Spain Passes New Law to Limit Gambling Advertising and Prevent Problem Gambling
The Spanish upper house of parliament has passed a new law governing gambling. This legislation will prioritize efforts to prevent problem gambling and limit advertising. Several proposed changes to the bill were not accepted.
The initial proposal for this law was presented in May. It was then approved by the Spanish lower house of parliament in September and sent to the Senate.
Spain introduced extensive restrictions on gambling advertising in late 2020. These restrictions limited advertising to the early hours of the morning on television and radio, and banned sponsorship deals with football clubs. Existing agreements were allowed to continue until the end of the relevant sporting season.
Many of these limitations were part of Spain’s initial response to the COVID-19 crisis. They were initially introduced as temporary measures. While some restrictions were lifted in the summer, many were reintroduced in November.
The new law appears to be bringing back many of the limitations that were in place as temporary COVID-19 measures.
The legislation emphasizes social responsibility in advertising. Gambling companies are prohibited from promoting their products as beneficial to social standing, physical well-being, financial stability, or mental health.
Promotional materials cannot connect wagering with personal or communal achievements, cannot utilize depictions of wealth or opulent goods, and cannot suggest that family and friendship should be secondary to gambling.
The legislation also lays out rules for loot boxes and other digital assets, and will establish guidelines to control the use of loot boxes, non-fungible tokens (NFTs), and other revenue-generating mechanisms. The Spanish administration will create these guidelines, encompassing advertising limitations, conveying precise information to consumers about these products, and safety precautions.
The legislation will also introduce a comprehensive gambling market research service that will process personal data to combat deception in the Spanish gambling sector. The agency will be overseen by the General Directorate for Gambling Regulation (DGOJ).
Penalties for breaking the law range from €150 for minor violations to €10,000 for serious violations, from €10,001 to €100,000 for very serious violations, and from €100,001 to €1 million for extremely serious violations.
The law will take effect one day after its publication in the Spanish Official Gazette.
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