3 - 9 August 2000

Ireland's first internet bookmaker to relocate to Malta

by David Kelleher

Ireland's first internet bookmaker, Luvbet.com, is to relocate to Malta after receiving a licence from the Maltese authorities.

Speaking to The Malta Business Weekly, Gary O'Halloran, managing director of O'Halloran Bookmakers, said the company was very pleased that they were coming to Malta.

"We are extremely satisfied and look forward to setting up operations in Malta. Malta is a beautiful place to be, away from your own country. There are so many characteristics that make this island so attractive. The people, the culture, the facilities, the weather. We are simply so pleased to be here," Mr O'Halloran said, from his office in Cork, Ireland.

He added that his company was very grateful to the Maltese authorities for all the help given to them. He said that the island was in an excellent position to become one of the top offshore locations for online betting companies.

"As the number of offshore companies increases, so does the competition. However, I feel that Malta has fixed itself into a competitive place in the international market. Bearing this in mind, we believe that coming to Malta will put us in the perfect position to compete on the world stage," Mr O'Halloran told The Malta Business Weekly.

Asked what other factors had influenced O'Halloran Bookmaker's decision, he said that the infrastructure was commendable and the island had good quality internet access.

"All these qualities contributed towards our final decision. We are very satisfied... very satisfied with the assistance given to us," he added. The move follows the Irish government's indication, in May, that there were no plans to reduce the current betting tax of 5.3 per cent, which luvbet has been absorbing while offering tax-free bets to punters.

With the betting tax in Malta at 0.5 per cent, the island was an obvious choice.

"The Irish government has refused to budge and reduce the tax rate. This would offer us a better deal. Since nothing has been done to help us, we had no alternative but to look for an offshore location. We needed better facilities for this new medium of betting and Malta gave them to us," Mr O'Halloran said.

"As things are, we are not able to compete internationally, but as soon as we begin operating in Malta, we will be on level ground with all the others," he added.

Commenting on the general trend in online gambling, Mr O'Halloran said that the market was still in its infancy but there would be significant developments in the next few years.

"With the advent of digital television and even more televised sporting events, the betting industry will experience a huge global activity. I am sure that Malta will play a central role in the conduct of such business.

"Also, the Maltese market is very well regulated and this will provide a lot of comfort to our clients all over the world," Mr O'Halloran said. Luvbet.com was licensed by PKFMalta.