Belgian trade association weighs in on deposit limits as operators mull legal challenge
Operators solicit legal advice as BAGO highlights regulator’s “unfeasible” deposit limit U-turn
The Belgian Association of Gambling Operators (BAGO) has responded to the Belgian regulator’s decision to introduce a €500 per week deposit limit on online gambling.
EGR Intel understands operators in the country are planning to challenge the ruling on grounds of illegality after the Belgian Gaming Commission announced the entry of the limit, which will apply to all player accounts on licensed sites with immediate effect.
The limits do not relate to the current coronavirus lockdown.
The €500 limit can only be reduced by customers and is mandatory for all Belgian-licensed operators. It was originally supposed to enter into force in early 2019, following a Belgian Royal Decree in October 2018.
The mooted legislation suggested a player could apply to have this limit increased by contacting the commission, which would then conduct affordability checks with the Belgian National Bank’s central individual credit register.
Subject to these affordability checks being conducted and satisfied, the €500 a week limit would then be increased, while players with low affordability scores would be barred from increasing the limit beyond this amount.
However, a U-turn from the regulator this week has left operators scrambling to immediately enforce the €500 deposit limit with no scope for an increase.
BAGO has claimed the method for checking affordability under the decree is not technically feasible and therefore cannot be enforced.
“The IT solutions to link the databases of the Gaming Commission and the National Bank have not been implemented yet,” a spokesperson for BAGO told EGR.
“BAGO and its members aim at offering a safe gaming environment to the consumer and understand the objective initially pursued by this measure but regret that the licence holders and players are now paying the consequences of this situation,” the association said.
“This will only benefit illegal operators who continue to target the Belgian market with an ever more attractive offer. In the end, the channelisation to a legal, safe and controlled gaming environment will decrease, as will inevitably the player protection.
“BAGO will pursue its efforts for a constructive dialogue with the authorities and the regulator and find out effective solutions to protect the consumers in a safe and legal gaming environment,” BAGO added.
EGR understands that Belgian-facing operators plan to author a letter to the government detailing concerns over the new deposit limits having been advised that the regulator’s reinterpretation of the rules was potentially illegal.