How do online casinos get an SGA license?

The licensing process begins with casinos submitting an application to the Swedish Gambling Authority, which reviews applications and offers approval to worthy applicants. Casinos can seek help from the SGA if necessary. Spelinspektionen offers guidance to operators in the application stage. If approved, a casino must pay SEK 400,000 for a commercial online gaming license. It can add a betting license for a combined SEK 700,000 (betting is SEK 400,000 if purchased separately).

Does Spelinspektionen handle disputes between players and casinos?

Spelinspektionen listens and responds to most player-operator disputes and offers a resolution if necessary. Like many other jurisdictions, though, the SGA doesn’t handle complaints involving lost bets. It instead advises gamblers to contact a Swedish consumer group under such circumstances.

Why can gamblers only receive one casino bonus in Sweden?

Since launching, the SGA has undertaken many measures to limit problem gaming. Its one-bonus policy is another product of these efforts. Under Spelinspektionen’s guidelines, online casinos can only provide a single bonus to new customers. They can’t offer additional bonuses after this point. Spelinspektionen is currently the only regulatory body with this rule in place. Its board believes that limiting bonus offers helps prevent compulsive gambling.

SGA (Spelinspektionen) Online Casinos

Q: Why did Sweden get rid of Svenska Spel?

Sweden’s online gaming market originally operated as a monopoly. The government-backed Svenska Spel supplied both land-based and internet gaming to the country. However, this setup eventually failed for multiple reasons. The one-operator system didn’t give consumers any variety to choose from. Many gamblers began looking outside of Sweden towards offshore operators, who were happy to take Swedish customers in light of the country’s weak regulatory body. Other European countries complained to the EU about Svenska Spel’s monopoly. They argued that Sweden was engaging in anti-competitive practices. The Swedish Parliament eliminated many of these headaches by passing the Gambling Act and Tax Act in 2018. These laws created the Swedish Gambling Authority and provided a stronger gaming regulatory system.

Q: Is the SGA tax rate high?

Spelinspektionen requires online casinos to pay an 18% tax on gaming revenue, which is high compared to many jurisdictions. Some operators consider the UK Gambling Commission’s 15% rate to be extreme, but the SGA’s rate is 3% higher than the UK’s gambling tax. By comparison, Gibraltar—another premier gaming jurisdiction—only requires a 1% tax rate. Overall, Spelinspektionen charges higher taxes than the average regulatory body.

Q: Are SGA online casinos safe?

Sweden features some of the industry’s safest gaming sites. Its rigid policies motivate operators to keep players’ best interests in mind. Operators must undertake the following measures to protect gamblers: Obtain third-party testing to prove that their casino games are fair. Monitor players to look for potential problem gambling. Prevent minors from placing bets. Advertise responsibly. SGA internet casinos have extra motivation to follow this market’s rules. Spelinspektionen is quick to issue fines when it thinks that a casino is breaking its terms.

Home / Licenses /SGA

Updated: 19/04/2024

In Sweden, the Swedish Gambling Authority (SGA) , also known as Spelinspektionen locally, oversees gaming activities. This body is responsible for granting licenses to operators. internet casinos and other gambling sites.

This guide elucidates the role of Spelinspektionen and explores how online casinos manage to acquire approval from the SGA to operate legally. licensing in this market.

Formation of Spelinspektionen

Prior to 2018, Svenska Spel, a state-owned entity, dominated Sweden's online gaming scene. International operators faced restrictions on obtaining licenses for internet gaming within the country.

This all shifted in June 2018 when the Swedish legislative body enacted the Swedish Gambling Act alongside the Swedish Gambling Tax Act. Together, these laws dismantled the Svenska Spel monopoly, inviting foreign players into the market.

These legislative changes also set the foundation for the Swedish Gambling Authority's operations. Since January 1, 2019, the SGA has started accepting applications from online casinos.

What is the process for online casinos to secure an SGA license?

To explore applying for a Swedish online casino permit, interested parties should visit the dedicated section on the Spelinspektionen website . There, applicants can access comprehensive forms and details about the licensing steps.

