The Council of State have criticised the Dutch government’s plans to legalise online gambling.
A leading governmental body has criticised the Dutch government’s plans to legalise online gambling.
It is currently illegal for foreign firms to target players in Holland; however, this ban is widely ignored. The government, therefore, are hoping to open the market up by allowing applicants to apply for a licence in order to offer online poker, casino games and sports betting in 2015.
However, the newspaper, the Dutch News reported on Friday that the government’s plans might be scuppered.
The paper writes that the most senior advisory body in the government, the Council of State – which makes recommendations on all draft legislation – has voiced concerns over the Justice Ministry’s plan for regulation & the abandonment of the state monopoly on gambling.
The Council’s concerns are centred on several issues.
First, they are concerned about the uncertainty over whether a licensed and regulated market will actually persuade Dutch gamblers to switch from illegal online operators to licensed and regulated operators.
The Dutch government believe that 80 per cent of the population will stop using illegal sites once the regulation is enacted. However, the Council argue that there is insufficient evidence to prove that this is the case.
The Council are also concerned that the new laws will not adequately meet the requirements of the European Commission. It also questioned the ‘beneficial’ tax rate being proposed for online gambling.
The proceeds of online gambling will be subject to a lower tax rate of 20%, compared with the 29% Holland Casino and arcade owners have to pay.
The Council has urged the government to reconsider its proposal.
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