The European Gaming and Betting Association (EGBA) has issued a stern warning against recent attempts to implement a unified online gambling tax across the European Union.
The trade body argues that such a levy would be “fundamentally unworkable” and would inadvertently strengthen the position of unlicensed, illegal operators while reducing total tax revenue for individual member states.
The Multi-Billion Euro Proposal
The debate intensified this week during a Budget Committee meeting of the European Parliament. Discussions focused on the EU’s long-term Multiannual Financial Framework (MFF) for 2028–2034.
A proposal originally introduced by MEP Victor Negrescu suggests that an EU-wide online gambling tax could raise as much as €28 billion over the budget period, or approximately €2–€4 billion annually. The proposal has already gained the support of twenty MEPs.
The “Unworkable” Reality of Double Taxation
In the warning, the EGBA maintains that adding an EU-level fee on top of existing national gambling taxes, which in some jurisdictions already exceed 50%, would drive consumers away from the regulated market.
EGBA Secretary General Maarten Haijer was vocal about the lack of legal foundation for the move:
“There is no legal foundation for defining, setting, or collecting such a fee because gaming regulations are not set on the EU level. Setting aside these legal obligations, adding yet another tax on top of the existing national taxes… would only potentially benefit unlicensed operators.”
Haijer further noted that illegal operators, who pay no tax and disregard player protections, would be able to offer more “attractive products and prices” to users, essentially being the only winners in this scenario.
The Decision-Making Roadmap
While the Budget Committee approved the initial report with 26 votes in favor and 9 against, the process is far from complete. The EU Council must reach an unanimous decision for any new revenue source to be enacted.
The European Parliament is scheduled to vote on the Committee’s opinion in late April, with formal MFF negotiations expected to conclude in late 2026. Until then, the industry remains in a state of high alert over potential fiscal overreach.
