Finland is preparing for one of the most ambitious reforms in the European iGaming sector in recent years. The country is abandoning the current monopoly model and opening the market to private businesses under a new licensing system.
The launch is scheduled for July 1st, 2027. For operators, this step means entering a jurisdiction with an established online audience and significant untapped demand, now partially channelled offshore.
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One of Europe’s Most Engaged Audiences
The gambling business in Finland stands out among EU alternatives for its extremely high level of population involvement. It is estimated that approximately 70% of residents enjoy this entertainment annually, creating a constant domestic demand.
The attention is distributed across web and offline channels and is reflected in everyday life:
- Lottery draws are broadcast on television on Saturdays and have become part of the cultural tradition.
- Slot terminals are widely available in supermarkets, gas stations, kiosks, and other accessible locations.
Monopoly Model That Loses Ground
For a long time, the industry was under the exclusive control of the national Veikkaus, which encompassed all types of gambling in the country, from land-based raffles to online activities. Nevertheless, in recent years, this format’s sustainability has begun to decline, as a significant portion of users have migrated to foreign websites.
To understand the market’s scale, it is wise to consider its economic structure. In 2026, the total GGR is predicted to reach €1.9 billion.
Of this figure:
- €1.1 billion would come from gaming;
- €456 million — lotteries;
- €269 million — sportsbooks;
- about 81% — the digital segment.
Veikkaus’ position has also weakened: its gross revenue in 2025 was €931.9 million, significantly lower than the 2017 figure of approximately €1.8 billion. According to internal assessments and expert data, the national operator’s share has fallen to 51% by 2026, despite formal control over the sector.
This situation reveals an imbalance. The industry complies with regulatory requirements, but audiences are increasingly turning to unlicensed foreign portals that offer broader functionality and convenient digital tools.
In December 2025, Finland’s Parliament announced the new GP 16/2025 on gambling, including internet-based games. The Act and amendments included in this proposal are set to officially end the long-lasting monopoly.
Behind the Reform: Reasons and Approach
The market modernisation was a response to the steady shift of online operations beyond national regulation. While the system’s channelisation previously stood at 90%, it has since dropped to 50%, indicating a decline in effectiveness. At the same time, a grey segment has emerged and expanded, which continues to develop outside the official framework.
The situation has demonstrated that the monopolistic approach no longer reflects actual audience behaviour. Users are increasingly choosing global websites, limiting the state’s ability to monitor and oversee.
Political Consensus: Renovation Goals
The idea of liberalisation has received broad governmental support. The reform is perceived as a comprehensive method that enables the simultaneous achievement of several strategic objectives.
Tasks expected to be completed:
- Return of the tax income through the legalisation of transactions previously outside the jurisdiction.
- Increasing the share of regulated services by drawing in audiences to the supervised environment.
- Reducing the grey segment via the expansion of certified, sustainable supply on a continuous basis.
- Adapting rules to the digital reality, taking into account the cross-border nature of demand.
- Enhancing oversight effectiveness by introducing transparent, unified standards for all industry participants.
These modernisations are built on a pragmatic approach. Lawmakers want to align the regulation with how the market already functions.
Practical Implementation: Expected Effect
The restructuring of the system involves allowing private companies, both operators and technology providers, to convey services under local licences. This step will expand the legal offering and make the supervised environment more competitive with offshore brands.
Special attention is being paid to integrity in financial flows and to the creation of a stable business realm. Clear, unified rules should level up the sector’s governance and lay a foundation for its development.
Transition to a Licensed Ecosystem
The reform does not mean a complete dismantling of the current model. Veikkaus, as the national operator, will retain control over several verticals.
Among them are:
- lotteries;
- physical slots;
- scratch-card games.
It will shape a hybrid style in which the online niche is competitive, while some offline activities are still under state control.
The new structure will be oriented toward the following principles:
- obligatory compliance with regulatory requirements;
- unified, even operating rules for all market participants;
- taxation aimed at bringing turnover within the legal zone;
- strengthened rules for user protection and data processing.
Such standards will help create a transparent, manageable ecosystem in which private businesses can work under a clearly defined set of norms.
