Swedish Court Upholds Denial of Retail Bingo Licence

Swedish Appeals Court Upholds Denial of Retail Bingo Licence – Spelinspektionen Can Restrict Electronic Terminals to Traditional Venues

Key Takeaways

• The Administrative Court of Appeal in Jönköping has upheld Spelinspektionen’s refusal to grant a bingo licence for electronic terminals in retail outlets.
• The application concerned approximately 297 retail locations, mainly small shops and kiosks.
• The court confirmed that Sweden’s Gaming Act allows the regulator to limit where non-temporary bingo may be offered.
• An earlier ruling from November 2024 that favoured the operator has been overturned.

Court Confirms Regulator’s Authority Under the Gaming Act

The Administrative Court of Appeal, known as Kammarrätten, in Jönköping has ruled in favour of Sweden’s gambling regulator Spelinspektionen in a dispute over electronic bingo terminals. The decision, published on Tuesday, confirms that the regulator acted within its authority when it denied a licence application for non-temporary bingo outside traditional bingo halls.

The case centred on an application submitted in June 2023 by Föreningen Idrottens Spel i Sverige. The association sought permission to provide charitable bingo through electronic terminals placed in around 297 retail outlets across Sweden. These locations were primarily small shops and kiosks rather than established bingo halls.

Spelinspektionen rejected the application on 21 March 2024. The regulator argued that the proposed model did not meet the statutory suitability requirements set out in chapter 3, section 1 of the Gaming Act (2018:1138).

Suitability Requirements and Consumer Protection Concerns

Under the Gaming Act, licensed gambling must meet several criteria. The activity must be very safe, provide a high level of consumer protection, limit the negative impacts of gambling, and not be used to support criminal activities.

Spelinspektionen concluded that placing non-temporary electronic bingo terminals in retail kiosks would not satisfy these conditions. The regulator highlighted concerns about lower levels of social control in such environments. According to its assessment, kiosks and small shops could be more accessible to children and young people compared with traditional bingo halls.

The regulator also pointed to the broader legislative context. Sweden’s gambling framework has historically taken a restrictive approach to self-service gambling terminals. While certain exceptions exist for bingo, these have traditionally applied to environments with stronger social oversight, such as bingo halls or licensed restaurants.

Earlier Court Ruling Favoured Retail Expansion

The dispute has been ongoing since 2023. In November 2024, the Administrative Court in Linköping ruled in favour of Föreningen Idrottens Spel i Sverige. That court found that the Gaming Act did not explicitly limit non-temporary bingo to traditional bingo halls.

The November ruling emphasised the need for flexibility in adapting to changes in the gambling market. It remitted the matter to Spelinspektionen for further consideration, effectively invalidating the regulator’s original refusal.

Following that decision, Spelinspektionen appealed to the Administrative Court of Appeal.

Appeals Court Reverses November 2024 Decision

The Kammarrätten has now overturned the November 2024 judgment and reinstated Spelinspektionen’s original denial of the licence.

In its reasoning, the appeals court stated that the Gaming Act has been shaped by a restrictive attitude towards self-service gambling terminals. The law includes explicit limitations on where gaming machines may be placed. Although bingo benefits from certain exceptions, the court underlined that these exceptions are tied to venues with established social control mechanisms.

The court agreed with the regulator that allowing electronic bingo terminals in nearly 300 dispersed retail outlets would represent a “total change” from the current system. At present, Sweden has around 50 traditional bingo premises. Expanding to approximately 297 additional retail locations would significantly broaden the physical availability of bingo.

Based on this assessment, the appeals court found sufficient grounds under the statutory suitability criteria to deny the licence.

Implications for Retail Gambling and Market Structure

The ruling confirms that Spelinspektionen retains discretion to interpret and apply suitability requirements when assessing new retail gambling models. For operators, the judgment clarifies that non-temporary electronic bingo cannot automatically be treated as equivalent to traditional hall-based bingo under Swedish law.

The case also illustrates how courts may weigh consumer protection and social control considerations when evaluating expansions of land-based gambling into more widely accessible retail environments.

Föreningen Idrottens Spel i Sverige has warned that the decision could threaten the sustainability of bingo in Sweden and reduce important funding streams. However, the appeals court’s ruling focuses strictly on compliance with the existing legal framework rather than on commercial viability.

Our Assessment

The Administrative Court of Appeal’s decision reinstates Spelinspektionen’s refusal to license electronic bingo terminals in approximately 297 retail outlets. It confirms that, under the Gaming Act, the regulator may restrict non-temporary bingo to venues with stronger social control, such as traditional bingo halls. The ruling reverses a previous court decision and reinforces a restrictive interpretation of where land-based bingo can be offered in Sweden.