Norsk Tipping fined NOK 36 million for self-exclusion tool failure
In a major blow to Norway’s state-owned online gaming operator Norsk Tipping, the Norwegian Gaming Regulatory Authority (Lotteritilsynet) has imposed a record fine of NOK 36 million (approximately €3.3 million). This penalty follows a major failure in its self-exclusion tool, an essential tool for promoting responsible gambling.
A technical failure with serious consequences
The self-exclusion tool enables players to voluntarily unsubscribe from gaming platforms for a set period. In May 2024, a user of Norsk Tipping’s gambling application on an Apple device reported an inability to access the self-exclusion feature. This option, which is crucial for players wishing to protect themselves from excessive gambling, had been inoperative since an iOS update in January 2024. Despite the seriousness of the situation, several months passed before the problem was detected and corrected.
Although alternatives for self-exclusion were available via the Norsk Tipping website, customer service, gaming terminals and unaffected devices, Lotteritilsynet deemed these solutions insufficient. According to their analysis, the majority of players were primarily using the mobile app to play, and a large proportion of them were on iOS.
The Norwegian regulator’s reaction
Following Norsk Tipping’s voluntary notification in June 2024, Norway’s gaming regulator, Lotteritilsynet, undertook a thorough investigation. The regulator concluded that this failure constituted a serious breach of the Norwegian Gambling Act, in particular section 7, third paragraph, and the associated regulations. As the protection of vulnerable players was a priority, Lotteritilsynet considered that Norsk Tipping should have had systems in place to detect and correct such errors immediately.
In response to Norsk Tipping’s statements that players always had the option of self-excluding via other means, Lotteritilsynet retorted that these alternatives did not offer the same level of ease of access as the mobile application. According to the authority, it is much more difficult and dissuasive to have to call customer service and explain your problem to a human interlocutor, rather than simply being able to self-exclude with a few clicks via an application.
In addition, Norsk Tipping’s call centre has limited opening hours, which meant that players wishing to self-exclude outside these hours could not get immediate help. For some players in distress, having to wait until the next day to call could be insufficient to prevent a relapse into excessive gambling.
As a result, Lotteritilsynet announced its intention to fine Norsk Tipping up to NOK 36 million. This amount represents approximately 0.35% of the company’s turnover for the year 2024. The duration of the incident and the company’s degree of responsibility were determining factors in calculating the fine.
The fine of NOK 36 million is one of the largest ever imposed on a gaming operator in Norway. It reflects the seriousness of Norsk Tipping’s failure to meet its legal obligations to protect players.
Norsk Tipping’s response
Tonje Sagstuen, CEO of Norsk Tipping, acknowledged the seriousness of the situation and said:
“We agree with Lotteritilsynet that this is a serious issue and will accept the fine. Reporting significant incidents, even when it leads to regulatory action, is part of our model. This strong oversight ensures we maintain the world’s most responsible gambling regulation.”
Norsk Tipping has committed to working closely with the regulator to finalise the sanction and ensure compliance with all future technical measures. The company has also put in place improved monitoring procedures to prevent similar incidents from occurring.
“It is very serious that Norsk Tipping does not have more frequent checks of such a central accountability tool, as errors in these tools potentially affect many vulnerable players,” concluded Lotteritilsynet.