Dutch Gambling Chief Warns Against Regulation Becoming 'Income Policy'

Michel Groothuizen, the Chairman of the Dutch gambling authority Kansspelautoriteit (KSA), has expressed concerns about the future direction of gambling regulation. He appeals to legislators not to shift the focus to fiscal interests. For him, player protection remains at the top of the agenda in all considerations. Without a strong focus on preventing gambling addiction, any regulation misses its true purpose. Only consistent and strict supervision can ensure market integrity and protect the population from negative consequences.

Groothuizen's statements highlight a central conflict in many European gambling markets: the balancing act between state revenues and comprehensive player protection. The temptation is great to view licensing fees and taxes as a quick source of income. However, in a sensitive area like this, ethical principles must take precedence. Gambling regulations should primarily serve to protect vulnerable individuals and create a safe framework for legal offerings. Regulation that neglects this risks exacerbating the problem rather than solving it.

Numbers and facts

Michel Groothuizen is the Chairman of the Kansspelautoriteit (KSA), the Dutch gambling authority. He strongly argued against turning regulation into a mere "income policy." This warning is directed at Dutch legislators. Groothuizen emphasized that player protection must be the top priority. The Netherlands only recently regulated its online gambling market. The KSA is responsible for licensing and monitoring providers.

Background

The discussion about the orientation of gambling regulation is not new. Many countries grapple with how to create a legal market that is attractive to both players and providers, without neglecting player protection. The so-called grey market, meaning unlicensed offerings, poses a constant challenge. Providers on the grey market evade regulation and often offer inadequate protective measures for their customers. This undermines the efforts of authorities to build a safe and transparent market.

Groothuizen's position reflects an ethical responsibility. He makes it clear that it should not be about squeezing as much money as possible from gambling. Instead, regulation should be a tool to protect society. This is an important reminder, as tax revenues from gambling are tempting for many governments.

“Gambling regulation should not be allowed to become an income policy.” - Michel Groothuizen, Chairman of the Kansspelautoriteit (KSA)

This statement underscores the need to prioritize moral principles over short-term financial gains. A functioning gambling market needs trust. Players must be able to rely on their interests being protected.

Why it matters for German players

In Germany, since the introduction of the State Treaty on Gambling (GlüStV 2021), we also have a regulated online gambling market. The Joint Gambling Authority of the Federal States (GGL) is our central supervisory authority. Similar to the Netherlands, player protection and the fight against the black market are also priorities here. Germany has introduced strict rules: a monthly deposit limit of 1,000 euros, a stake limit of 1 euro per spin on online slot machines, and the central self-exclusion system LUGAS. These measures are intended to protect players from excessive participation and to identify problematic gambling behavior early.

For German players, this means they should only play with providers listed on the so-called GGL whitelist. Only these casinos operate legally and are subject to strict German regulations. Offers without a German license may seem more attractive at first glance, for example, due to higher bonuses or missing limits. However, they offer no protection and cannot be held accountable in an emergency. German player protection measures do not apply there, and players venture into unsafe territory. I can only strongly advise everyone to stick to the licensed offers.

What it means for GGL-licensed casinos

For GGL-licensed online casinos in Germany, Groothuizen's statements confirm the path taken. The German legislature has explicitly declared player protection as its top priority. The strict licensing requirements and continuous monitoring by the GGL ensure that revenue generation does not come at the expense of player safety. GGL casinos invest significantly in compliance measures, technical solutions for player and youth protection, and integration into the LUGAS system.

The focus on a responsible gambling market can strengthen player trust in the long term. A serious, well-regulated market creates a stable basis for operators and offers players a safe environment. It is a competitive advantage for a provider to distinguish itself from unlicensed, untrustworthy offerings through consistent player protection. This will continue to be an important criterion for success in the German market.