Veikkaus' Minister Paatero would investigate whether Veikkaus revenue decline could be offset by new games or online gaming

in Lottery

CEO Olli Sarekoski said the means that Veikkaus called "corporate responsibility actions " would reduce the company's result in 2021 by about EUR 150-200 million compared to this year's level.

The Minister proposes to set up a working group to review the gambling reform.

Recently, the gaming company Veikkaus announced reforms that will vaccinate the company for the coming years. According to Sirpa Paatero (sd.), The minister responsible for corporate governance, he knew in advance the "big picture" of the profit-reducing effect.

CEO Olli Sarekoski said the means that Veikkaus called "corporate responsibility actions " would reduce the company's result in 2021 by about EUR 150-200 million compared to this year's level.

Paatero told the STT in Parliament that the next step is to investigate whether Veikkaus has any means of counteracting the decline in income. With the drastic reduction in slot machines, it is possible, for example, to earn more revenue from online gaming.

- Or are there any new games that might be introduced?

In the role of the owner, the state has the opportunity to decide whether it is willing to make a big change in Veikkaus' goals, says Paatero.

Paatero would like the parliamentary working group to consider this, among other things, because the needs for change and development for Veikkaus cannot be solved by company or corporate governance measures alone.

- Many of the issues that have recently been raised require broad shoulders in Parliament and the entire Council of State. These include, for example, revenue estimates or deciding on significant reductions in gaming machines.

Paatero was not reached last week to comment on Veikkaus' press briefing recently, saying he had been on holiday for a few days.

Income to non-profit organizations

Veikkaus has paid out profits of around EUR 1 billion a year. The ministries distribute the proceeds to non-profit organizations.

Veikkaus said at a news conference that its number of slot machines will decrease by 3,500 next year. Currently there are 18,500 machines, such as those in shops' lobbies and petrol stations.

However, it is possible that up to 8,000 machines will be reduced in the next few years, says CEO Sarekoski.

Marketing will also be reduced and the content of the ads will change. Veikkaus has been in the eye of the storm throughout the fall when it has marketed gambling as part of everyday life.

The company will also make it mandatory for players to identify themselves through distributed gambling machines by January 2021. Therefore, the identification would take effect one year earlier than required by law.