Operator News
Sweden now likely to close its last remaining casino
By Phil - 8 May 2024
The Swedish government is considering closing down the country’s last land-based casino Casino Cosmopol in Stockholm saying it ‘will be phased out as it no longer fulfills its purpose.’
The government has presented a memorandum with proposals for a change in the law that means that land-based casino Casino Cosmopol would close having failed in its challenge to achieve profitability and the fact that a liquidation is not expected to have any major impact on illegal gambling.
The government-owned gambling entity and operator of the casino, Svenska Spel, said it shares the Government’s assessment of the conditions for the business and that there is no possibility of achieving profitability. The amendment is proposed to enter into force on January 1 2026. Casino Cosmopol in Stockholm will remain open as usual until further notice.
For several years, Casino Cosmopol has had declining profitability and visitor numbers as more and more people choose to play online, not least when it comes to games at online casinos. To limit losses, Svenska Spel closed the casino in Sundsvall in 2020, followed by Casino Cosmopol in Gothenburg and Malmö, which closed in February 2024. Of the four original casinos, only Casino Cosmopol in Stockholm remains.
Erik Strand, President and CEO of Svenska Spel, said: “We share the assessment that it is no longer possible to operate Casino Cosmopol profitably. The shift from gambling at land-based casinos to online gambling accelerated after the re-regulation of the gaming market in 2019 and the subsequent pandemic, when Casino Cosmopol was closed. Our review of Casino Cosmopol has taken place in close dialogue with our owner.”
The legislative amendment proposed by the government aims to remove the form of gambling at a casino from the license type state gaming. As a result, Svenska Spel will no longer be allowed to provide games at a casino in Sweden. The remaining casino that is currently operated by Casino Cosmopol in Stockholm would then be closed, which would affect about 200 employees.
Ola Enquist, CEO of Casino Cosmopol, added: “Although we share the government’s assessment, it is emotional to read the bill. If adopted, it means that our last casino will close and that an era will be over. Of course, this affects all of us who work at Casino Cosmopol. As an employer, we will do everything we can to support our employees. We will also be open as usual and continue to take care of our guests.”
