Industry association warns that adding EU levy to existing national gambling taxes would create competitive advantage for unlicensed operators.
Apr 16, 2026 · 6 min read
The European Gaming and Betting Association (EGBA) has issued a stark warning against a potential EU-wide levy on online gambling, arguing such a measure would strengthen illegal operators while undermining both consumer protection and member state tax revenues.
The Brussels-based trade body's statement follows yesterday's vote by the European Parliament's Budget Committee on its opinion regarding the EU's next long-term budget framework. The committee identified several potential new direct revenue streams for the Multiannual Financial Framework (MFF) covering 2028-2034, including a levy specifically targeting online gambling operations.
EGBA contends that implementing an EU online gambling levy would face insurmountable structural challenges. The association points to the absence of harmonised gambling regulation at EU level and questions the legal basis for defining, administering, or collecting such a levy across member states.
"Today's 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."
— Maarten Haijer, Secretary General of EGBA
The proposal would require unanimous agreement from all 27 Member States acting through the EU Council before any EU own resource could be established. This high threshold reflects the sensitivity of taxation matters within the bloc's governance structure.
EGBA's primary concern centers on competitive dynamics between licensed and unlicensed operators. The association argues that adding another layer of taxation to existing national gambling taxes – which already exceed 50% of gross gaming revenue in some Member States – would create an unsustainable burden for compliant operators.
"Because they pay no tax, illegal operators can already offer players more attractive products and prices without any of the consumer safeguards that licensed operators provide. Adding an EU levy would make this situation even worse: expanding the black market, harming consumer protection for EU citizens, and reducing overall tax revenues for Member States."
— Maarten Haijer, Secretary General of EGBA
The warning highlights a persistent challenge in gambling regulation: balancing revenue generation with market integrity. Unlicensed operators, operating outside regulatory frameworks, can already undercut licensed competitors by avoiding tax obligations and compliance costs.
50%+
Maximum national gambling tax rates on GGR in some EU states
27
EU Member States required for unanimous levy approval
321
Total gambling licences held by EGBA members
21
European countries where EGBA members operate
30%
Share of European online gambling GGR represented by EGBA members
The European Parliament is expected to vote on the Budget Committee's opinion at its plenary session in late April. This vote will determine whether the parliament formally endorses exploring new revenue mechanisms for the EU budget.
Following the parliamentary vote, formal MFF negotiations will commence between EU institutions and member states. These complex discussions are expected to conclude by the end of 2026, establishing the financial framework that will govern EU spending for the subsequent budget period.
Tracking EU Legislative Developments
Gambling operators should monitor both the April European Parliament plenary vote and subsequent MFF negotiations through official EU channels. Key documents include Budget Committee amendments, Council working party reports, and trilogue negotiation outcomes. Consider engaging with national gambling associations who often coordinate industry responses to EU-level proposals affecting the sector.
EGBA represents leading online gambling operators that collectively hold 321 licences across 21 European countries. Each licence carries distinct compliance requirements, reflecting the fragmented regulatory landscape that would complicate any EU-wide levy implementation.
The association's members account for approximately 30% of Europe's online gambling gross gaming revenue, demonstrating the sector's significant economic contribution. Beyond mandatory licensing requirements, EGBA members adhere to additional industry standards covering responsible advertising, anti-money laundering, and player protection.
The organisation also coordinates the annual European Safer Gambling Week, bringing together industry stakeholders to promote safe and sustainable gambling practices.
EU Own Resources Mechanism
The EU's 'own resources' system currently relies on customs duties, VAT-based contributions, and GNI-based payments from member states. Previous attempts to create new own resources have included proposals for digital services taxes, carbon border adjustments, and financial transaction levies. Any gambling levy would require Treaty-based legal foundation and detailed collection mechanisms coordinated through national tax authorities.
The debate over an EU gambling levy underscores broader tensions between revenue needs and regulatory effectiveness in the digital economy. While the Budget Committee's opinion represents an early exploration rather than concrete policy, it signals growing interest in capturing digital gambling revenues at the supranational level.
For operators, the proposal adds regulatory uncertainty to an already complex compliance landscape. Licensed operators must navigate varying national frameworks while competing against unlicensed alternatives that sidestep both taxation and consumer protection obligations. The unanimous consent requirement for any EU own resource suggests member states will carefully weigh potential revenue benefits against risks of market disruption and reduced national tax collection. The outcome will likely depend on whether policymakers prioritise EU budget enhancement over market integrity and consumer protection concerns.
Currently none exists, as gambling regulation remains under national competence. Any EU gambling levy would require Treaty-based legal foundation and unanimous approval from all 27 member states through new own resources legislation.
The levy would operate in addition to existing national gambling taxes, which already exceed 50% of gross gaming revenue in some countries. Licensed operators would face a compound tax burden while unlicensed competitors remain exempt from both national and EU obligations.
The earliest implementation would follow completion of MFF negotiations by end-2026, meaning any levy would apply to the 2028-2034 budget period. However, additional years would be needed to establish collection mechanisms and legal frameworks across member states.
According to EGBA.
Written by
Viktoriia KononovaContent Partnership Manager
Viktoriia has been with We–Right™ Factory since 2022, managing content partnerships across regulated iGaming markets. With a copywriting background, she understands both the creative and compliance sides of iGaming content production. On the blog, Viktoriia writes about responsible gambling content, regulatory alignment, and practical challenges of producing content for multiple jurisdictions.
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