The Netherlands Gaming Authority has revealed the negative impact of recent tax increases and safer gambling policies on the regulated market.
On 1 October 2024, measures came into force in the Dutch market with the aim of ‘protecting consumers from the risks of online gambling’. A monthly deposit limit of €350 came into force for new gamblers and €150 for young gamblers up to the age of 24.
For players depositing more than €700 (younger players €300), gambling operators must conduct an affordability check on the player’s finances, or block further deposits for the rest of the month.
This was followed by a tax hike in January, which increased the gross gaming revenue tax from 30.5 per cent to 34.2 per cent for both land-based and online gaming. This is due to rise to 37.8 per cent on 1 January 2026.
In its assessment of the impact of these changes, which was released yesterday (5 August), Dutch gambling regulator Kansspelautoriteit (KSA) said the objective of increasing government revenue through a higher gambling tax has not been achieved.
The KSA said that due to various developments, the gross gaming revenue of both the online and land-based markets has decreased, meaning that despite the increase in gambling tax, tax revenue fell in the first half of 2025.
The regulator explained that it has seen an acceleration in the number of land-based gaming venues that are closing, with the total number of venues decreasing by 9 per cent sequentially in the first quarter of 2025. This compares to a past-five-year average rate of decline of 6 per cent annually.
Leading land-based operator JVH gaming said in December that it would close 23 of its 87 gaming venues in response to the tax increase.
“The GGR has also decreased in the online market, partly due to the introduction of various measures such as the Responsible Play Policy Rule 2024 and the Regulation on Play Limits and More Conscious Playing Behaviour,” added the KSA.
“Still, the online market seems to have slightly more room to absorb the decline in the GGR than land-based providers. This is because they have more opportunities to adjust rates of return and reduce other costs.”
The regulator noted, however, that the player protection measures introduced in October had caused a 29 per cent drop in stakes on online slots in the first quarter of this year.
Michel Groothuizen, chairman of KSA, commented: “The measures we have taken to offer players more protection have made it financially more difficult for providers. This has led to a decrease in the GGR for the entire market. As a result, gambling tax revenues have also decreased.
“The KSA already indicated before the introduction of the gambling tax increase that this would be the effect. A financially driven measure such as gambling tax is contrary to the policy objective of providing players with more protection. If we want to be able to offer players a protected game environment in the future, that presupposes serious responsible providers, a financially sound legal market is essential.”