Early indications that deposit limits in the Netherlands reduced instances of excessive gambling have been tempered by the rising threat of the black market.
Data released by Kansspelautoriteit (KSA), the Dutch gambling regulator, revealed that just 1% of players lost more than €1,000 since changes were implemented in the second half of 2024, falling from 4% before the rule changes.
The new rules mandate that players must contact an operator if they want to increase their deposit limits to more than €350 per month or €150 for young adults (18-24).
In addition, providers must now check whether a player can afford deposits of over €300 (young adults) or €700 (aged 24 and over).
According to the KSA, the percentage of players depositing more than the deposit limits has dropped from 9.7% to 2.2% for adults, and from 12% to 1.9% for young adults. Also, the average player loss per account decreased by 31% to an average of €80 per month, falling from an average of €116 in the eight months before the rule changes.
Despite this success, search volume for the top 100 illegal websites also increased following the rules changes.
VNLOK, a trade body for the Dutch gambling industry, warned that the black market remains too easily accessible, especially by vulnerable players who are not afforded the same protections as they would if they were playing on the regulated market.
Björn Fuchs, Chair of VNLOK, said: “We must not close our eyes to the other half: the illegal market. It is precisely the players who bet the most money and vulnerable groups, such as minors and young adults, that seem to continue to find their way to the illegal offer. That is exactly the group that is most at risk.”
The KSA’s data suggested that 93% of players only play with legal providers. However, the channelisation rate in the Netherlands, the percentage of gambling spend at legal operators, is widely reported to be just 50%.
This indicates that a large proportion of high-spending players in the Netherlands are customers of illegal operators, meaning the regulated market is losing out on significant revenue.
In response to the results, VNLOK, which has recently announced a merger with the NOGA, urged the KSA to consider the impact of new regulations, warning that an excess of new rules can have the undesirable effect of driving players to the black market.
The body stated: “VNLOK calls for strict action against illegal providers and for a balanced approach to regulation: effective where necessary, but without unnecessarily hindering the player and the legal offer. All findings from the latest impact measurement must be taken into account in the development of new rules.”