Skip to main content

Poland decline in offshore market share

Poland decline in offshore market share

people under white and red textile

The Polish Ministry of Finance has revealed that the market share for so-called ‘grey’ operators fell to 18.5% in 2019, below the average across the European Union (EU).

Based on data from industry analysts H2 Gambling Capital, the current EU average for grey operators stood at 26.5% in 2019. H2 based these findings on the average net revenue of such operators across EU countries.

Poland classifies grey operators as those that are located outside of a country but offer online gambling to players inside the regulated jurisdiction, without regulatory approval.

The 2019 figure for Poland is down from 29.1% in 2018, 39.4% in 2017 – when the country’s Gambling Act was amended – and a significant decline on 2016's grey market share of 79.4%.

Grey market share also fell year-on-year during the same period in the EU, with the average dropping from 40.5% in 2016 to 33.5% in 2017 and then 31.0% in 2018.

However, H2 said the EU results do not include the unregulated Luxembourg market, nor the UK, Ireland or Malta, as they all allow operators to offer igaming without a local licence.
white and red fluid
In terms of specific market areas in Poland, grey operators accounted for 8.8% of the country’s online sports betting market in 2019, compared to the EU average of 25.2%.

Meanwhile, grey operators were responsible for 55.3% of revenue in the Polish online casino market, down from 98.2% in 2018 and 100.0% in both 2017 and 2016. The EU average for 2019 stood at 45.2% for the casino sector last year.

Analysing the H2 report, the Ministry of Finance said the findings are evidence that the legal framework in Poland is working. Current measures in place include the abiltiy to request that internet service providers block access to the offshore operators.

The new report comes after a figures released by legal association Graj Legalnie in January showed that regulated bookmakers in Poland generated combined turnover of PLN6.7bn (£1.36bn/€1.54bn/$1.71bn) in 2019, a 28.8% year-on-year increase but less than the unlicensed market.
person holding pencil near laptop computer
Graj Legalnie suggested increased activity from unlicensed operators has meant that they grey market now makes up almost 60% of the overall Polish gaming market.

This came after a Polish Supreme Audit Office last September found that while the regulated gambling industry had grown rapidly following amendments to the country’s Gambling Act in 2017, it is still dwarfed by the illegal market

Comments

Popular posts from this blog

Italy: Firms shake lockdown using shortcut in coronavirus law

Italy: Firms shake lockdown using shortcut in coronavirus law The government last week extended non-essential business closures to May 3. But more than 100,000 mainly small- and medium-sized companies have applied to keep going or partially reopen. In principle, a key hurdle for companies to do business should be that they can prove they are part of a supply chain to businesses that are deemed “essential” in a government decree, such as food, energy or pharmaceutical companies. But the government, facing a backlog of applications, has clarified Italy’s lockdown laws to say no companies need to wait for government approval to go ahead. More than 105,000 firms have applied to be considered part of essential supply chains, the interior minister said on Wednesday, in a guideline on its website to clarify the lockdown rules. Of those, just over 2,000 have been turned down and told to suspend their business. More than 38,000 are being investigated and the rest are waiting to be...

Italy’s small businesses scrap for survival

Italy’s small businesses scrap for survival Three years ago, this owner of a small business in Italy’s industrial Veneto region lost his life savings, when two regional banks failed after the European debt crisis and were wound down, wiping out shareholders. Today, he is struggling with a new torment: the outbreak of coronavirus in northern Italy that has devastated lives and shut businesses across the region since mid-March. His company’s revenues have dried up even as his overheads remain unchanged. “I am scared for the future,” he said. Many companies rely on local banks for funds and do not have bonds or investors to draw on Northern Italy is home to more than 2m businesses, according to Prometeia, a research and consulting firm. Lombardy, the region around Milan that has been in lockdown since mid-March, has more than 900,000 of them. Andrea Guerra, a former chief executive of Italian eyewear multinational Luxottica and government adviser who is advising small bus...

thechronicleherald.ca: France to tighten controls on non-EU foreign investment

thechronicleherald.ca: France to tighten controls on non-EU foreign investment Currently non-European investments in French companies do not need government approval as long as the stake is 25% or less. PARIS (Reuters) - The French government will tighten restrictions on foreign investments from outside Europe in French companies to limit foreign control over strategic sectors and technologies, the finance minister said on Wednesday. The government already at the start of the year tightened controls on non-European foreign investments, in particular by lowering the threshold for state-vetting to 25% from 33% previously. Le Maire also said that he would add biotechnology companies to a list of sectors that requires government approval for an investment from outside Europe to go ahead. "In this period of crisis, some companies are vulnerable, some technologies are fragile and could be bought by foreign competitors at a low cost. I won't let it happen," Le Mai...