Finland ends gambling monopoly, opens online market
Finland made a historic shift in its gambling policy following parliamentary approval of the reform that ends the state monopoly exercised for decades by Veikkaus. The new legal framework was supported by a very large majority in Parliament, with 158 votes in favor and only 9 against, marking the beginning of the liberalization of online gambling in one of the last closed markets in Europe.
The law, which now only awaits the formal signature of President Alexander Stubb before the end of the year, establishes a multi-license system that will allow private operators to enter the Finnish market for the first time. The license application process is scheduled to begin in March 2026.
A structural change amid geopolitical circumstances
The approval comes in a particularly complex context for the country, marked by the reinforcement of its extensive border with Russia and the increase in tensions on NATO’s eastern flank. Even so, the Finnish legislature moved forward with a long-debated reform, recognizing that the current model no longer responded to market realities.
While several European countries are taking the opposite path, tightening regulations and raising taxes, Finland chose to open its market as a strategy to regain control, improve channeling, and strengthen player protection.
From monopoly to a competitive regime
Until now, Veikkaus was the only operator authorized to offer sports betting, casino, and lotteries. With the new legislation, that scheme is dismantled and a competitive system under state supervision is introduced.
The new regime contemplates a 22 percent tax on gross gaming revenue (GGR), a rate considered attractive compared to other regulated markets. The central objective is to reduce the weight of offshore gambling, expand the legal offer, and strengthen control and responsibility mechanisms.
An attractive market but with low channeling
Finland represents a relevant opportunity for the industry. It is estimated that the total gambling market will reach EUR 2.4 billion in 2025, with the online segment concentrating about 65 percent of revenues, equivalent to around EUR 1.56 billion. Additionally, the digital channel maintains a projected annual growth of 5.1 percent.
The structural problem is low channeling. Approximately half of online gambling currently takes place on unlicensed platforms, with bets that do not pay taxes in the country nor are subject to consumer protection obligations. Various estimates place the annual volume flowing outside the official system between EUR 600 million and EUR 900 million.
Political consensus and support from the state operator
The magnitude of the phenomenon was decisive in achieving broad political consensus. Even Veikkaus supported the reform, recognizing that the monopoly no longer fulfilled its original function.
Velipekka Nummikoski, executive vice president of the state company, noted that the new model “significantly improves the possibilities of channeling gambling towards a licensed offer,” admitting that the monopoly, in practical terms, had ceased to exist years ago.
During the parliamentary debate, MP Juha Hänninen, from the National Coalition Party, summarized the shared diagnosis: a substantial part of gambling already occurs outside the system, without licenses, without taxes, and without responsibility regarding addiction problems, making a profound reform essential.
Next steps
With the law now approved, the schedule foresees that the regulated market will begin to operate fully in July 2027. Supervision will be the responsibility of a new Licensing and Supervision Agency, which will be created specifically to manage the new ecosystem.
The Finnish government aims to raise the channeling of online gambling to levels of 80 to 90 percent, in line with other Nordic countries such as Denmark, consolidating as
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