Veikkaus CEO: Finland needs fair competition, not a monopoly

Finland's state-owned gambling monopoly Veikkaus has spent years watching half its potential revenue walk out the door to offshore sites. Now its chief executive, Olli Sarekoski, says the only way forward is to open the market and compete on equal terms.

In 2024, roughly half of all gambling volume by Finnish players went to unlicensed operators, according to Sarekoski. He points out that around 1,500 foreign-facing companies target Finland, which makes the monopoly a legal formality rather than a practical one. "We don't have a monopoly," he said. "The system was not able to protect itself, that was very clear, and it's better to have fair competition."

The monopoly ends on 1 July 2027. Veikkaus, formed in 2012 through the merger of Veikkaus, Fintoto and the Slot Machines Association (RAY), will keep exclusive rights to lottery and land-based games. Online betting and casino will open to licensed private operators. More than 50 betting companies are expected to enter, including the Swedish-Finnish joint venture ATG Hippos.

Sarekoski is not worried about the influx. Veikkaus already competes daily against offshore firms that face no loss limits, no marketing restrictions and no jackpot caps. "We are on a highway with a speed limit of 80kmph and the others have no speed limit," he said. "From 1 July 2027 everyone has a 120kmph speed limit." He also notes that Veikkaus has roughly three million registered customers in a nation of 5.7 million, so there aren't many new players left to win over.

The new law won broad political support. In December 2025, 94% of MPs voted in favour in the second reading, including members of all four governing parties: the National Coalition, the Finns, the Christian Democrats and the Swedish People's Party. President Alexander Stubb has yet to give final approval. Sarekoski calls the legislation "pretty liberal" and predicts the channelisation rate could climb to "80%, or even maybe a little bit over."

But history offers warnings. Sweden opened its market in 2019 and has since seen online casino channelisation rates slide. The Netherlands launched in 2021, only to impose tighter advertising rules within four years amid public concern. Finland's new rules already ban affiliate marketing, which worries smaller operators, though Veikkaus sees limited risk to itself. Sports sponsorships and TV or radio advertising remain allowed.

Sarekoski expects a period of adjustment once the market opens. "There is no advertising for money gaming in the traditional media at the moment, so we will definitely see it become more visible," he said. He anticipates a debate in the first six to nine months, but believes advertising will settle down once market shares stabilise. He does not foresee a Dutch-style crackdown.

Taxation is another open question. Finnish licensed operators will pay 22% of gross gaming revenue, far below the 37.8% rate in the Netherlands and 40% in the UK. Sarekoski warns that political pressure to tighten rules or raise taxes could push players back offshore. "It's easier to create very tight regulations, but it's very demanding to keep the channeling rate up," he said. "The competition should not be taking the highest risk with the gaming harms, it should be the customer experience."

The real test will come after launch, when secondary legislation and political pushback often reshape new markets. Sarekoski's message is simple: give authorities effective tools to protect licensed operators, or watch the channelisation rate decline again. "There might be questions around the corner," he said. "Will there be political pressure to tighten the rules? It will then be extremely important to have tool packets for the authorities to protect the legal operators."