Italy's government has approved a draft of the 2027 Budget Law, projecting that gambling will generate €700 million in tax revenue. This estimate is notably lower than previous forecasts, which ranged from €400 million to €1 billion. The revenue from gambling is intended to finance a broader strategy costing €26 billion in 2027 and €27 billion in 2028. However, the budget must still receive parliamentary approval, and the specific methods for generating this gambling revenue remain unspecified.
The new budget does not propose a new tender for the Gratta e Vinci scratch-card concession, which is set to expire in September 2028. The government is currently deliberating whether to organize a new tender or extend the existing concession with a compensation agreement.
Progress on restructuring Italy's brick-and-mortar gambling sector has been gradual. The customs and monopolies agency has been tasked with extending retail licenses until the end of 2028, indicating that a permanent resolution may not be imminent.
Additionally, the budget arrives as Italy's online gambling market adjusts to a new regulatory framework that was implemented in November 2025. In this context, Flutter Entertainment is closing its Betfair operations in Italy, while it continues to support its other local brands, such as Sisal, Snai, PokerStars, and tombola.
The government has yet to clarify which gambling products or taxes will face increased costs. Possible measures under consideration include raising taxes on gaming machines and increasing fees for concession extensions, but specifics will emerge as the budget moves through parliamentary discussions.
