Regulating with Dialogue: Dutch Minister Franc Weerwind on the Approach to Regulating the Dutch Gambling Advertisement Ban
Dutch Minister Franc Weerwind comments new gambling rules in the Netherlands, which aim to shield young people from ads while also keeping the industry healthy
In further clarification on behalf of minister Franc Weerwind, as given by his spokesperson for Gambling.Re, new insights were provided about the regulatory measures recently implemented by the Netherlands in managing its gambling industry.
Netherlands Gambling Ad Ban
As of July 1, 2023, the Netherlands has banned gambling advertisements through most media channels, including television, radio, and print, as well as advertising in public spaces, covering billboards, bus shelters, and cafes. The ban is set to further encompass gambling sponsorship of events, programs, venues, and clubs in a phased rollout set to complete by 2025.
The law allows for targeted advertising in certain contexts such as on-demand streaming services, social media, direct mail, and online gaming environments. The aim is for these ads to reach their target audience (people over the age of 24) and reduce gambling ads exposure to minors and other vulnerable demographics. The Dutch gambling regulator Kansspelautoriteit (KSA) outlined that there will be a “result obligation” to ensure that 95% of those reached must be 24 or older.
Weerwind's Stance on Regulation and Compliance
The enforcement of this extensive ban has become a point of debate, with some questioning whether the approach stated by René Jansen, KSA chairman, of not committing to enforcement actions at the outset, is the correct one.
Dutch Minister of Legal Protection, Franc Weerwind, responded to these concerns, stating that dialogue with gaming operators might prove more fruitful in ensuring compliance than imposing fines.
Weerwind explained that the KSA's approach, as an independent supervisor, to ensuring compliance with laws and regulations, including the advertising ban, varies based on the nature and seriousness of the violations. The KSA will opt for a firm stance in the face of obvious violations; for less serious or less extensive violations, the KSA can also decide to engage in "norm-transferring" conversations with the permit holder in order to persuade them to comply with the laws and regulations.
This approach, according to Weerwind, seeks to balance the protection of vulnerable groups, particularly young people, against untargeted advertising, while recognizing that advertising plays a crucial role in drawing attention to legal betting games.
The KSA decides the exact way in which permit holders must comply with the advertising ban, closely examining how the advertising works in in practice and how it can be enforced effectively. If the KSA signals violations, the aim is to stop these as swiftly as possible. The regulator's experience shows that conducting norm-transferring conversations often achieves this more effectively than proceeding directly with other forms of enforcement such as fines.
However, if necessary, the KSA has the ability to issue formal warnings, a burden under penalty, administrative fines, or binding instructions, and can ultimately suspend or even revoke permits. While norm-transferring conversations have proven effective in practice, the KSA stands ready to deal strictly with obvious violations.
Minister Weerwind underlines the vital importance of effective supervision and enforcement in preventing violations of advertising rules and in protecting vulnerable groups. The Minister expects the permit holders to not lean back, but to take responsibility for complying with laws and regulations.
Anticipating the Future of Gambling Regulation
This innovative approach to regulation in the Dutch gambling market underscores a belief in the efficacy of dialogue and a commitment to finding a balance between consumer protection and industry interests. This method, hinging on cooperation and mutual respect, reflects the reality that both regulators and operators have shared interest and obligation in maintaining the integrity of the gambling industry.
As we look forward to seeing how this approach pans out, we remain hopeful for a future where regulation, innovation, and responsible operation harmoniously co-exist in the gambling industry. The Dutch model might well serve as a prime example to other nations on how to successfully navigate the complexities of regulation in the digital age.