Austria Submits Proposed Gambling Law to European Commission for Review

austria-submits-proposed-gambling-law-to-european-commission-for-review

Austria has submitted its proposed gambling law to the European Commission for review. This bill aims to end Austria’s long-running online gambling monopoly and introduce a new licensing system similar to that of other European jurisdictions. It also envisions improved player safeguards and measures against unlicensed wagering.

With Austria’s gambling regulation update now in the hands of the European Commission, the bill will remain on hold for three months to ensure it aligns with EU guidelines. The Commission and other member states can offer comments and suggestions. After this review is complete, Austrian lawmakers can pass the bill into law.

The updated regulations envision a strict licensing regime. Companies wishing to offer online gambling must meet stringent requirements. Crucially, platforms currently active in the country without a license must cease their operations by January 1, 2027. Failure to do so could block them from applying for up to 18 months, giving companies a real incentive to comply with regulations.

Any company applying for a license must first pay all outstanding tax debts and settle unpaid player protection lawsuits. Payment blocking, blacklisting and IP bans will be used against unlicensed entities. These measures aim to channel users towards regulated offerings and away from black market operators. However, it remains to be seen whether the new rules will allow licensed companies to remain competitive.

The land-based sector will also receive an overhaul. The new legislation will limit casino licenses to 13, with the possibility of awarding them in packages. However, any package applications will face extra regulatory scrutiny to ensure a balanced allocation of licenses and minimise competitive pressure between casinos. This transition should complement the changes in the digital sector.

Player safety remains a priority. A new digital system will implement operator-independent deposit limits for gamblers. These thresholds will be lower for people under 27. Slot machines will have special restrictions with a mandatory cooling-off period after 90 minutes of play. For the first time in its history, Austria will also have a centralised exclusion register, encompassing casino, slot machine and online gambling.

Despite these decisive measures, some skepticism remains. Some industry representatives fear that overly restrictive measures could undermine the competitiveness of licensed operators and push customers back toward black-market alternatives. They often point to Germany, which has struggled to curb black-market exposure. Any new regulation must thus carefully balance consumer protections with market competitiveness.

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