Swedens administration’s suggestion to prohibit the utilization of credit cards for wagering has encountered significant resistance from the nation’s internet gaming sector.
The Swedish Commerce Group for Online Gaming (BOS) contests the proposed prohibition, which would restrict gaming firms from taking payments made via credit card. The Swedish Treasury, nonetheless, asserts that employing credit cards for wagering could result in monetary difficulties and aims to safeguard consumers from accumulating excessive debt.
Notably, this action comes after a comparable prohibition implemented in the UK in April 2020. Although initially debated, the UK gaming sector eventually embraced the credit card prohibition. BOS, however, appears to be adopting a different strategy. While the organization formerly backed stricter credit regulations in Sweden to shield consumers, they hesitated to endorse a complete ban on credit cards for wagering.
This is incredibly infuriating,” bemoaned Gustaf Hoffstedt, the head of BOS, a Swedish trade group for internet gaming providers. “Government studies demonstrate that prohibitions on credit cards are ineffective, yet they persist in pursuing this plan, disregarding the counsel of their specialists. It’s particularly baffling given that they haven’t suggested any comparable limitations on using credit cards to buy alcohol, despite the fact that a state-run monopoly controls all alcohol sales in Sweden.”
Hoffstedt went on to say, “This choice is a boon to the unregulated gambling sector, which already represents a startling 41% of all online gambling in Sweden. At this rate, it’s quite likely that by next year, more Swedes will be wagering on unlicensed sites than on licensed ones. The government must change direction and demonstrate a genuine commitment to assisting legal operators and safeguarding consumers.”
This is not the first time Hoffstedt has denounced the government’s gambling regulations. He appeared on The Huddle, a well-known industry podcast, last year to condemn their decision to raise gaming taxes from 18% to 22%.
