Is Malta Threatened by Denmark’s New Online Gambling Regulations?

By Maria McCoyGoogle


For years Malta has been enjoying the status of the only EU state to offer online gambling licenses and they have been benefiting from the commerce and revenue that having such a status offers.  Their online gambling licenses are also significantly more expensive than other countries, mainly because they are an EU member and such a license comes with an element of prestige and reliability as Malta must adhere to EU law.


With the recent opening of the Danish market (the European Commission ruled that it was acceptable that Danish online casinos be taxed significantly less than Danish land-based casinos, constituting “state aid”), Malta now faces an added competitor.  Denmark hasn’t wasted any time and has already started applications for online gambling licenses.  The licensees will only have to pay a 20% tax on profits and the new regulation will come into effect in early 2012. 


Now that the market has opened up for EU regulated online gambling licenses it will be interesting to see how Malta responds and if they will offer better incentives to new potential licensees and if they will manage to convince their existing licensees to renew.  It will also be interesting to see the measure that the Danish government will put into place regarding protecting players and if Malta’s current player protection laws will fall short of Denmark’s new ones.  Denmark is a socialist country and Danish parliament members are very concerned with the legislation that gambling operators with Danish licenses will have to adhere to in order to combat problem gambling and protect players. 

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