Online gaming: Peter Agius calls for European Commission action on free movement

Agius warns that the Commission’s inaction is undermining the free movement of gaming services, threatening jobs, and enabling monopolistic practices to flourish at the expense of licensed operators and consumer protection.

“European freedom of movement in online gaming services is being lost in legal battles and conflicting court jurisdictions,” Agius stated. “Up till a few years ago, the European Commission imposed a measure of proportionality and non discrimination on member states. This stopped in 2017 when the Commission took a step back and dropped all pending cases of infringement”.

Agius pointed to the ongoing legal disputes in Austria and Germany, where conflicting rulings have exposed the vulnerabilities of an uncoordinated regulatory approach.   “The recent legal wranglings and conflict of jurisdiction on court cases by losing bidders in Austria and Germany against operators in Malta show it is now time for the Commission to urgently act again to safeguard EU freedoms”.

Malta’s thriving gaming sector, which employs thousands and upholds some of the highest regulatory and player protection standards in Europe, is particularly affected by these challenges. “I am acting upon the calls of several operators and their representatives in Malta and in Europe by calling on Vice-President Sejourne for Commission action to restore internal market freedoms in online gaming. The industry provides thousands of quality jobs in Malta while offering a highly regulated gaming option with high player protection standards. The European consumer stands to gain from a regulated gaming market with high player protection rules, fending off the high risks of an illegal gaming offer.''

Peter Agius also reiterated the European Parliament’s call for the regulation of Third Party Litigation Funding which is being used in Europe to group losing bidders into joint court action against Maltae operators. The practice needs to be regulated to prevent further abuse of legal loopholes at the expense of consumers and businesses says Agius in his letter.

Peter Agius concluded by stressing the need to defend value-added industries in Malta, that help shifting the economy away from unsustainable growth models towards high-income sectors like gaming. “Malta must protect and nurture its gaming industry to ensure long-term economic sustainability and competitiveness. The European Commission must step up and take decisive action before it’s too late,” he said.