Ireland: New gambling law with strict rules passed

Whether online or offline - the Irish like to gamble a lot. This makes it all the more astonishing that the island's gambling laws are inadequate and outdated in many respects. The last comprehensive revision actually took place in 1956, and a new direction has been debated for years, which should then also include digital offerings. Now it seems that the time has finally come: In mid-October, the Gambling Regulation Bill was passed by the lower house of the Irish parliament Dáil Éireann and is set to come into force in 2024. The regulations are among the strictest in Europe.

After decades of barely regulated conditions in the Irish gambling market, the country has now reached a historic turning point: the passing of the Gambling Regulation Bill in mid-October marks a far-reaching reform that is set to fundamentally reshape the gambling industry.

Ireland is one of the European leaders in gambling per capita: according to estimates, the industry's annual turnover is over 8 billion euros. Nevertheless, regulation in Ireland has so far been based primarily on the long outdated Gaming and Lotteries Act of 1956, which naturally cannot meet the requirements of today's digital and diversified offerings.

The new law introduces comprehensive provisions for the first time, creating a central supervisory authority. The Gambling Regulatory Authority of Ireland (GRAI) will regulate this market in future and will not only issue licenses, but also establish specific tax controls and security standards. This will ensure that players in Ireland are legally protected from now on and can use state-monitored providers both online and offline. The Gambling Regulation Bill also provides for some fairly strict regulations on bonuses, payments and even the possible prohibition of gaming operations, which are striking.

Restricted bonuses, exclusion of credit card payments and even a ban on gambling offers

Following the passing of the bill, which now requires the signature of President Michael D. Higgins, the newly created GRAI will begin its work. The lead member of parliament, James Browne, told the international trade press that he expects the regulation to come into force before the end of the year. The authority will then be given considerable powers to ensure control over the gambling sector.

The administrative body will be headed by Anne Marie Caulfield, an experienced manager from the public sector. It is intended to ensure compliance with the strict requirements through specific instruments and extensive financial resources. A budget of 9 million euros has already been set aside for 2025.

The following requirements and restrictions are particularly worth mentioning.

1. Prohibition of personalised bonuses and individual incentives: Gambling providers may not offer incentives to specific individuals or groups that could motivate them to gamble. For example, it is not permitted to tailor betting deals to fans of certain football teams. General promotional offers, on the other hand, remain permitted as long as they are aimed at the general public. The government reserves the right to issue targeted restrictions by decree for reasons of public order.
2. Exclusion of credit card payments: The use of credit cards for gambling transactions will be generally prohibited in order to reduce debt risks and protect vulnerable groups. This marks a significant change in the payment environment of the Irish gambling market.
3. Time and place restrictions on access: The GRAI is even authorised to prevent access to gambling offers on certain days or at specific times, which could be aimed primarily at public holidays or special occasions. This regulation is a truly exceptional feature compared to international gambling regulations and is implemented by the authority as required. According to official information, there are no concrete plans as yet. However, the intention is to ensure that the authorisation is in place.
4. Temporary ban on advertising for games of chance: Sports betting or casino games may not be advertised between 5:30 am and 9:00 pm. The order applies to all advertising measures, including social media and audiovisual on-demand services. Advertising that could be categorised as particularly attractive to children will be completely banned in order to ensure the protection of minors. Sponsorship from gambling companies is also likely to be banned. Incidentally, Wildz is a new Schalke 04 partner.
5. Introduction of a social impact fund: This fund, which is financed by a mandatory levy, is intended to promote educational initiatives, prevention programmes and support for people with gambling problems. In particular, the topic of ‘responsible gambling’ is to be integrated more strongly into social education.
6. Significant penalties for offences: The GRAI can impose heavy fines of up to €20 million or up to 10 per cent of gross gaming revenue on operators who violate the new regulations. This also includes illegally operating companies or those that do not comply with the licence requirements at all. Incidentally, William Hill holds the record among British gambling companies for the highest fine of a whopping 19.2 million pounds.
7. Measures against illegal gambling and black market activities: Last but not least, the bill provides for explicit regulations to combat black market offers, which impose harsh sanctions on illegally operating companies and can even mean prison sentences for particular offences.

The advertising guidelines were a particular point of contention, which delayed the decision considerably

The bill was first presented to Parliament on 2 December 2022 and subsequently revised several times. A major sticking point in the debates was the concern about the widespread proliferation of gambling advertising. The question of whether a complete ban on such advertising should be implemented, as proposed by Senator Mark Wall, was particularly controversial.

In the end, the minister agreed to a compromise approach, which is now being realised in particular through broadcasting time restrictions. This directive is intended to ensure that gambling advertising is prohibited between certain times of day when minors are expected to be more active.

A complete exclusion of advertising for sports betting or casinos is expressly not an option for James Browne - his reasoning:

‘As I have already stated, I have reservations about imposing an absolute ban on advertising from the outset. Gambling is a legal and legitimate activity and the Bill as amended by the Dáil gives the authority the opportunity to respond accordingly and regulate advertising flexibly!’

Concerns about the negative consequences of an inadequately regulated advertising landscape appear to be far from unfounded. Critics have repeatedly cited the experience of the United Kingdom, where gambling advertising led to increased exposure among vulnerable target groups, particularly in sports-related areas. The new regulatory framework for advertising therefore allows the GRAI to intervene flexibly and regularly adapt the regulation if market developments or technological innovations require a change.

This dynamic approach, which Minister Browne supported, is generally regarded as ground-breaking, as it enables the authority to manage advertising specifically depending on the media channel, digital platform and user profile, while at the same time taking into account the economic interests of gambling providers.

Conclusion

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