The Swedish government recently announced the full text of legislation that comprehensively bans the use of credit for gambling, with the new rule set to officially take effect on April 1, 2026. The ban not only includes credit card gambling but also extends to loan agreements and bank overdrafts among various forms of credit, aimed at curbing gambling-related debt issues. The regulatory authority Spelinspektionen will be responsible for enforcing the new rules and may grant exceptions for gambling activities for public interest purposes such as charity lotteries.
Ban Content and Implementation Time
The Swedish government has confirmed that the new rule that comprehensively prohibits the use of credit for gambling will officially take effect on April 1, 2026. The bill proposes specific measures to completely prohibit credit card gambling, further expanding the scope of current regulations.
Although the current "Gambling Act" has already prohibited players from using credit cards with licensed operators for gambling, the government considers its "scope limited." The new ban will effectively plug the current loopholes that allow people to use loans for gambling, providing a more comprehensive regulatory framework.
Prohibition Scope and Regulatory Requirements
From April 2026, licensed operators and gambling agents will be prohibited from processing any transactions involving forms of credit. The scope of the ban not only includes credit cards but also extends to credit agreements signed with other entities, such as loan agreements and bank overdrafts.
Licensed persons and agents must also take proactive measures to prevent the use of credit for gambling, including blocking credit card payments and not promoting third-party lending institutions to customers. These requirements apply to all licensed forms of gambling, regardless of how the games are offered.
Exceptional Situations and Special Exemptions
The government indicates that the regulatory authority Spelinspektionen may make certain exceptions to the credit ban. These exceptions may cover those licensed operators who operate gambling for specific public interest purposes, such as charity lotteries and other public welfare activities.
This flexible approach indicates that while the government is strict in enforcing the ban, it also considers special circumstances and public interest needs, providing policy space for specific types of gambling activities.
Social Background and Implementation Motives
The decision to extend the ban is aimed at addressing Sweden's increasingly serious gambling-related debt issues. The government cited a special investigation into the use of gambling credit and excessive indebtedness in the bill.
Data from the Swedish enforcement agency Kronofogden shows that as of January 2025, Swedish consumer debt had reached a record 138 billion Swedish kronor (about 14.7 billion US dollars). Surveys by the Swedish Public Health Agency also found that 3% to 4% of the population aged 16 to 84 have gambling problems, with 40% having played slot machines and casino games in the past 12 months.
Regulatory Enforcement and Penalty Measures
If the bill takes effect as expected, the regulatory authority Spelinspektionen will be responsible for overseeing its implementation. The agency will receive support from the financial regulatory authority Finansinspektionen and the consumer protection agency Konsumentverket.
For violations of the new rules, Spelinspektionen will have greater punitive powers, including suspension, fines, and in severe cases, possible revocation of operating licenses, ensuring effective enforcement of the ban.
Legislative History and Policy Background
The publication of the bill marks a step closer for Sweden to extend the credit gambling ban. Since the first introduction of related regulations in 2019, the Swedish government has attempted several times to expand the scope of the ban, but none were successful.
Last February, related associations proposed similar legislative suggestions, focusing on the use of credit by external licensed institutions. Spelinspektionen supported this legislation and had called for a complete ban on credit card gambling, but previous efforts failed to pass the bill into law.
Changes in the Legal Environment
Last week, the Swedish government also released a memorandum updating its gambling regulations. According to the new rules, all unlicensed operators are illegal, plugging the previous legal loophole that allowed operators to use English and euros (rather than local currency) to attract players.
While stakeholders welcome these changes, some believe that this update is not sufficient to address the issue of market channelization rates declining, indicating that the regulatory environment is still evolving and improving.
