A proposed change to Denmark’s gambling rules has drawn strong criticism from affiliates, who say it could threaten their businesses. The draft bill would ban revenue-share deals based on player losses or turnover.

The ban would affect the new and existing contracts. While affiliate marketing would still be allowed, most affiliates rely on revenue and loss based commissions, so the change could shut down many businesses.

The Ministry of Taxation says the reform aims to protect consumers and reduce gambling risks. Affiliates say the plan is unfair and could harm the industry.

Regulatory philosophy and market balance

The backlash from affiliates appears to conflict with the long stated approach of Denmark’s gambling regulator. Anders Dorph, director of the Danish Gambling Authority Spillemyndigheden, has repeatedly said that Denmark’s regulatory model is based on pragmatism rather than strict bans. “Outright prohibition simply doesn’t work,” Dorph said. “Our goal is harm minimisation, not an unrealistic attempt to ban human behaviour.”

He has also warned that placing too many restrictions on licensed operators risks pushing players toward illegal platforms. “If you put too many restrictions on the legal market, you make it impossible for them to compete,” he said, noting that unlicensed operators do not pay tax or follow marketing rules.

Existing agreements face 2027 deadline

The draft bill would take effect on 1 January 2027. From that date, revenue share agreements based on player losses or turnover would become illegal, even if signed years ago.

Affiliate veteran Benjamin Nørregaard, founder of Casinolisten, called the proposal a serious breach of legal certainty. “The most far-reaching and legally critical element of the bill is that, without a transitional arrangement, it makes all legal and validly concluded agreements since 2012 invalid overnight,” he wrote. “This is an intervention of a quite extraordinary nature.”

He warned it would cause big financial losses and hurt long-term investments. “The agreements have been entered into in full confidence in the legislator and have formed the basis for investments, earnings, and multi-year commercial arrangements,” he said.

Industry fears and wider impact

Affiliates also worry about serious business losses. Speaking to SiGMA News, Nørregaard said the proposal targets companies that have invested heavily over many years. “The proposal targets companies that, over 14 years, have made significant investments in technology, content, marketing, and employees in reliance on the current regulation,” he said.

He questioned the idea that affiliates can encourage more gambling. “Established affiliates do not have access to player data nor the capacity to influence player behaviour after a referral,” he said. Critics say banning affiliates could weaken Denmark’s market strategy. “A ban will not eliminate the demand for information about gambling operators, but simply move marketing to foreign and non-regulated players who are not subject to Danish rules on responsible marketing,” Nørregaard warned.