Spelinspektionen reports Q2 gaming growth in Sweden

Sweden's regulated gaming sector recorded modest growth in the second quarter of 2025, according to the latest figures released by Spelinspektionen, the national gaming regulator. Despite the closure of the final Casino Cosmopol branch and some declines in public lotteries, overall turnover showed resilience, reflecting ongoing strength in the country's online gambling and state-operated games sectors.

Overall turnover trends for Q2 2025

Spelinspektionen reported that the total regulated gaming turnover in Sweden reached SEK 7.02 billion ($0.74 billion) for the second quarter. This represents an increase of 1.9% year-on-year from SEK 6.89 billion in Q2 2024 and a 5.9% rise from the previous quarter, when turnover stood at SEK 6.63 billion.

These figures suggest that, while certain segments of the market faced setbacks, Sweden’s broader gaming sector continued to demonstrate growth. The total turnover includes revenue from online casinos, betting, state lotteries, cash machine games, hall bingo, commercial gaming, and public-benefit games.

Online casino and betting continue to drive revenue

Online casino and betting remained the dominant contributors to Sweden's gaming turnover, generating SEK 4.63 billion, up 1.4% year-on-year. This sustained growth in the digital segment highlights the increasing shift of players towards online platforms, a trend that has been observed globally and has been accelerated by digital accessibility and evolving consumer preferences.

The growth in online casino and betting comes despite ongoing concerns over the channelisation rate, which measures the proportion of gambling activity conducted via regulated operators. Spelinspektionen’s most recent report indicated that the channelisation rate stood at 85%, slightly below the regulator’s target of 90%. Online casinos in particular exhibited a lower channelisation rate of 72-82%, suggesting that some Swedish players continue to access unregulated operators.

Impact of Casino Cosmopol closure

The closure of the final Casino Cosmopol branch had a significant impact on state-run casino turnover, which fell sharply from SEK 33 million to SEK 8 million. Casino Cosmopol, which has been operated by Svenska Spel, Sweden’s state-owned gambling company, has faced challenges in recent years due to declining footfall, regulatory changes, and shifting consumer behavior towards online gaming.

Despite this decline, the broader commercial gaming sector in Sweden experienced modest growth. Turnover from other commercial games increased from SEK 57 million to SEK 63 million, demonstrating resilience among private operators despite the contraction of state-run casino activity.

State lotteries and public-benefit games

State lotteries and cash machine games generated SEK 1.42 billion in turnover, marking a 10.2% year-on-year increase. This growth reflects the continued popularity of lottery products among Swedish players and underscores the strength of regulated gaming offerings outside of casinos.

Conversely, games for public benefit, which include various lottery-based offerings, experienced a decline from SEK 893 million to SEK 846 million, highlighting a mixed performance in segments designed to fund social causes. While these games remain an important revenue source for public initiatives, the decline may signal changing player preferences or increased competition from private gaming operators.

Hall bingo remains stable

Turnover for hall bingo remained unchanged year-on-year, signaling stability in a sector that has traditionally catered to a loyal, though niche, audience. Hall bingo continues to serve as a social and recreational option for players, particularly in regional areas where online gambling may not yet fully replace the in-person experience.

Regulatory leadership changes

The second-quarter results coincide with a notable leadership transition at Spelinspektionen. Camilla Rosenberg, the Director General of the regulator, concluded her eight-year tenure to assume a position with Sweden’s real estate authority. Her departure marks the end of a period in which she oversaw substantial regulatory developments, including the implementation of Sweden’s online gambling licensing framework and initiatives to strengthen player protection.

Rosenberg’s exit raises questions about the future regulatory focus and the strategies that the incoming leadership may adopt, particularly with regard to channelisation, responsible gambling measures, and the balance between state and commercial gaming operators.

Industry concerns over channelisation

The Swedish Trade Association for Online Gambling has voiced concerns over the current channelisation rate, emphasizing that the existing level may be insufficient to ensure that players are engaging primarily through regulated operators. In response to an upcoming governmental inquiry, the association submitted a letter highlighting that it believes the inquiry may be inadequate in addressing the underlying issues.

“The online casino segment remains the primary driver behind the lower-than-expected channelisation rate,” the association noted. This observation underscores the need for continued collaboration between regulators, operators, and industry stakeholders to ensure a safe and responsible gaming environment, while simultaneously maintaining competitiveness in the digital marketplace.

Market outlook and future developments

Looking ahead, Sweden’s gaming market faces both opportunities and challenges. The continued growth of online gambling presents a lucrative avenue for operators, yet the closure of physical casinos and the mixed performance of public-benefit games indicate potential structural shifts in consumer behavior.

Regulators may need to reassess their strategies to increase the channelisation rate, particularly in online segments where unlicensed operators continue to attract players. Simultaneously, operators may need to innovate their product offerings, improve player engagement, and ensure responsible gaming practices to sustain long-term growth.

The evolving landscape also highlights the importance of transparency and regulatory compliance. As the gaming sector continues to expand, clear reporting, data analysis, and industry oversight will be crucial in balancing profitability with public interest and player protection.

Conclusion

Sweden’s regulated gaming market demonstrated resilience in Q2 2025, with total turnover increasing 1.9% year-on-year to SEK 7.02 billion, despite the closure of the final Casino Cosmopol branch. Online casinos and state lotteries continued to drive growth, while public-benefit games and state-run casinos saw declines.

The period also marked a significant leadership transition at Spelinspektionen, with Camilla Rosenberg departing after eight years, signaling potential new directions for the regulator. Meanwhile, industry stakeholders continue to focus on the challenges posed by online channelisation rates and the need for collaboration to ensure sustainable, responsible growth in Sweden’s gaming sector.

FAQs

What was Sweden’s total regulated gaming turnover in Q2 2025?
Total turnover reached SEK 7.02 billion, reflecting a 1.9% increase from Q2 2024.

How did online casino and betting perform in Q2 2025?
Online casino and betting generated SEK 4.63 billion, up 1.4% year-on-year.

What caused the decline in Casino Cosmopol turnover?
The sharp decline, from SEK 33 million to SEK 8 million, was due to the closure of the final Casino Cosmopol branch.

Did state lotteries and cash machine games increase in Q2?
Yes, they rose to SEK 1.42 billion, up 10.2% from the previous year.

How did public-benefit games perform in Q2 2025?
Public-benefit games declined from SEK 893 million to SEK 846 million year-on-year.

Has hall bingo turnover changed in Q2?
Hall bingo turnover remained stable compared to the previous year.

What is the channelisation rate for regulated gaming in Sweden?
The channelisation rate was 85%, below the regulator’s target of 90%, with online casinos at 72-82%.

Who is the outgoing Director General of Spelinspektionen?
Camilla Rosenberg, who served eight years, is leaving to join Sweden’s real estate authority.

What concerns has the Swedish Trade Association for Online Gambling raised?
They highlighted that the upcoming inquiry may not adequately address the low channelisation rate in online casino segments.

What are the future challenges for Sweden’s gaming market?
Challenges include increasing channelisation, adapting to declining physical casino activity, innovating online products, and ensuring responsible gambling practices.