New entrants must apply according to the specific type of gaming they intend to offer. The SGA online EU casinos requires aspirants to apply for a commercial online gaming license.

Licensing options and associated fees include:

Commercial online gaming – SEK 400,000 ($46,000)
Betting – SEK 400,000
Online gaming and betting combination – SEK 700,000 (approx. $80,000)
Renewal of license – SEK 300,000 ($35,000)
Change of license type – SEK 150,000 ($17,500)

Once submitted, the application undergoes Spelinspektionen’s scrutiny, which will then decide on the operator's approval status. They also provide assistance during the application procedure, if needed.

Alongside licensing fees, SGA-licensed online casinos must remit an 18% tax on their earnings. Only nonprofit activities are exempt from this levy.

Benefits of an SGA casino license

After its transformation in 2018, the Swedish Gambling Authority has seen a surge in online casino license applications. Certain perks attract these casinos to this market.

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The SGA has earned its rate as a prominent regulatory force. It meticulously oversees Sweden's digital gaming sphere to ensure operators uphold responsibility.

This dedication to a high-quality market boosts Spelinspektionen's esteem, building trust in an SGA license in players' eyes.

Lucrative market

With 10.3 million people, Sweden may not be massive, yet it boasts one of the richest gaming sectors globally.

Statistics show that Sweden is in the top 15 per capita in gambling activity. Consequently, operators could find substantial worth in the SEK 400,000 licensing fees.

Savings when combining with betting

Although the SGA doesn't merge gaming and betting licenses as seen elsewhere, they do provide a discount for those opting for a combination license.

On approval, operators can obtain a dual license for SEK 700,000, which results in a SEK 100,000 (nearly $12,000) saving compared to buying betting and gaming licenses separately.

Understanding the Swedish Gambling Authority's Duties

According to their official site, Spelinspektionen's mission is to ensure a \"legal, safe, and trustworthy\" gambling environment for consumers, and it fulfills the following roles:

Processing license applications and evaluating operators.
Collecting dues and tax obligations from licensees.
Securing safeguards for at-risk gamblers.
Mandating that online casinos undergo independent audits for fair gaming.
Thwarting illegal activities within the gaming market (e.g., money laundering).
Responding to player complaints.
Preventing rogue operators from accessing Swedish players.

Sweden's gaming landscape was once littered with unlicensed casinos, bypassing Svenska Spel's monopoly to attract Swedish clients.

The objective of the Swedish Gambling Act is predominantly to lessen unlicensed online casino operations, with the SGA collaborating with law enforcement to keep illicit operators at bay.

Spelinspektionen's standing as a regulatory authority

Though relatively new, having launched in 2018, Spelinspektionen has swiftly made a name for itself as a formidable regulator within the industry.

The Swedish Gambling Authority holds operators to stringent levels, requiring online casinos to address problem gambling, secure game verifications, and market ethically.

Spelinspektionen does not hesitate in taking action against out-of-line operators. In 2019, fines totaling SEK 120 million ($12.5 million) were imposed on gaming sites for various breaches.

If anything, Spelinspektionen is sometimes overly strict regarding player protection. It mandates that gaming sites offer merely a one-time welcome bonus, with no additional promotions permitted.

Such a rule shields players from the continuous lure of numerous bonuses, yet it also limits responsible gamblers from further bonus enjoyment.

Weighing the positives and negatives, the Swedish Gambling Authority stands as a leading licensing authority. Its uncompromising rules typically enhance the market by cutting down on problem gambling and polishing the jurisdiction's image.

Can you trust SGA casinos?

SGA-endorsed online casinos must meet high standards for auditing games, guarding players, and averting unlawful activities, thus ensuring their reliability.

Naturally, gamblers should always exercise caution and verify credentials, though generally speaking, they encounter minimal risk in this marketplace.

Swedish online casinos are expected to adhere to strict measures or risk substantial fines. Operators must navigate a comprehensive licensing journey to operate within Sweden. The SGA works diligently to guarantee that only top-tier internet casinos cater to Swedes.