The Remote Gambling Association (RGA) has noted the opposition of Santa Casa da Misericordia p Lisboa (“SCML”) towards the government’s intends to regulate the internet sports betting market, however the RGA thinks that the viable and competitive market later on would benefit not only customers and also the government, but Santa Casa too.

The RGA argues the Portuguese plans for reform, particularly, the prohibitive taxes which will affect online sports betting can make the establishment of the competitive licensed market nearly impossible. SCML seems to determine the establishment of these a effective online betting market market like a threat instead of an chance. However, in other areas (for example Denmark) the incumbent monopoly operators have flourished under new certification systems. There’s pointless that SCML couldn’t attend least as effective inside a regime high shall be room for many different types of operators to operate lucrative tax-having to pay companies so long as a smart tax on gross profits is introduced.

The RGA is from the view the taxes put down in within the draft law are the effect of a anxiety about cannibalisation from the SCML offline sports betting market by future

Portuguese licensed online sports betting operators. A forthcoming study by PWC will, amongst other things, allow it to be obvious that any fears of cannibalisation of Santa Casa’s offline sports betting product are wholly misplaced. In addition, it’s obvious when the punitive taxes for online sports betting within the draft law remain, you will see a obvious ongoing chance of many Portuguese customers using illegal and/or unlicensed  operators after regulation is passed.

Clive Hawkswood, the RGA’s Leader mentioned:

“We understand fully why Santa Casa, that is this type of highly respected institution in Portugal, might have concerns in regards to a fundamental alternation in the betting market. However, we truly think that its fears aren’t well-founded which a web-based betting market having a reasonable tax regime according to gross  profits would present it having a huge chance. Santa Casa only need consider the illustration of Denmark legitimate proof of this: operators you will find taxed at 20% of the gross profits and also the previous monopoly operator, Danske Spil, does very well despite the fact that it’s now experienced competition with many other licensed operators within the last couple of years.

“If the internet sports betting market might be taxed on the gross profits basis it might be  great news for those stakeholders. It might be victory for Santa Casa who could compete  within this sector although maintaining their current effective offline sports betting product it might be victory for that Portuguese condition which may take advantage of elevated inward  investment and tax revenues and it might be victory for that Portuguese consumer  who’d enjoy the advantages of an authorized and competitive market”