Danish Gaming Venues To Close Amid New Covid 19 Measures Scaled Image by Markus Winkler

    Increasing Number Of Covid-19 Infections Leads To Casinos’ Closure In Denmark

    Article by : Helen Dec 28, 2020
    Updated: Aug 9, 2022

    The Covid-19 pandemic has caused the closure of thousands of gambling venues worldwide, and the Danish Gaming Authority has recently affirmed that casinos must be closed from December 9 according to new pandemic measures. Gambling operators in 38 out of 98 municipalities, including Odense, Aarhus, the Greater Copenhagen area, and some areas with the Sjælland region, will temporarily close their properties. Brick-and-mortar entertainment stores like casinos, restaurants, bars, and gambling halls have to fulfill a new order issued by the Danish government. All land-based gambling properties as well as cultural centers and indoor sporting venues in Denmark, have to stay closed until January 3.

    The new national measures are extended at least until February 28, meaning people have to work from their homes whenever it is possible, and they should limit social networks with other people. It is also restricted to sell alcohol after 10 PM, and the Health Authority encourages to limit social contact during this time.

    At the same time, Spillemyndigheden (the Danish Gaming Authority) has started to accept applications in October, so the operators can apply for new on-ship and land-based casinos until January 29. During this time, it is also possible to apply for casinos on ships in Denmark in regular service. Land-based casinos that obtain a license in Denmark are allowed to operate for up to 10 years. Nowadays, there are eight licenses for land-based casino operators, including two onboard ferries. There was issued a permit for opening one more casino in Copenhagen. Note that games without a stake but with the possibility of win and vice versa can be provided without a license.

    Not to mention that only three countries in Europe, including Denmark, receive higher revenues from online gaming compared to the revenues brought by the land-based ones. Talking about the previous year, 53.1% of GGR was generated by online casinos, while the first place with 59% of GGR is taken by Sweden. Norway came the third, and Great Britain came the fourth. Although the country’s government ordered to close land-based casinos, the gaming market will be able to get pretty high revenues.

    Except for pandemic measures, British casino representatives have faced one more issue that is related to Brexit. Once the process of Brexit ends on January 1, the casino owners that are registered in Britain must possess the EU registration to operate the gambling business in Denmark.

    Denmark isn’t the only country that forced casino operators to close their properties. There have been reports about the increase of Covid-19 infections in South Korea, and for this reason, gambling venues in Seoul and neighboring areas must close.

    Kangwon Land was the single casino that had been available for local gamblers since October, but it closed its property as well. Seven Luck Casino in Seoul, the property of Grand Korea Leisure, should stay closed until December 29. According to GKL estimation, the company has lost around $5 million because of the pandemic.

    The situation with land-based gambling venues in the Scandinavian country improved in the third quarter of 2020. Compared to Q2, when gross gaming revenue (GGR) was DKK 16 million, the third quarter brought GGR DKK 87 million. Revenue received from gaming machines was DKK 334 million, while the Q4 of 2019 brought DKK 334 million. Taking into account the recent order to shut down the gambling properties, casino operators might not hope to get even the same figures as in Q3.

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