The retail gambling sector in Italy is facing an urgent situation with its concessions set to expire in just ten weeks and no reform on the horizon. Operators are now pushing for immediate assistance to maintain operations.
Concessions covering betting, bingo, AWPs, and VLTs are due to end on December 31, 2026. A decree intended to reorganize the land-based market and outline terms for new tenders was put on hold in August, missing the government’s deadline of August 29. As a result, another extension is likely, leaving the gambling network stagnant.
In light of these delays, AGSI (Associazione Gestori Scommesse Italia) is advocating for temporary measures to support gaming machines, horse racing, and sports betting until new tenders can be issued. "Gaming machines, horse racing and betting cannot wait three years," stated AGSI president Pasquale Chiacchio in an interview with the Italian trade outlet Jamma.
Meanwhile, a stark disparity is emerging between Italy’s online and retail gambling sectors. The online sector is operating under a new concession framework, with additional regulations set to come into effect on November 13. Conversely, the retail sector, still comprising approximately three-quarters of a market valued at over €21 billion, has yet to commence its long-awaited reform.
At the SBC Summit in Lisbon last month, Quirino Mancini, co-founder of IMGL, expressed skepticism around any government willingness to address retail reorganization ahead of Italy’s upcoming general elections. "Gambling is a very sensitive issue," he remarked, attributing the stagnation of reform to political rather than regulatory hurdles.
This stagnation directly affects operators. Davide Diodato, CEO of HBG Online, owned by Novomatic, highlighted the challenges posed by the differences in licensing; while online licenses are valid for nine years, retail concessions continue to be renewed annually, complicating investment and hiring decisions for shopkeepers.
Chiacchio also noted a trend where customers are gravitating toward online gaming, which offers around-the-clock access to a variety of products and promotions. Retail shops, meanwhile, are constrained by strict distance regulations, limited hours of operation, and extensive permit requirements. As a result, commercial investments are shifting online, leaving retail shops to grapple with escalating costs and diminishing revenue.
This decline is reflected in tax receipts; total gaming tax revenue fell 6.3% to €3.64 billion in the first half of 2026, as reported by the Ministry of Economy and Finance.
In its proposal, AGSI seeks to utilize the transition period to enhance the appeal of retail shops by introducing new products through agencies and authorized outlets. Chiacchio cited the 1998-1999 trial that integrated sports betting into horse racing agencies as a successful precedent.
AGSI also calls for the establishment of a consultation table involving government, institutions, and industry representatives to initiate drafting of tender regulations. It advocates for rules that would allow small and medium-sized businesses to compete alongside larger firms and promote a more equitable national network with adequately trained staff, referencing a regional law in Campania as a potential model.
Chiacchio warned that a shrinking legal sector would play into the hands of illegal operators, arguing that enforcement should prioritize tackling the black market rather than imposing additional restrictions on licensed shops.
The frustration extends beyond AGSI; AGIC, which includes members like Flutter, Lottomatica, Entain, and Bet365, has voiced concerns about repeated extensions that have left the retail market in a state of uncertainty for nearly a decade.
