Concerns have been expressed by the Swedish regulator Spelinspektionen regarding the potential implications of shutting down the state-owned operator Svenska Spel’s Casino Cosmopol business. They warn that this move could result in an increase in illegal gambling activities within the nation’s land-based market.
Sweden is a country located in Northern Europe, known for its rich history, stunning landscapes, and progressive society. It boasts a high standard of living and a strong welfare system, making it an attractive destination for many. The nation is also recognised for its contributions to culture, technology, and environmental sustainability. Closure of Casino Cosmopol
In May, the government of Sweden put forth a proposal to end the operations of the Casino Cosmopol land-based casino business. The government announced that Casino Cosmopol “no longer fulfils its purpose” and highlighted the persistent difficulties the business faces in achieving profitability. 

Casino Cosmopol Stockholm stands as the sole venue currently in operation across Sweden. Initially, there were four locations in operation, but the Sundsvall site was shut down in 2020. Svenska Spel has confirmed the definitive shutdown of its casinos located in Gothenburg and Malmö as of January this year.

If the proposal is approved, Casino Cosmopol Stockholm will be required to shut down on or before January 1, 2026. The closure is expected to affect around 200 jobs.

The shutdown may drive Casino Cosmopol patrons towards underground gambling establishments.
In response to the proposal, Spelinspektionen stated that it holds “no substantive views” regarding the potential closure of the final casino. Nonetheless, it has raised alarms regarding the potential effects this may have on the occurrence of illicit gambling within the land-based market in Sweden. The police authority of the country issued a comparable statement.

Spelinspektionen indicated that if Casino Cosmopol were to shut down, it might drive its existing clientele towards illegal gambling establishments.

“Currently, there is a widespread presence of unlawful gambling establishments across the nation,” stated Spelinspektionen. “Nonetheless, the degree remains uncertain.”

“In recent years, we have served as specialists in several instances where allegations have been made. While the current instances of these cases are limited, it is our evaluation that law enforcement agencies are becoming more vigilant regarding unlawful gambling activities.

Spelinspektionen might require additional resources to address the issue of unlawful gambling.
If the proposed closure goes ahead, Spelinspektionen indicated that additional funding would be necessary to address the anticipated increase in unlawful land-based gambling activities. This may also compel a redistribution of specific resources.

“Given that the proposal is expected to lead to a rise in unlawful gambling, Spelinspektionen may need to allocate additional resources to combat illegal land-based gambling operations,” stated Spelinspektionen. “This could involve adjusting the allocation of resources for unlawful land-based gambling activities.

Spelinspektionen also discussed the implications of the closure for the broader market. If the measure is approved, a stipulation in Svenska Spel’s licence allowing for the operation of land-based casinos would be eliminated. Consequently, additional operators may seek to obtain licenses in Sweden.

The regulator said it has seen an increase in interest from commercial casino operators in applying for such licences. Consequently, it must enhance its resources to effectively oversee these licenses and the regulation of the market.

“We will monitor the evolution of the gambling sector in this area and may need to enhance our oversight and assess future requirements for authorisations based on the progress of this segment of the market,” Spelinspektionen stated.