KSA chairman: Dutch enforcement feels like “mopping up water with the tap on”

Dutch Gambling Authority (KSA) chairman René Jansen believes trying to regulate illegal online operators during 2019 is like trying to “mop up water with the tap on”.

In the KSA’s annual report for 2019, Jansen claimed the fines levied against illegal operators would not be adequate enough to solve the wider issue of Holland’s black market, claiming regulation is the only solution, as well as giving the KSA greater enforcement powers.

Jansen said: “The ban on online gambling can hardly be maintained anymore as there are an estimated million Dutch players already gambling online. Consumer demand is there and will not leave.

“The KSA has, in the fight against illegal online offers, again made its best efforts in 2019 – a record amount of fines totalling €3.5m was imposed but it felt sometimes a bit like mopping with the tap on,” he added.

Jansen revealed the Dutch regulator’s aim of reaching a channelisation rate of 80% towards licensed firms within the first three years following market launch.

KSA chair René Jansen

The report confirms the KSA will request payment of a mandatory levy from licensed operators to fund gambling-related harm projects across the Netherlands.

In addition, the KSA said it will create a licensing portal website for operators to apply for licences, allocating temporary resources to deal with the extra demand from operators initially.

The KSA has said it expects more than a hundred operators to apply for licences to operate in the Dutch market once it opens in July 2021, but added that it would be a “tough” application and review process for prospective firms.

The KSA revealed it will ask for 18 pieces of information from operators during the process, as well as having all firms connect to a central control database monitored by regulators.

In addition, a sports betting intelligence unit will be set up to examine instances of match fixing within the new market.