New Gambling Reform Targets Online Betting and Tax Evasion

Austria prepares new gambling law with stricter player protection, online gaming rules, and anti-money measures ahead of 2027 license renewals.
APA/DPA-ZENTRALBILD/PETER ENDIG

After years of political wrangling, a solution on gambling regulation is finally taking shape. In the coming weeks, a draft law is expected to be introduced for political discussion. The step is long overdue, as the licenses for lotteries, online gambling, and six casinos are set to expire in 2027. The previous government’s plan to create a dedicated gambling authority failed mainly on one point: the Greens demanded strict player protection measures.

Player protection remains a key issue in the current negotiations. However, the budget spokesmen of the SPÖ and ÖVP, Jan Krainer and Andreas Hanger, appear largely in agreement. Both told the APA they support stronger regulation and robust player protection.

German model

When it comes to player protection, many look to the German model, which uses a central database. Anyone who self-excludes or displays problematic gambling behavior is added to the list and banned from all gambling nationwide. This would prevent people barred by one operator—such as Casinos Austria—from turning to other slot machine providers. However, the system would not apply to international operators without a local license.

The main sticking point remains online gambling. Currently, only Austrian Lotteries hold a license for lotteries and online gaming. Nevertheless, many international operators continue to attract gamblers in Austria. Some of these companies, holding EU licenses from places like Malta or Gibraltar, at least pay taxes and fees. But there are also numerous operators who not only target Austrian customers without a license but also avoid paying any taxes at all.

Technical challenges

Whether the number of licenses will be capped or open-ended will be part of the political debate, according to the budget spokesmen. Several details still need to be worked out. IP blocking—restricting access to unlicensed websites—is technically possible but easy to circumvent. More promising is the concept of payment blocking, where the bank account numbers of unlicensed providers are placed on a blacklist so that no funds can be transferred from Austrian accounts. However, in addition to the technical aspects, the legal framework must be watertight. Coordination with the banking association will be required.

In the first stage, the parties’ budget and finance spokespeople will review the draft law. Once the Council of Ministers has discussed the proposal and political agreement has been reached, Brussels will be notified. After a three-month standstill period, the law could be implemented by the end of the first half of 2026.

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