Austria Nears Major Online Gambling Reform
Austria’s online gambling sector, long criticised for its rigid monopoly structure, appears poised for meaningful change as industry groups signal that long-delayed reform proposals may finally be imminent.
After months of political drift, stakeholders say the Ministry of Finance is now on the verge of unveiling a long-anticipated draft, raising hopes that Austria’s single-licence online model could soon be restructured.
Reform momentum accelerates as 2027 deadlines loom
A series of critical licence expiries in 2027 has intensified the pressure for legislative clarity.
Austria’s gambling system currently hinges on a single online and lottery licence held by Win2day under Austrian Lotteries, alongside 12 land-based casino concessions operated by Casinos Austria. The state, through holding company ÖBAG, remains a major stakeholder, ensuring government influence across digital and land-based gaming.
Political momentum for reform gained traction after the ÖVP, NEOS and SPÖ struck a coalition deal earlier this year. Their agreement referenced further development of the monopoly, a phrase many interpreted as a signal toward liberalisation. Senior officials have since voiced support for opening the online market particularly with the Win2day licence set to expire in 2027.
OVWG president Simon Priglinger-Simader told iGaming Business that the draft “should only be days away”, adding that cross-party signals toward licensing reform have been increasingly positive.
Coalition negotiations expected to shape the new regime
The Finance Ministry’s draft will formally initiate negotiations among the three coalition parties.
If talks progress smoothly, a full legislative proposal could be finalised early next year, potentially entering force by the summer. Such a reform would resolve a long-running dispute over the legality of Austria’s monopoly, a model that has repeatedly attracted criticism from the European Court of Justice.
Priglinger-Simader noted that Austria now appears “closer to online gambling reform than at any time in the past decade”, after years of political stalemate.
2027 tender pressure intensifies the need for swift action
Austrian gaming lawyer Arthur Stadler emphasises that timing is now a critical factor. Six land-based concessions and the sole online licence expire in 2027, while the remaining six end in 2030 creating a compressed and legally complicated tender cycle.
Given that tendering usually requires around two years, Austria must accelerate decisions or risk regulatory uncertainty. Financial pressures add to the urgency: since taking office in March, the coalition has increased online gambling taxes from 40% to 45% and raised sports betting duties from 2% to 5%.
OVWG warns that such tax levels could undermine channelisation. German research suggests that each percentage point above 30% triggers a 1% shift toward the unlicensed market.
Draft proposals expected to redefine market structure
Channelisation, licensing volume and market design are now central topics.
Stadler highlights Austria’s weak channelisation record, noting that even as the only legal operator, Austrian Lotteries has struggled to attract online players. This raises compliance concerns under EU competition rules.
The ministry has not confirmed how many licences may be issued. Options include an uncapped system, a limited number of licences, or a structure with high technical thresholds to restrict entry. Germany’s abandoned licence cap is frequently cited as an example to avoid.
Player protection and enforcement expected to take centre stage
Stakeholders anticipate that new proposals will significantly expand responsible gambling and enforcement measures.
The coalition agreement includes IP and payment blocking, although these must align with EU law. Priglinger-Simader argues that Austria must modernise its player-protection framework, which is still tied to outdated provisions in the Gambling Act.
Austria’s delayed reform process may allow it to adopt proven regulatory models from nearby markets. Stadler notes that there is “no justification for a trial-and-error period”.
Market transformation gathers pace as regulatory clarity approaches
The question of an independent gambling authority remains unresolved. Although oversight issues within Casinos Austria have been partially addressed, industry groups continue to push for a regulator independent of state-owned operators. Creating such a body, however, would likely require years.
With tenders expected to open next summer, completing the process before autumn 2027 appears unrealistic. Der Standard reports that the ministry is exploring a one-year extension to 2028, which is permitted under current law.
Even with delays, industry consensus is growing: Austria is closer to a meaningful restructuring of its gambling market than it has been in years.
The key question now is whether operators domestic and international are preparing for the possibility of entering Austria’s online market under a newly liberalised regime.
