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EGBA warns EU gambling levy could boost illegal gambling

EGBA argues that introducing an EU-level online gambling levy on top of existing national gambling taxes would be fundamentally unworkable.

1 min read
EGBAWarningLevy
Key Points
EU lawmakers are exploring an online gambling levy as a possible new revenue source for the 2028 - 2034 budget
EGBA warns the levy could backfire by pushing players toward illegal gambling operators
The association argues it would be impractical and legally difficult, especially alongside already high national gambling taxes

The European Gaming and Betting Association (EGBA) has warned that a potential EU online betting levy could benefit illegal operators.

In a vote on its opinion regarding the EU’s next long-term budget (the Multiannual Financial Framework for 2028–2034), the European Parliament’s Budget Committee identified several possible new sources of direct EU revenue, including a proposed levy on online gambling.

EGBA asserts that implementing an EU online gambling levy, in addition to existing national gambling taxes, would be fundamentally unfeasible.

Maarten Haijer, Secretary General of EGBA, stated: “Vote is a tentative, conditional call on Member States to explore the idea of an EU online gambling levy. It is neither a proposal nor a decision. Gambling is currently not harmonised at EU level and there is no legal basis to define, administer or collect such a levy.

“Setting aside these legal obstacles, adding yet another levy on top of existing national taxes – in a sector where licensed operators in some Member States are already taxed at rates exceeding 50% of gross gaming revenue – would only have one winner: illegal operators.”

Any new taxation framework would require unanimous approval from EU member states, which have historically been hesitant to support EU-wide tax initiatives.

The European Parliament is anticipated to vote on the Committee's opinion during its plenary session in late April. After this, formal negotiations on the MFF will commence, with an expected conclusion by the end of 2026.

The EU is currently facing one of its biggest funding challenges regarding the 2028-2034 budget, which has been set at €2trn ($2.3trn).

Other developments in the EU gambling market include a new European Anti-Money Laundering Authority (AMLA) framework, which is set to be gradually implemented starting on July 10, 2027.

Good to know

EGBA members collectively hold 321 online gambling licences and generate around 30% of Europe’s gross gaming revenue

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