New Report: European State Monopolies Could Topple
state gambling monopolies could face a difficult future in the EU
Thursday 5th August 2004
A new report, which investigates the impact of EU legislation on state monopolistic structures, has concluded that that EU states may have to significantly modify, or lose their monopolies all together. 'The European Union and its Impact on State-Licensed Gambling Monopolies', which was carried out by consultancy firm, MECN states that, because the most recent court decisions of the European Court of Justice and national courts increasingly tend toward a liberalisation of the European betting and lottery markets, state-controlled lottery and betting companies will soon face dramatic changes and eventually may have to compete in a fully liberalized market.
EU Courts are currently having to decide whether state lotteries are giving sales and profits priority over their mandate of controlling and containing gambling. Is so they are behaving like private companies and should therefore lose their privileges to the cause of free European trade. Therefore, the report concludes, “'in order to avoid risking a complete dissolution of monopolistic structures the state-authorised companies will have to modify or perhaps even discontinue some products, sales channels, and/or marketing campaigns.”
75% of the companies surveyed believe that, in Italy, Spain, and the Netherlands, state monopolies no longer focus on limiting betting and gambling. 59% believe that the European gambling market will be liberalised by 2009.