Iceland Considers Creating National Gambling Regulator amid Rise in Problem Gaming

^{Pictured: Alma D. Möller, Iceland’s Minister of Health}

The Icelandic government is preparing to rethink its approach to gambling regulation after the Ministry of Health signed a landmark agreement with the association SÁÁ to provide state-funded treatment for gambling addiction for the first time, RÚV reports.

Health Minister Alma D. Möller called gambling addiction a “serious social and medical issue,” emphasizing the need for stronger state involvement in prevention and treatment.

According to RÚV estimates, Icelanders spend around €245 million annually on unlicensed foreign gambling websites. Officially, only two legal operators are allowed to operate in the country — Íslensk Getspá, which runs sports betting, and the University of Iceland Lottery, which channels profits into education. Both operate under a state monopoly model established by the national lottery law, while private and foreign companies are barred from obtaining local licenses.

The current legal framework lacks comprehensive rules for online gambling and remains poorly enforced: despite a formal ban on advertising unlicensed gambling, there are no effective monitoring or blocking mechanisms in place.

Amid the growing number of problem gambling cases, members of parliament and civil society groups are calling for the creation of a single national gambling regulator that would oversee advertising, financial flows, and harm reduction programs.

Minister Möller noted that the government plans to “study the experience of neighboring countries and make consumer health protection the centerpiece of future reform.” Parliamentary discussions are expected before the end of the year.

Gambling Park notes that Maarten Haijer, head of the European Gaming and Betting Association (EGBA), had urged Icelandic authorities to end the state gambling monopoly and adopt an open licensing system for operators.