Denmark regulator opens applications for land-based bingo
On November 21, Spillemyndigheden, the regulatory body overseeing gambling activities in Denmark, launched the application process for licenses to operate land-based bingo establishments across the country.
Companies that submit complete applications for a land-based bingo license will receive guaranteed authorization starting January 1, 2025, provided all necessary information is included.
If Spillemyndigheden requires further documentation or clarification, the regulator has the authority to issue provisional permits with stipulated conditions while awaiting the outstanding details.
To facilitate a smooth application process, Spillemyndigheden will conduct an informational meeting on December 5, outlining the new regulations governing land-based bingo operations in Denmark.
Requirements to Offer Land-Based Bingo
The license for land-based bingo will be valid for a maximum term of five years. However, operators must adhere to several specific requirements to maintain compliance.
- The applicant company must provide a completed form signed by all executive board members, board members, stakeholders in a partnership, and a designated representative located in Denmark if the business is not based in an EU or EEA country.
- Companies are required to submit both criminal records and debt declarations so that Spillemyndigheden can evaluate the potential risk of regulatory violations. Notably, companies must not have any outstanding debts to the public sector to qualify for a licensed operation.
- Once a company is granted a license, should a member of its workforce be convicted of a crime suggesting a potential risk to the gambling ecosystem, Spillemyndigheden reserves the right to mandate their resignation from the organization.
The fee for submitting an application is DKK 20,000 (approximately £2,231/€2,682/$2,789), with renewal fees set at DKK 10,000.
Post-licensing, operators will be required to pay an annual fee, correlating with their gross gaming income. The fee structure for 2024 is outlined as follows:
Annual Fee Based on Gross Gambling Income
- DKK 15,000: DKK 1 million to DKK 2.5 million
- DKK 60,000: DKK 2.5 million to DKK 5 million
- DKK 120,000: DKK 5 million to DKK 10 million
- DKK 180,000: DKK 10 million to DKK 20 million
- DKK 240,000: Over DKK 20 million
Trends in Danish Gambling Revenue
Recent data released by Spillemyndigheden highlights a concerning trend: gambling revenue in Denmark decreased by 2.8% year-on-year in September, totaling DKK 533 million. This figure also represents a 3.2% decline compared to August’s revenues.
Notably, while online casino gaming—a key revenue driver—reported an increase, reaching DKK 288 million in September (a notable 12.1% rise year-on-year), other segments have struggled significantly.
Most alarmingly, revenue from sports betting dropped sharply by 21.7% to DKK 144 million compared to the same month in 2023, indicating shifting consumer behavior and increased competition within the gaming market.
This landscape presents both challenges and opportunities for gambling operators in Denmark. Those looking to engage in new market sectors, such as land-based bingo, must stay vigilant and informed about regulatory developments and consumer trends to thrive in this dynamic environment.
