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Online betting addicts have seen a surge in numbers due to the reintroduction of welcome bonuses.

Revised Client Attention Services Law Proposal by Social Rights: Ban on Aggressive Advertising Practices

Online betting numbers surge due to the reintroduction of sign-up incentives
Online betting numbers surge due to the reintroduction of sign-up incentives

Online betting addicts have seen a surge in numbers due to the reintroduction of welcome bonuses.

In Spain, the Ministry of Social Rights, Consumer Affairs and Agenda 2030 is proposing a new amendment to the Customer Service Act with the aim of addressing gambling-related issues. This amendment seeks to reintroduce a ban on welcome bonuses for online gaming, among other restrictions on gambling advertising and promotion [2][3].

The surge in online gambling activity in 2024, coinciding with the return of welcome bonuses used by operators to attract new users, has prompted this regulatory action [2]. The government, led by Minister Pablo Bustinduy, is proposing an amendment to the upcoming Customer Service Law to specifically ban welcome bonuses for online gambling again [2][3].

The original Royal Decree 958/2020, which included the initial ban on welcome bonuses and strict advertising restrictions, was overturned by the Supreme Court for lack of legislative basis and disproportionality [1][5]. The current approach adds these provisions via the Customer Service Bill’s Amendment 176, effectively reintroducing restrictions through a new legislative pathway [1].

Other notable measures in the amendment include:

  • Banning gambling advertisements featuring celebrities or influencers.
  • Prohibiting promotional campaigns to users with accounts less than 30 days old.
  • Restricting advertising on digital platforms, social media, and audiovisual media.
  • Time-slot and content limitations on gambling ads.
  • Exemptions for public lotteries like ONCE and SELAE, which attracted criticism from private operators for uneven competition [1].

This proposed legislation also addresses concerns about the increasing number of young players (18-45 years old) participating in betting games [9].

In 2024, Spain's gaming sector registered an unprecedented figure of over 8,108 million euros in profits [8]. Online casino profits were 730,71 million euros, while betting profits were 608,85 million euros, and poker profits were 100,08 million euros. Bingo profits were 14,94 million euros, and reserved games and state bets increased by 9.2%, up to 5.454 million euros [6].

Online betting sites like WilliamHill or 1xBet offer welcome bonuses to attract new clients. However, these features are only accessible for registered users on the betting site [4]. The average number of active accounts increased by 23.48% in 2024, with an average of 1,433,715 active accounts per month [7]. In the same year, Spain had 459,000 new players compared to the previous year, making the total number of active players 1,991,550 [10].

It is important to note that 83.15% of users on the betting site are men, compared to 16.85% women [11]. This gender disparity is a significant concern and may be addressed through future regulatory efforts.

In summary, the Customer Service Act aims to curb the sharp rise in online gambling activity linked to the return of welcome bonuses by reinstating their ban and strengthening advertising restrictions to reduce the industry's promotional impact, emphasizing consumer protection [2][3][1].

References:

  1. El País
  2. EFE
  3. ABC
  4. William Hill
  5. 1xBet
  6. Ministry of Finance
  7. Ministry of Finance
  8. Ministry of Finance
  9. Ministry of Social Rights
  10. Ministry of Finance
  11. Ministry of Finance

People in Spain may find a decrease in sports-related promotions as the government plans to ban welcome bonuses for online gambling platforms, aiming to protect consumers from problematic gambling behaviors. This regulatory action follows the surge in online gambling activity and profits, which has become particularly popular among the younger demographic.

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