September 18, 2024

Media Adverts On Gambling Games Has Been Banned In Bulgaria

By Daniela Rose 

The Bulgarian parliament has enacted a ban on all advertisements related to gambling games throughout the different media systems – online, print and broadcast media. This ban also extends to the use of celebrities or personalities in such ads, in addition to sponsorship deals with sports athletes and superstars. 

The initiative, put forth by way of GERB (EPP) and DPS (Renew Europe), garnered an outstanding 198 votes in choose inside Bulgaria’s 240-seat parliament, without any opposition or abstentions. The ban restricts the promotion of gambling services on television, radio, print media, and the websites of online casinos and minimum bet sportsbooks

The new regulations also restrict gambling in select regions, most notably prohibiting the creation of casinos in municipalities with populations under 10,000. Besides, lawmakers have ordered that the Ministry of Health receives around 50% of the revenue generated by top-rated online casinos and low deposit casinos. Operators who plan to promote social responsibility programmes will have to cover costs for addiction treatment. 

According to the Bulgarian authorities, the prohibition is meant to reduce the country’s gambling dependency percentage, which has emerged as an increasing difficulty in latest years. Statistics display that the range of trouble gamblers is growing, and the authorities are targeted at confronting the difficulty.  

The restriction has elicited conflicting reactions from the gambling sector, such as new Top-Rated online casinos, as well as the general public. While some claim that it violates individual rights and hinders businesses’ capacity to advertise their services, others see it as an essential move to safeguard those most vulnerable from the negative impacts of gambling.   

What Types Of Advertising Is Banned And What Is Not

The new law marks the biggest change in Bulgaria’s gambling industry in almost ten years. In recent years, gambling companies have been able to advertise freely, even during primetime TV shows. With the new legislation now fully incorporated into Bulgaria’s legislative framework, the capacity to promote gambling offers will be substantially limited.  

The new regulations prohibit a wide range of advertising styles. This covers all promotional content on traditional media platforms such as radio and television and print and electronic publications. Gambling advertisements are also prohibited in public locations, including buildings. 

However, some types of advertising are still permitted under certain conditions. Billboards are authorised if located away from schools. Advertising is also allowed on sports equipment and in sports halls, stadiums, and swimming pools as long as it does not directly target vulnerable populations. 

Additionally, the legislation contains measures to prevent access to websites that facilitate illegal gambling and financial operations. This comprehensive approach intends to limit the reach and influence of gambling advertising, thereby lowering public exposure to gambling-related content, particularly among young people. 

The Council for Electronic Media, which monitors Bulgaria’s media, will ensure that this law is followed. If they find a violation, they will notify the National Revenue Agency (NRA) and issue suitable penalties. 

In response to the ban, certain best online casinos have expressed concern about its possible impact on their businesses. Many businesses rely significantly on advertising to attract consumers and create income, so the prohibition might greatly impact their bottom line.  

Others have praised the ban as a positive step towards promoting responsible gambling and protecting customers. They believe that the prohibition will contribute to a safer gambling environment in Bulgaria and reduce the harmful consequences of problem gambling.  

The prohibition on gambling advertising is just one of several measures the Bulgarian government has implemented to combat the country’s gambling problem. In recent years, the government has imposed more vital rules on online gambling, such as age verification and betting limitations. 

The Impact On Media Houses

The ban on gambling advertising is expected to impact Bulgarian media houses significantly. Official data from 2023 show that gambling businesses spent around €85 million on media advertising. This enormous money inflow has been a vital revenue source for many media companies, especially those focused on sports and entertainment.  

Media outlets have expressed concern about the ban’s financial implications. Stilyan Shishkov, the creator of Sportal.bg, Bulgaria’s most prominent sports news website and executive director of the Bulgarian Gambling Association, emphasised the gravity of the problem.  

Stilyan Shishkov believes that prohibiting gambling advertising will contribute to the rise of the grey sector. He suggests that if gambling advertising is prohibited, it could potentially fuel the growth of the unregulated sector.  

According to Shishkov “restricting advertising leads to an increase in the activity of unlicensed sites” explaining thereafter that this, in turn, hampers the government’s ability to generate revenue through from gambling activities “which reduces the state’s ability to collect taxes and fees” from gambling.  

The ban on gambling advertising is expected to compel media organisations to seek alternate revenue streams. This transition may raise competition for other forms of advertising, potentially raising prices for advertisers. Media companies may also need to investigate new revenue models or broaden their content offerings to attract new advertisers. 

In addition, the restriction can affect the partnerships formed in the sports industry. Gambling businesses commonly sponsor major sporting events and teams. As a result of the increased constraints, sporting organisations may have a more difficult time obtaining sponsorship arrangements, which will negatively impact their financial stability and the sports industry. 

Nonetheless, the Bulgarian government emphasises the importance of the ban for public health and safety. By limiting the exposure of gambling ads, particularly to young people and other vulnerable groups, the aim is to decrease the incidence of gambling addiction. 

With all this taken into account, the government’s allocated funds to the Ministry of Health to combat gambling addiction demonstrates its commitment to addressing the negative impacts of gambling. 

Strict Regulations in Bulgaria and Romania

When the regulation is finally implemented, casinos will be restricted from promoting their products and services on billboards located outside, at a distance of at least 300 metres from educational institutions, kindergartens, colleges and universities, gambling halls, and sports facilities.  

The only lottery that will be allowed to advertise gambling in the media is the state lottery known as the “Bulgarian Sports Totalisator,” and the money made from this lottery must be used to fund sports in Bulgaria.  

At the same time, similar hampers were imposed on the Romanian gambling industry, in which certain Bulgarian enterprises have expressed a strong interest. Romanian Prime Minister Marcel Ciolacu informed companies that their licences would be revoked if they did not comply with a law outlawing slots in smaller towns in an effort to address the country’s developing gambling addiction. 

Bulgaria’s ban on gambling advertising marks an important shift in the legal framework. While the legislation poses obstacles for media companies and sports organisations, it is motivated by a public health goal aimed at reducing gambling addiction and its accompanying effects.  

As the media industry adjusts to this new reality, the ban’s long-term consequences for best online casinos and minimum bet sportsbooks will become apparent, influencing the future of advertising and media in Bulgaria. Only time will reveal the full implications of this contentious new law.