Finnish gambling operator Paf has reduced its mandatory annual loss limit from €16,000 to €15,000, meaning it has now halved its original €30,000 annual loss cap introduced in 2018.

The move marks the latest step in a multi-year strategy to curb high-intensity play and shift towards “more sustainable revenues”.

Paf has previously stated an ambition to lower the annual loss limit further to €8,000 per year, though no timeline has been confirmed.

“We are extremely proud that, through concrete measures and long-term investments in responsible gaming, we have now managed to halve the first loss limit that was introduced in 2018,” said Christer Fahlstedt, CEO of Paf.

“It clearly shows that we are serious about our ambition to be a sustainable entertainment company. We have been clear about our ambition to take a strong stance on responsibility as a gaming company and to drive development towards a better gaming market. 

“Unlike many other operators in the industry, we are also prepared to say no to revenue from unsustainable gaming. However, this needs to be done step by step, at a pace that is reasonably sustainable for us as a company operating in a competitive market.”

A new Paf for a new Finland?

The move comes amid ongoing debate across European markets about deposit caps, cross-operator limits and enforcement against unlicensed gambling platforms.

It also comes during a period of transition in the gambling market in Finland, which is expected to become a lucrative one in the coming years. It will open up to operators next year, with private licences issued for sports betting, online casino and online bingo. 

Paf, which operates in the Aland Islands region, looks set to capitalise on this and recent moves would suggest a nationwide launch. The company also recently signed a sponsorship deal with former F1 driver Kimi Räikkönen.

The opening up of Finland’s market from a monopoly system to a multi-licence one has understandably got a lot of stakeholders talking. However, while market launch in July 2027 is now set in stone, there are uncertainties around marketing and player protection.

The conversation around the latter topic has seen the Ministry of Social Affairs and Health suggest its own standards around loss limits. While different from deposit limits, which is what Paf has lowered, the proposal received backlash from Finnish market stakeholders.

In Paf’s case, the latest reduction in deposit limits will progressively eliminate revenue from what the firm categorises as its “orange” customer segment – players who lose between €15,000 and €30,000 per year.

The company had already stopped generating revenue from its “red” segment, defined as customers with annual losses exceeding €30,000, in earlier years.

The business introduced mandatory loss limits in 2018 and has described itself as the first international operator to implement such a measure across all customers. As well as the compulsory cap, customers can set lower voluntary limits.

Daniela Johansson, Deputy CEO and Chief Responsibility Officer at Paf, added: “Completely removing the orange segment going forward is a deliberate and important decision. 

“It is a concrete way of showing that we do not want revenue that is not sustainable over time, especially when our purpose is to contribute to long-term societal benefit.”