MGA lowers minimum RTP percentage to 85% in online slots
Malta Gaming Authoritylowered the existing there Back to player percentage in online niches to 85 percent following an amendment to Article 22 of the Player Protection Directive.
Posted in the ‘Policy Document on Changing the Minimum Return to Player Percentage“, the MGA recognized” the importance of research and evidence-based decision-making “following interjurisdictional analysis and consultation with various operators licensed by the MGA, which led to the reduction of RTP for remote titles.
As a result, Article 22 of the Directive now reads: ‘A B2C licensee offering online games that use a repetitively generated random selection to determine winning combinations to players, in accordance with the way the games offered are designed, will pay on an average of a price amounting to eighty-five percent (85 percent) or more of the money or the value of money wagered, or any higher percentage that may be stipulated by a condition of the license.
The announcement follows a closed consultation that investigated the viability of lowering the percentage of RTP to 85 percent, the same as its ground counterpart. The consultation involved a number of industry players, namely consultants, B2C operators and B2C operators.
According to the report, all respondents “welcomed” the MGA’s proposal to lower RTP, saying different tariffs would be applied to various games and jurisdictions in order to ensure an optimal gaming experience for customers, thereby enabling operators to run their business profitably.
In addition, it was stated that only a specific product could require the RTP to be as low as 85%, but in most cases the RTP would remain above the proposed threshold as market conditions will push the industry to maintain an ‘RTP appropriate standard’.
The MGA also received responses to a series of consultation questions, with operators agreeing that the drop in RTP would have an impact on their competitive position.
Still, one respondent said the proposed change would provide flexibility to operators who would be free to apply higher RTPs, as they wish, depending on market conditions and levels of competition.
Other respondents said that the competitive position would be strengthened by not having significantly fewer games available than other competitors who do not need to meet minimum RTP levels.