On Tuesday, Austria’s Ministry of Finance took a significant step by submitting a comprehensive draft overhaul of its gambling laws to the European Commission. This submission triggers a mandatory three-month standstill period before the legislation can be officially enacted.
During this review phase, the Commission has the opportunity to raise concerns regarding state aid or single market regulations, although Austria's parliamentary processes will continue concurrently.
The proposed legislation marks a major transformation in Austria’s gambling framework, focusing primarily on stricter controls for online gambling, enhanced player protections, and a revised licensing and supervision system.
One key element of the draft is the creation of a national exclusion register that will implement self-exclusions and operator-imposed bans across casino gaming, slot machines, and online gambling platforms. This register aims to prevent excluded individuals from evading restrictions by switching between different gambling products or operators.
Additionally, the draft law introduces specific deposit limits for online gambling and slot machines, with particularly lower limits for young adults aged 18 to 26, addressing the demographic perceived as more vulnerable.
It also seeks to reduce maximum stakes and slow down game speeds for slot machines, while requiring a cooling-off break after 90 minutes of continuous gameplay to combat excessive gambling behavior.
Operators will be mandated to assess the addiction potential of their offerings, aiding broader research and policymaking aimed at reducing gambling harm.
The legislation intends to implement open licensing for online gambling operators with transitional rules. Those currently providing services illegally must cease operations by January 1, 2027, to qualify for an immediate license. Failure to comply will result in an 18-month waiting period for applicants—extending to 24 months after 2030. Applicants will also need to settle outstanding tax liabilities and claims from around 20,000 affected players, addressing previous enforcement inadequacies.
The Austrian Betting and Gaming Association (OVWG) expresses skepticism regarding the effectiveness of the transitional measures, suggesting that the illicit market might actually benefit more than the licensed ones, especially Win2Day and legal land-based operators.
To support compliance, the reform includes a digital supervisory platform featuring a central deposit limit that is independent of operators. Additional enforcement tools such as payment blocking and blacklisting aim to curtail illegal operators, thereby directing players towards licensed services.
A stipulation in the law limits the maximum number of casino licenses to 13, potentially allocated in packages to prevent excessive competition and ensure balanced geographical distribution. Former Casinos Austria employee Niklas Sattler argues for individual concessions, believing they would better open the market.
Currently, Casinos Austria retains a monopoly on casinos and advocates for the continuation of package allocations. Sattler projects a tender of one package with six licenses and another with seven, which could enable larger entities like Merkur to enter the market while effectively sidelining smaller operators. "We believe it’s quite unfair," Sattler remarked.
Political analyst Felix Geyer expressed doubts about the issuance of licenses within a year, given Austria's typically slow political processes. He indicated skepticism regarding timing, remarking, "I don’t expect them to begin before the law actually takes effect."
If all proceeds as planned, the market is slated to open in October 2027.
