In a significant move to address child poverty in the UK, 101 Labour MPs have signed a letter urging Prime Minister Keir Starmer’s government to introduce a gambling tax hike. This collective push aims to levy taxes on harmful online gambling products, with funds intended to abolish the controversial two-child benefit cap. This proposal has garnered notable backing, including from former Prime Minister Gordon Brown, who estimates that an increase in remote gaming duty, slot machine games duty, and general betting duty could generate around £3.2 billion in revenue.
However, this push for higher taxes has created a rift within the industry. The Betting and Gaming Council, representing significant stakeholders in the sector, argues that such tax hikes could jeopardize jobs and investment, potentially driving players to the black market. They warn of unintended consequences, emphasizing that the increased financial burden could undermine the regulated market’s stability. Conversely, the Liberal Democrats have openly embraced the idea of a gambling tax rise as part of their policy platform, underscoring the political momentum behind this issue.
In Sweden, significant legal amendments are on the horizon for the gambling industry. Investigator Marcus Isgren has proposed changes to the Swedish Gambling Act that aim to expand the definition of illegal gambling operators by removing the “directional criterion.” Currently, the law applies only to online games targeting the Swedish market, creating enforcement hurdles. Isgren’s recommendation focuses instead on whether individuals in Sweden can access these gaming offers, necessitating preventative measures from companies to block Swedish participation.
Scheduled to take effect on January 1, 2027, these amendments aim to effectively exclude unlicensed gambling and enhance consumer protection. Svenska Spel, a state-controlled operator, supports the proposals, emphasizing the importance of maintaining market integrity and consumer security. The changes also propose broadening the ban on promoting illegal gambling to include payment solutions, introducing a presumption rule for payment mediators as a preventative measure against illicit activities.
Meanwhile, the Dutch gambling regulator, Kansspelautoriteit (KSA), is poised to investigate the influence of “behavioural control” strategies employed by online gambling operators. The KSA’s research will focus on improving the duty of care among providers and may lead to stricter guidelines. Positive examples of control include offering players feedback and break opportunities, whereas negative control tactics, such as allowing new players to place high bets easily, are under scrutiny. KSA Chairman Michel Groothuizen highlighted the necessity of understanding these techniques better and exploring stricter guidelines to limit negative impacts on players.
Proposed gambling reforms in the Netherlands, such as raising the minimum age for online casino gaming and introducing mandatory financial tests for players, face uncertainty following Teun Struycken’s resignation. Yet, the KSA’s commitment to investigating behavioural control techniques signifies a continued effort to refine regulatory frameworks and protect consumers.
In Latvia, the government is advancing plans to integrate the Lottery and Gambling Supervision Inspectorate with the State Revenue Service by April 1, 2026. This merger aims to streamline regulatory operations, enhance financial oversight, and centralize functions like licensing and tax administration. Additionally, gambling tax rates are set to increase from January 1, 2026, targeting physical gaming machines and table games with higher fees. Revenue-based taxes for telephone-based games, betting, and online gambling will also see rises.
The Latvian government projects these changes will generate an additional €9.2 million, contributing to a broader goal of increasing annual revenue by €565 million. Funds will be earmarked for national security, family welfare, and education, reflecting a strategic effort to leverage gambling taxes for societal benefits.
Back in the UK, the Liberal Democrats are advocating for substantial changes to gambling regulation. Their reform proposals include doubling the tax rate on online gambling and imposing stricter advertising controls. They also push for establishing a Gambling Ombudsman, regulating loot boxes in video games, and granting local councils greater authority over gambling venue regulation. The party underscores the need for affordability checks and public health considerations, aiming to mitigate gambling’s adverse societal impacts and provide support for affected individuals.
Despite industry concerns over potential policy changes and financial implications, the Liberal Democrats remain resolute in prioritizing public safety over industry profits. Even as the gambling sector navigates potential challenges, the discourse surrounding regulation and taxation continues to evolve, reflecting wider societal and political priorities aimed at responsible industry practices and consumer protection.
This multifaceted global perspective on gambling regulation highlights the diverse approaches and challenges faced by nations in balancing economic interests with societal welfare, consumer protection, and market integrity. As countries like the UK, Sweden, the Netherlands, and Latvia pursue adjustments to their gambling laws, the industry remains at a crossroad, navigating the interplay between regulatory evolution and financial sustainability.
Garry Sputnim is a seasoned journalist and storyteller with over a decade of experience in the trenches of global news. With a keen eye for uncovering stories that resonate, Alex has reported from over 30 countries, bringing light to untold narratives and the human faces behind the headlines. Specializing in investigative journalism, Garry has a knack for technology and social justice issues, weaving compelling narratives that bridge tech and humanity. Outside the newsroom, Garry is an avid rock climber and podcast host, exploring stories of resilience and innovation.
