Privatisation of Svenska Spel: a priority according to the BOS
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16 Dec 2024 •
Reading time: 2 minutes The Swedish association of online gaming operators, Branschföreningen för Onlinespel (BOS), recently reiterated its call for the privatisation of Svenska Spel. This public operator, a major player in the Swedish gaming market, has been criticised for its ambivalent role as both regulator and commercial operator, which is seen as an obstacle to fair competition.
A controversial structure
Created to regulate the Swedish gaming sector, Svenska Spel today occupies a unique and contested position. It holds a monopoly on certain activities while operating in competitive segments such as sports betting and online casinos. For Gustaf Hoffstedt, Secretary General of BOS, this situation creates an imbalance. He believes that a state should not run a commercial enterprise while defining the rules for its competitors.
BOS insists on the need to split Svenska Spel into two distinct entities: one, focused on lotteries, would remain public, while the other, encompassing competitive activities, would be privatised. This change, according to the association, would ensure genuine fairness in the market.
Impact on the Swedish market
Since the opening up of the online gaming market in 2019, private operators have complained about the structural advantages enjoyed by Svenska Spel. The company is accused of distorting competition by taking advantage of its public resources. In addition, it occupies a dominant position that prevents other players from developing fully. BOS and other critics believe that privatising the competitive arm of Svenska Spel would strengthen competition while increasing tax revenues through greater efficiency.
The political perspective
The debate about Svenska Spel is not limited to the industry. Swedish political parties, notably the Moderates and the Sweden Democrats, also support the idea of privatisation. These parties have recently proposed reforms aimed at reducing state involvement in commercial gambling activities.
The Moderates, for example, would like to see clearer and more predictable regulation, particularly with regard to bonuses and deposit limits for players. In their view, a separate, privatised business structure for Svenska Spel could better meet the needs of the market while ensuring effective regulation.
Towards a necessary reform?
The case of Svenska Spel illustrates a wider challenge facing many countries: how to balance state regulation, commercial fairness and consumer protection? While privatisation may seem a promising solution to some, it also raises questions about the role of the state in a lucrative but controversial sector.
For now, pressure from BOS and other private players is pushing the Swedish government to consider reforms. The future of Svenska Spel could well be decided in the coming months, with decisions that will have a significant impact on the online gaming industry as a whole.