Swedish Gaming Authority Issues Penalties to Yggdrasil and Svenska Spel

Mondays have always had a reputation for being the most hated day of the week, and this specific Monday didn’t disappoint either. The week hasn’t started on the right foot for Yggdrasil Gaming Limited and Svenska Spel Sport & Casino AB. The Swedish Gaming Authority (Spelinspektionen) has issued warnings and hefty penalties to both companies. Non-compliance has been listed as the reason behind Yggdrasil’s misfortune, while Svenska Spel showed “shortcomings in the duty of care.”

Providing Software to Unlicensed Operators Got Yggdrasil Into Hot Water

According to the official announcement on the SGA website, Yggdrasil Gaming has been providing its software to an unlicensed actor. The unlicensed operator in question was supposedly targeting Swedish customers without the proper permits.

The Authority, which has been increasingly strict in the past few years, decided to issue a formal warning to Yggdrasil Gaming. Moreover, a penalty of SEK 300,000 (about 26,200 EUR) was sent to Yggdrasil’s address as well.

Key details of the Yggdrasil case include:

• The regulation on software licensing took effect on 1 July 2023, applying to all providers.

• Yggdrasil received its license on 22 March 2023 and was reminded of the rules on 26 October 2023.

• On 16 January 2024, SGA determined that Yggdrasil had supplied games to an unlicensed operator.

Although the regulations allowed for a fine of up to SEK 580,000 (about 50,700 EUR), SGA settled on a lower penalty of SEK 300,000.

Svenska Spel Failed to Protect Vulnerable Customers

While the Yggdrasil fine has quickly made the headlines, Svenska Spel is the company with a much larger penalty. The SGA has concluded that Svenska Spel Sport & Casino failed to protect players against excessive gambling and did not assist them in reducing their gambling activity when necessary.

Key findings from the SGA investigation:

• Svenska Spel was investigated beginning 21 December 2021 for compliance with duty-of-care requirements.

• Customers with deposit limits over SEK 10,000 per month were not sufficiently monitored.

• Despite follow-up calls and outreach, the company allowed risky behavior to continue.

The regulator issued a warning and a fine of SEK 100 million (about 8.73 million EUR) — significantly below the maximum possible penalty of SEK 195,243,800 (about 17 million EUR).

Failures in Oversight and Customer Protection

Multiple customers were allowed to continue playing despite signs of problem gambling. Even though Svenska Spel did reach out and carry out follow-up calls, the SGA deemed its actions insufficient.

Key issues highlighted by the SGA:

• Customers received notices of “profit” that were actually net losses when wager amounts were subtracted.

• Some users were warned yet allowed to gamble daily throughout the year.

• Oversight mechanisms were ineffective in limiting high-risk gambling behavior.

Just like in the situation with Yggdrasil, the SGA opted for a lower penalty than the maximum allowed, sending a clear message about tightening control while allowing room for improvement.

In conclusion, Sweden’s gambling watchdog is reinforcing its stance on accountability, compliance, and player protection — signaling to all licensed operators that even minor breaches can carry major consequences.