also highlighted failures in bet365’s duty of care towards customers. The regulator noted that bet365 assigned low risk levels to monitored customers, which prevented timely detection and intervention in cases of suspected problem gambling. In one instance, a customer who had repeatedly self-excluded and set high deposit limits received no intervention from the operator over a prolonged period. Spelinspektionen concluded that bet365 did not limit gambling voluntarily even when problematic patterns persisted.
Operator Response and Regulatory Actions
Following regulatory intervention, bet365 updated its procedures and removed the option for customers to opt out of deposit limits. Despite these changes, the Swedish regulator found the violations severe enough to consider revoking the company’s licences but ultimately issued warnings and financial penalties instead. bet365 declined to comment on the ruling.
Implications for Industry Stakeholders
This case underscores the strict expectations Swedish authorities place on gambling operators regarding responsible gambling measures. Operators, affiliates, and suppliers active in Sweden must ensure robust compliance with duty of care and deposit limit requirements, as regulators are prepared to enforce these rules with substantial penalties. The decision also signals that post-investigation improvements may not be sufficient to avoid sanctions if past breaches are deemed serious.
Key takeaways
- bet365’s appeal against Swedish penalties for duty of care breaches was dismissed.
- Spelinspektionen confirmed significant fines for violations of deposit limit rules.
- Operators must maintain strict compliance with Swedish responsible gambling laws.
- Regulators may impose heavy penalties even after remedial actions are taken.