Italian gambling opposes MEF orders ahead of the 2024 transformation.

Italy online gambling association, Logico, has urged the government to reconsider the proposed 'reorganisation decree of online gambling by the Ministry of the Economy and Finance.

While Logico supports MEF regulatory review it is concerned about the €7m authorization fee per license, a 35-fold increase from 2018.

Logico fears this fee will limit competition, allowing only 20 concessionaires instead of the current 83.

 

[CR7]

I understand your concerns regarding the proposed reorganisation decree of online gambling in Italy. It is positive to hear that Logico supports the regulatory review initiated by the Ministry of the Economy and Finance (MEF). However, the association is rightfully concerned about the significant increase in the authorization fee per license.

The proposed fee of €7 million per license represents a substantial 35-fold increase compared to the fee in 2018. Logico's worries about this increase limiting competition and potentially resulting in a decrease in the number of concessionaires from the current 83 to only 20 are justified.

Such a significant fee could indeed have a deterrent effect on operators, especially smaller ones, who might find it financially challenging to enter the market. Despite the intention of the MEF to streamline and consolidate the sector, it is important to consider the potential consequences of making it less accessible to a wider range of participants.

The online gambling market in Italy has experienced growth in recent years, and competition has been an important driving force for innovation and consumer choice. If the proposed fee is implemented, it could have the unintended consequence of stifling competition and reducing options for consumers.

Perhaps there may be alternative solutions that can address the government's goals while not excessively burdening operators. Striking a balance between generating revenue for the state and maintaining a healthy level of competition in the sector will be crucial for the long-term success of the Italian online gambling industry.

In summary, Logico's concerns about the proposed authorization fee increase in the reorganisation decree of online gambling in Italy are valid. It is important for the government to carefully evaluate the potential impact of this decision and consider alternative approaches that can achieve the desired regulatory goals without hindering competition in the market.