Finland has been making headlines recently in the sports and gaming world in Malta. Malta faced Finland on Friday, March 21, in the FIFA World Cup European qualifiers, attended by notable figures such as Minister Byron Camilleri and Dr Roberta Metsola President EU Parliament, with her family, it was a good game.
Concurrently, Finland’s government submitted a new gambling reform bill to parliament. This reform is set to have significant implications for Malta’s gaming industry, including sports betting. Currently, well-known Finnish-rooted gaming operators like Wildz, Ibet, and Netbet operate under the Malta Gaming Authority (MGA) license, solidifying Malta’s role as an important regulatory base for Finnish-facing gaming enterprises. PKF Advisory can assist applicants to match the stiff requirements of this legislation.
The proposed framework is set to introduce a domestic licensing system, which marks a significant departure from the existing state monopoly on gambling. Under this framework, international online gaming firms will be allowed to apply for Finnish licenses, enabling them to operate legally within Finland while adhering to local laws, including taxation requirements. Domestically, the primary aim of these reforms is to dismantle Finland’s state gambling monopoly, Veikkaus, for online gaming operations by the end of 2026. However, Veikkaus will retain its monopoly over non-online gaming services, such as lotteries and land-based casinos.
The tough reforms flourish a host of new regulations. These include advertising restrictions which became a cornerstone of the proposed framework, particularly targeting marketing through social media influencers and sponsorships. Gaming companies operating in Finland will need to navigate these rules carefully. Other measures include limits on customers’ daily or monthly financial transfers to gaming operators and the introduction of temporary player bans. However, the new laws do not include caps on the total losses customers can incur. A new Finnish licensing authority will oversee licensing applications, enforcement of marketing regulations, and consumer protection. This authority is expected to begin operations by early 2026, enabling private iGaming companies to apply for Finnish licenses ahead of their planned market entry in 2027.
Currently, about half of Finland’s online gambling spending goes to foreign based online casinos. By introducing this new licensing system, the Finnish government aims to address multiple objectives: reducing gaming-related harms, ensuring compliance with Finnish regulations, and increasing revenues through licensing fees and corporate taxes. These changes will allow Finland to retain a larger share of gaming revenues within its borders, which, under the current system, cede mainly to foreign operators.
For Finnish-rooted gaming operators based in Malta, these changes represent both opportunities and challenges. Obtaining a Finnish license would allow them to operate legally in Finland, expand their customer base, and enhance their reputation among Finnish players. Furthermore, the new rules open advertising and sponsorship opportunities previously restricted under Veikkaus’ monopoly. However, operators will also face stricter regulatory requirements, higher licensing costs, corporate taxes, and increased competition as new private operators enter the market.
One advantage for Finnish-facing units in Malta is that Finland’s new system will align closely with the existing regulatory frameworks in Sweden and Denmark. Many Malta-based gaming companies already have experiences with these frameworks, giving them a level of familiarity that could ease their transition to the Finnish licensing model. However, with PKF Advisory assistance such rules do require strategic planning, as stricter marketing and player protection rules will necessitate operational changes.
Meanwhile, Malta’s gaming industry, which contributes approximately 12% to the nation’s GDP, is also faced with its own regulatory challenges. The controversial Maltese Bill 55, designed to shield the gaming sector from legal claims in foreign jurisdictions, is under review by the European Court of Justice. In addition, ongoing disputes with countries like Austria, Germany, the Netherlands and Sweden over Malta’s gaming regulations further add tension between national and EU-level laws.
Given the uncertainties surrounding Bill 55 and the broader legal disputes Malta now faces regarding its gaming regulations, most Malta-based operators consider securing national licenses to reduce regulatory risks and solidify their market position. In that sense, Finland’s transition from a state-owned gambling monopoly to an open licensing system presents a pivotal moment for Finnish-rooted gaming units in Malta. These operators must weigh the benefits of applying for a Finnish license, such as greater market access, enhanced reputation, and new advertising channels, against the challenges of navigating strict regulations, increased costs and heightened competition from other hitherto licensed units.
As Finland’s reforms approach a parliamentary vote, which is widely seen as a formality, Maltese policymakers and gaming enterprises, should view Finland’s shift to a domestic licensing system as another poignant reminder to adapt to an increasingly fragmented regulatory landscape lurking on the horizon at EU level. The likelihood that more countries will follow Finland’s lead underscores the importance of staying ahead of such changes.
