MGA: Minimum payout ratio for casino games lowered

Probably the best-known European gambling authority, the Malta Gaming Authority (MGA), announced a few days ago news that was ugly for gamblers. More precisely, the supervisory authority has reduced the minimum payout ratio for online casino games - by seven percent. But what were the reasons for this decision and is playing in online casinos with an MGA license still attractive at all?

MGA RTP Decreasing

Most online casinos still have an EU license from the Malta Gaming Authority (MGA). But the exact development is very difficult to estimate at the moment.

Maltese Gambling Authority cuts payout percentages significantly

The well-known Maltese supervisory authority MGA announced a few days ago that the minimum payout ratio for online casino games will be significantly reduced. With this approach, the aim is to ensure that the payout ratio for online games is just as high as in land-based casinos in Malta.

As a result, it has been decided to reduce the minimum payout ratio in the MGA Casinos from the current 92% to 85%. This means that casino players in online casinos with an MGA license will statistically win less in the future than was previously the case. This is at least the case if the operators were to reduce the RTP value for all games in full. But more on that in a moment.

The Malta Gaming Authority (MGA) is the official supervisory authority for all types of gambling in Malta. The MGA not only regulates online casinos, but also land-based casinos and betting shops, among other things. In the meantime, the online gaming sector has become an important economic factor for the EU state Malta. Currently, 12% of Malta’s GDP is generated in this industry.

Why should the payout ratio be reduced?

The supervisory authority announces that the current decision was preceded by a survey among licensees and other industry representatives. Here it was unanimously decided to reduce the minimum payout ratio. There were several reasons for this decision. Many people feared that the gaming providers would no longer be able to operate profitably in view of the increased taxes and higher costs.

On the other hand, the licensing authority wants to offer providers the flexibility they need to be able to react appropriately to different market conditions and levels of competition. Too high a minimum payout ratio would be counterproductive for this.

Are gamblers losing more now?

The fact is that the minimum payout ratio for all online casino games has now been reduced from 92% to 85%. Before players complain prematurely, they should pay attention to the exact wording. It was not decided that the RTP value (= return-to-player) would have to be reduced by seven percent across the board for all games. The operators of the online casinos only have the theoretical option of reducing the minimum payout value to up to 85%.

Several online casinos have already announced that they will only slightly adjust the payout values ​​downwards, if at all. If they were to reduce the payout quota to the specified minimum value of 85%, this would lead to a massive migration of players to unregulated providers. Of course, this is not in the interests of reputable online casinos.

In addition, the MGA announced that some operators want to use the additional income from a reduced RTP value in order to remain competitive. Therefore, one could imagine trying out new bonus concepts and thereby increasing user satisfaction.

Interested readers can find all current bonus offers in our “Casino Bonus” overview. This includes not only welcome bonuses, but also no deposit bonuses, cashback bonuses, reload bonuses and VIP programs.

Surf tip

Meanwhile, it is still unclear at what point in time the operators of the online casinos will implement the adjustment of the minimum payout percentages. Several gambling companies have already announced that the technical adjustment will take several weeks.

Conclusion

The Malta Gaming Authority (MGA) announced a few days ago that the RTP value for casino games will only be 85% instead of the current 92%. The RTP value describes the proportion of stakes that are paid out to the players in the form of winnings.

Several gaming providers have already announced that they do not want to orientate themselves towards the minimum level of 85% that will soon apply, since with such low payout values the players would migrate to unlicensed providers with higher payout percentages. It will be interesting to see whether the individual player will feel the adjustment of the minimum payout ratio in the coming weeks and months.

8 Comments

  1. I beg your pardon? The providers fear that they will no longer be able to work profitably due to increased costs and taxes?

    I knock myself away, he’s good. I can hardly think of an industry that has such low running costs and, on the other hand, can record such revenues. Even in support there are now only some temporary 400 Euro nix-masters xD …

    But good to know, I’ll be gone then

  2. I don’t think the MGA’s official reasoning that the RTP should only be aligned with the rules for B&M casinos is credible.
    Since B&M casinos have much higher additional costs, it is understandable that the RTP is also lower.

  3. I thought he was 19 percent of the rtp. Seriously, now you don’t get 100 euros no matter where and how.

  4. So…. it means that you can lose a lot more and win a lot less. But that’s nothing new, because nothing has been going on for over 7 months. It’s not since yesterday or anything. Well, I think it’s high time to quit. Gone are the good times where I could cash out a few times in a week. Now I am happy if I can have 20 euros paid out once a month.

  5. Ridiculous and that although 9 out of 10 new slots have high volatility with 20k x + theoretical profit.

    Book of Dead with 85% Rtp … yes then good night at eight

    • So video slots was so gracious to reduce Play’n Go “only” to just under 91% and Netent slots like Starburst are only available with just under 90%. The rest of the providers will certainly follow in the next few days.

    • The thing with high volatility is fundamentally different from what many here estimate. A high volatility only means that your own risk is many times higher than at machines with medium volatility, that you will make a profit. In other words: high volatility = few smaller profits, but if then …
      Low or medium volatility = many smaller profits and the chance of a big hit is significantly lower than with high volatility.

      I think that many people are blinded by the term and slots with high volatility are rather unsuitable for low stake players.

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