By Damian Martinez, journalist at G&M News.
The European Lotteries (EL) is a vibrant community with its own unique culture and a profound mission: working for the benefit of society. Despite the many geographical, economic and cultural backgrounds that they all come from they are inspiringly united in matters of importance.
Every year, EL members contribute significantly to people. In the European Lotteries’s latest report (for the year 2023), 68 of their members generated over €22 billion, a year-on-year growth of a little over 11%. Out of the total amount, 73% went to state budgets and the rest supported social projects, sports, culture and heritage, healthcare, and education.
Positive revenue and employment indicators
The total Gross Gaming Revenue (GGR) of all gaming categories of EL members amounted to over €38 billion in 2023, an increase of approximately 6% compared to 2022. Sales for the three main categories of games (draw based games, instant and sports games) by all reporting EL members amounted to €105.9 billion.
Draw based games experienced a 3% advancement, while instant games rose by 2%. Sports betting grew by over 7% compared to the previous year and became the second fastest growing game category within the EL members base in 2023.
Online operations expanded further by 9%, strengthened by the COVID-19 impact with a shift to online channels. Retail also increased by nearly 6% compared to 2022.
Besides, European Lotteries members were directly responsible for the creation of 51,344 full-time jobs. They believe sustainability topics such as diversity, equity and inclusion (DEI) are of crucial importance in the workplace, for the advancement of society and to ensure fairness and inclusion for all.
The results should be seen against the backdrop that more than half (55%) of EL members faced or are facing advertisement restrictions. These restrictions can be of any kind and influence any game category, offline and online. Despite such challenges, EL members continue to offer legally controlled games aimed at protecting vulnerable players and channeling them away from illegal operations and the most harmful games.
Overall, it is clear that European Lotteries members significantly support society with a commitment to consumer protection, and efforts to navigate challenges, while providing regulated gaming services in a controlled and sustainable environment.
Responsibility and sustainability at the heart of EL’s activities
At the core of national lotteries lies a common heritage of responsible games for the public good. EL and its members are dedicated to promoting diversity, embracing equality, operating transparently, and visibly enacting environmentally friendly practices. Together with its Sustainability and Responsible Gaming working group, EL got lots of achievements during 2023.
Last year, EL continued its efforts to promote responsible gaming through its Certification Programme. Thanks to its Support Programme, as of December 31st, 2023, an outstanding 99% of EL members (69 in total) had achieved RG certification, a 34% increase since certification became mandatory in 2021.
In this sense, EL took a significant step forward by updating its Sustainability Guidelines, aimed at strengthening lotteries’ commitment across a broader spectrum of responsibility. The guidelines reflect EL’s ongoing dedication to promoting sustainable practices within EL and aligning its members with the highest standards of corporate responsibility.
Through collaborative efforts and shared commitment (use of paper from certified sustainable forests, and regular monitoring of GHG emissions), European Lotteries and its members are working towards reducing their environmental footprint and contributing to a more sustainable future for all. In 2023, EL launched a Support Programme in relation to its Environmental Initiative. By December 2023, nearly half of EL members (43%) joined the initiative.
DEI as an opportunity for change
In 2023, European Lotteries continued its support to sustainability topics such as Diversity, Equity and Inclusion, recognizing their crucial importance in the workplace, for both the advancement of society and to ensure fairness for all. EL launched dedicated learning modules on DEI and was recognized as a finalist for the European Society of Association Executives’ DEI award.
The WiLL Mentoring Programme continued its success in 2023, designed for female leaders in the lottery sector who want to realize their full potential. This last edition saw a record number of 11 duos joining the programme. EL’s new initiative to cover one physical meeting for each duo at the Mentors’ lottery allowed for greater interaction between the participants.
EL positions itself on key issues
In 2023, EL continued its role in monitoring policy developments, particularly at the European Union level. Several relevant dossiers continued with digital services, AI, the metaverse, AML, sustainability, and standardization all being priorities to follow. These topics reflect emerging regulatory landscapes that could have a significant impact on the operations and interest of national lotteries.
The EL Public Affairs Coordination (PAC) working group played a key role in facilitating advocacy efforts. By engaging with policy makers, both EL and the working group ensured effective representation of the interest of EL members in EU policy discussions.
Besides, the involvement and expertise of EL’s Legal Advisor strengthened these efforts. Notably, national developments such as the Malta Bill 55 were closely followed. In 2023, European Lotteries kept a close eye on the priorities of the rotating presidencies of the Council of the EU (Sweden and Spain) and highlighted EL’s priorities in two dedicated letters.
At the beginning of 2023, EL welcomed the European Parliament’s adoption of its resolution on ‘Consumer Protection in Online Video Games.’ However, European Lotteries called for the clear separation between gambling and gaming to be maintained, with regulation at national level. The resolution acknowledges the importance and value of the video games sector whilst also calling for more measures to protect players.
As part of its strategic advocacy effort, EL, the PAC working group with the support of other relevant working groups developed a series of position papers on topics of relevance to the lottery sector. The papers aim at providing informed perspectives and recommendations on issues affecting the interests and operations of national lotteries within the European context.