Public discussions on gambling, alcohol, and rail traffic state monopolies in

What this research is about Finland is one of the last Western European countries What you need to know to retain a state monopoly in the gambling sector. A The researchers compared public discussions in state monopoly is when a government-owned the media regarding the Finnish gambling, alcohol company is the sole provider of a good or service. retail, and rail traffic monopolies during 2014– Opening up the monopoly allows competition from 2017. This period was crucial as there was a shift private companies. Finland also has state monopolies in political power towards more liberal markets in alcohol, retail, and passenger rail traffic. Unlike and competition. Thus, the political context was gambling, parts of these two sectors have been similar in all cases. For alcohol, retail, and rail opened up for competition. The researchers traffic, there was a weakening of the monopolies. compared public discussions in the media regarding In contrast, the gambling monopoly was further the Finnish gambling, alcohol retail, and rail traffic strengthened with the merging of three providers. monopolies from 2014 to 2017. During this period, Public discussions differed between the three there was a change in government, along with a shift cases in terms of how the need for reform was in political power towards more liberal markets. This justified and its solution. The gambling case was period was thus crucial for political negotiations on unique due to the shared financial interests among the future of these three sectors in Finland. all stakeholders to maintain the monopoly.

What the researchers did Presentation of problems with the current rail traffic The researchers searched for media texts from system first appeared in 2015. HS reported the cuts in Helsingin Sanomat (HS). HS is the leading national VR employees and service networks, and its large daily newspaper in the Nordic countries. The search budget deficit. The view was that abolishing the VR covered between September 2014 and October 2017. monopoly was necessary and beneficial. The researchers included news reports, interviews, Criticisms against abolishing the monopoly appeared opinions, short notices and even satire. They found 53 in late 2015 and early 2016. These included texts about rail traffic, 47 about alcohol retail, and 43 maintaining the monopoly could ensure services on about gambling. For each case, they looked at how a even unprofitable routes and avoid dividing national reform to the monopoly was justified and negotiated, wealth. Criticisms came mainly from VR, while the and how it found support in public discussion. government actively promoted the reform. The move What the researchers found to abolish the VR monopoly was justified further during 2017. Justifications drew on economic reasons, Passenger rail traffic such as improved consumer choice and cheaper VR is a government-owned railway company in pricing, as well as environmental issues. A public Finland. The initial push for opening the Finnish rail consensus seemed to be reached for the reform. traffic market came from the European Commission.

Alcohol retail reported that all political parties and beneficiaries agreed on the merger. This suggested CSOs had been In Finland, Alko has monopoly over the selling of assured of the continuation of their funding. More strong alcohol and . Arguments that there were critical comments only appeared after the merger had problems with the current system first appeared in occurred. These comments had little impact by then. 2015. HS reported that the grocery, alcohol, and tourism sectors wanted a relaxation in to How you can use this research compete with private imports from Estonia. The This research could inform researchers, policy- Minister of Industry announced that he would allow makers, and other interested individuals and groups. to be sold in supermarkets to create fairer competition for supermarkets not close to Alko shops. About the researchers

A working group was appointed and presented a draft Virve Marionneau and Matilda Hellman are affiliated proposal in February 2016. However, political parties with the Centre for Research on Addiction, Control, disagreed on the content. Alko voiced concerns about and Governance (CEACG) in the Faculty of Social damage to its profits. Other stakeholders also picked Sciences at the University of in Finland. For up on the discussion. Supporters highlighted that more information about this study, please contact relaxing the law would increase employment and Virve Marionneau at [email protected]. quality of service. The National Institute of Health and Citation Welfare warned about the harm to public health. Marionneau, V., & Hellman, M. (2020). What is special In May 2016, the political parties agreed on a draft about gambling? A comparison of public discourse on legislation. Justifications were mainly in economic Finnish state monopolies in rail traffic, gambling, and terms. In June 2017, the government introduced the alcohol. Critical Gambling Studies, 1(1), 40-49. new alcohol law. The new law permits the selling of https://doi.org/10.29173/cgs43 beverages containing up to 5.5% alcohol in supermarkets. In the alcohol retail case, public Study funding discussion involved strong opposing views. This had Marionneau’s work was funded by the Finnish an impact as alcohol law was relaxed but only slightly. Foundation for Alcohol Studies and the Academy of Finland. Hellman’s work was carried out within her Gambling research group’s (CEACG) cooperation contract with Unlike the VR and Alko cases, the Finnish gambling the Finnish Institute for Welfare and Health. monopoly was strengthened during the studied period. Announcement of the merging of About Gambling Research Exchange (GREO) with RAY and Fintoto occurred in 2015. HS had reported on the benefits and costs of a merger since Gambling Research Exchange (GREO) has partnered 2014. There was a strong public consensus for with the Knowledge Mobilization Unit at York maintaining the monopoly, with the merger being University to produce Research Snapshots. GREO is an seen as the best option. Justifications included independent knowledge translation and exchange meeting the demands of the European Commission organization that aims to eliminate harm from and competing with international providers. gambling. Our goal is to support evidence-informed Consumer protection did not come up until later. decision making in safer gambling policies, standards, and practices. The work we do is intended for Civil society organisations (CSOs) were one of the researchers, policy makers, gambling regulators and main stakeholder groups as they receive funding from operators, and treatment and prevention service gambling proceeds. CSOs were at first critical of the providers. Learn more about GREO by visiting greo.ca merger as a threat to their income. In March 2015, HS or emailing [email protected].

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