Economic Aspects
One of the reform’s key elements is understandable financial conditions for future niche representatives. The key parameters include a flat 22% tax rate of GGR and an annual licence oversight levy of €4,000–434,000, depending on the business scale.
This structure makes the system predictable and clear for international operators planning to debut in the jurisdiction. It allows for an early assessment of entry costs and the development of a long-term presence strategy.
Advertising Restrictions in the Reform
The Finnish regulator is establishing stringent rules for participants, with marketing ones being a key focus. Specifically, bans on certain types of promotion, including influencer and public-figure endorsements, and enhanced oversight of communications content are being discussed.
The emphasis is shifting toward reducing the negative impact of popularisation methods on vulnerable groups and developing a more decent public image for brands.
Particular attention is being paid to:
- increasing overall transparency;
- controlling distribution channels;
- restricting aggressive techniques;
- implementing RG policies and tools.
As a result, the country will receive a structured industry environment. Thanks to these circumstances, gambling advertising opportunities will be directly linked to regulatory compliance.
Responsible Gaming: Zone of Uncertainty
One of the most sensitive issues of the reform remains the approach to RG narratives and measures. According to legal experts in the state, the Finnish model is largely based on the experience of the Swedish market, which was liberalised in 2019. Overall, the proposed framework is quite well developed, but there are still gaps in detail.
Controversial Initiatives
In February, the national Ministry of Social Affairs and Health's announcement revealed that the government had endorsed a decree on gambling harm prevention. Previously, the draft guidelines evoked criticism from the industry’s participants.
Among the suggested measures were:
- temporary player account blocks;
- a ban on the use of AI to assess addiction risks;
- monthly/annual loss caps, with a centralised system for all operators;
- constant tracking of customer behaviour with level-based intervention mechanisms.
Market representatives believe that such restrictions could reduce the appeal of licensed products and increase audience outflows to the offshore segment.
Balance of Interests and Competition Risks
The status of the proposed guidelines is rather confusing: they are not obligatory and thus do not carry sanctions for non-compliance. This uncertainty raises questions about the practical implementation of the requirements.
Experts note that the recommendations could serve as a reference point for future legal decisions. Given the regulator’s broad powers, the offered guidelines may be officially enshrined over time.
A revised version of the document is expected soon. The market anticipates it to strike a balance between protecting users and maintaining the certified segment’s competitiveness. Otherwise, there is a risk that demand will not decline but will continue to shift beyond the regulated environment, diminishing the overall impact of the updates.
Effectiveness of Control Measures
The sphere may face potential challenges during the implementation of the gambling reform. The key question is how productively the legal system will curb not only the grey economy but also the black one.
According to industry estimates, the current model does not yet provide sufficient oversight. Tools for influencing unlicensed operators are limited, and mechanisms for blocking payments and infrastructure remain ineffective.
Statistics for the past year confirm weak enforcement. Specifically, no restraining orders were issued, and only 14 brands and individuals received warnings. This situation further underscores the need to modernise the current oversight.
The Main Things About Finland’s iGaming Sector Launch
The transition to a licensed format marks a new stage in the country’s gambling industry. The end of Veikkaus’ monopoly and the opening of access for private operators aim to return a significant portion of web activity to the regulated segment and improve its governance.
For businesses, this shift means the emergence of another European amusement hub with clear entry rules and high growth potential, driven by established demand in the digital vertical. The total market size is already predicted to reach €1.9 billion.
What is important to know about Finland’s new legal system:
- About 70% of the population gambles annually, making the local sector one of the most active in Europe.
- Up to 81% of gross revenue is generated online, strengthening the role of web regulation.
- The share of offshore services remains high, accounting for more than half of the total.
- The tax rate is set at 22% of GGR, with yearly fees of up to €434,000 on top of that.
- Veikkaus, the state-owned operator, retains control over lotteries and ground slot terminals.
- The model’s effectiveness will depend on the authority’s ability to restrict illicit activity.
- The licensed internet-based market is scheduled to open on July 1st, 2027.
Finland expects to gradually transition to the new system over the coming years. The reform is currently undergoing legislative preparation, during which the final version of the framework is being developed. For those planning to enter the jurisdiction, it is important to prepare technological and product infrastructure to meet local requirements in advance.
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