Sweden Gambling Channelisation Slips as Offshore Sites Gain Ground

Sweden’s regulated gambling market is losing ground to offshore competitors. New figures from Spelinspektionen show the country’s channelisation rate — the percentage of play taking place with licensed operators — slipped to 85% in 2024. That’s a small decline from the year before, but it has triggered strong reactions from industry voices ahead of a major policy review.

Good to Know

• Sweden’s long-term goal is 90% channelisation, but online casino remains the weakest segment.
• The new study combined player surveys and internet traffic data, covering 5,767 players and 2,032 unlicensed sites.
• A government review of the Gambling Act is due this month, with new measures against offshore sites expected.

The regulator’s report marks the first time Spelinspektionen used a combined methodology of player surveys and traffic analysis. Results showed online casino lagging behind other verticals, with only 72%–82% of activity flowing through licensed sites. Betting performed better, with an estimated 92%–96% channeled to the regulated market.

Overall, 96% of players were estimated to have engaged with Sweden’s licensed competitive market last year, but the regulator remains focused on the risk posed by unlicensed websites. More than 2,000 offshore operators were identified as part of the study.

Industry critics argue the situation has persisted too long. Gustaf Hoffstedt, secretary general of the Swedish Trade Association for Online Gambling (BOS), said:

“It is equally unacceptable that this has been accepted by political decision-makers for half a decade, since the channelisation has also been low in previous assessments, without effective regulatory measures being taken.”

Hoffstedt pressed lawmakers to reconsider some of the tougher restrictions imposed on licensed firms. He pointed to the total ban on bonuses and loyalty programs as one example of rules that push players to offshore platforms. He said:

“Anyone who understands the gambling market knows that the elephant in the room is that the licensed market is so tightly regulated that it does not appear attractive enough in the eyes of the consumer.”

International comparisons highlight the challenge. The Netherlands’ gambling authority recently reported its channelisation rate slipped to 93% from 95%, while H2 Gambling Capital adjusted its Swedish estimate to 72% — far lower than official figures.

The timing of the report is crucial. Government investigator Marcus Isgren is due to present recommendations on strengthening the Gambling Act later this month. With Sweden falling short of its 90% target, pressure is mounting on regulators and lawmakers to find the right balance between consumer protection and market competitiveness.

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