iGaming Business – The European Commission has initiated legal action against Sweden after ruling that the country has failed to change rules on online betting and poker games that the organisation claims breach European Union (EU) law on the free movement of services.

The Reuters news agency reports that the EU’s executive referred Sweden to the continent’s highest court in two separate cases related to its restriction of gambling licences to domestic and state-owned operators only.

Sweden only grants licences to national operators and state-owned entities – an approach that the Commission claims conflicts with EU rules on the free movement of services.

“Sweden is referred to the Court of Justice for imposing restrictions on the organisation and promotion of online betting services in a way which is inconsistent with EU law,” the Commission said.

“Changes to the Swedish gambling law in order to make it compliant with EU law have long been envisaged but never implemented.”