BetSafe Pulls Out of Danish Online Gambling Market Amidst Proposed Tax Hikes

BetSafe Pulls Out of Danish Online Gambling Market Amidst Proposed Tax Hikes

Denmark’s increased taxes for online gambling operators has led to operators pulling their Danish-facing online gambling sites. Since the government has announced tax hikes for the Danish gambling industry, five betting companies have already pulled their products out of the Danish online gambling market.

Earlier in the week, the gambling operator, Betsson, published a notice on its site which said that the site is closed and that the customers would no longer be able to wager. However, the notice encouraged players to visit other sites operated by the company. The players seeking to withdraw funds have been asked to contact support.

Commenting on the decision to pull Danish facing online gambling site, Pontus Lindwall, CEO of the Stockholm-based Betsson, said that they are withdrawing due to the proposed tax hikes by the Danish gambling regulator. Betsson operates the BetSafe brand.

In December 2019, Denmark’s government had announced a tax hike for the gambling industry. The government had increased the tax rate on gross gaming revenue from 20% to 28%. While the newly increased tax rates are to come into effect from January 2021, the gambling operators are already pulling products out of the Danish market.

The gambling operators in Denmark also fear stricter gambling regulations as the gambling regulator has already called for stricter measures. Last week, the Danish gambling regulator published new responsible gambling guidelines for the gambling operators in the country.

The new guidelines are aimed at helping the operators both understand and ensure better compliance with the new gambling regulations. The new responsible gambling guidelines have already into effect from Jan 1, 2020.

The new guidelines bring a series of restrictions on the existing practices of gambling operators which they leverage to attract customers. As the gambling regulator goes strict, more operators could leave the Danish online gambling market.

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