Malta objection leaves Austria’s igaming licence race under pressure

Malta objection leaves Austria’s igaming licence race under pressure

The EU delay shortens the window between legislative approval and the launch of Austria’s new licensing framework.

Key takeaways:

  • Malta’s intervention has extended Austria’s EU notification period until December 7, 2026.
  • Austria still aims to launch its reformed gambling market when Win2Day’s licence expires in October 2027.
  • Online operators must cease serving Austrian customers by January 1, 2027 to qualify for future licences.
  • The reforms introduce deposit limits, a national self-exclusion register and new enforcement tools.
  • Up to 13 land-based casino licences will be awarded, with concerns raised about licence package allocations.

Austria’s proposed gambling reforms have been delayed at EU level after Malta triggered an extension of the notification process, pushing the standstill deadline to December 7, 2026. Despite the setback, the Austrian government remains on course to replace the country’s long-standing online gambling monopoly with a licensed competitive market ahead of Win2Day’s licence expiry in October 2027. The reforms would introduce new licensing, compliance and player protection requirements for operators seeking to enter the market.

Austria.- The proposed reforms of gambling regulations in Austria have been held up at the European Union level due to the Maltese government’s intervention in the notification process. The amendments to Austria’s gambling legislation, which are designed to end the country’s online gambling monopoly, had originally been expected to complete the EU notification period on November 5, 2026. However, a detailed opinion submitted by Malta has triggered an automatic extension of the standstill period, pushing the deadline back to December 7, 2026.

While the development reduces the time available before the legislation is scheduled to come into force next year, it’s not expected to significantly disrupt the government’s legislative timetable. That’s caused Malta’s move to raise eyebrows, with some suggesting it might not help Malta-based operators ingratiate themselves with the new Austrian regulator.

Austria’s online casino and lottery monopoly is currently held by Win2Day, a subsidiary of Austrian Lotteries. However, a number of gambling brands continue to serve Austrian consumers through licences granted in other European Union jurisdictions, including Malta.

Austria’s coalition government aims to implement the proposed reforms in time for a market launch in October 2027, when Win2Day’s licence expires. The operator has dominated gambling in the country for almost 60 years. The company is majority-owned by the Austrian state through its holding company ÖBAG, with significant stakes also held by the state-owned bank Österreichische Beteiligungs AG and the gaming group Allwyn (formerly Sazka, part of KKCG).

That domination has faced repeated legal challenges, with various European operators arguing that Austria’s framework breaches EU principles. The European Court of Justice (CJEU) has previously urged Vienna to modernise its approach.

The new draft legislation would introduce an open licensing system for online gambling. Operators would have to meet financial, regulatory, and responsible gambling standards, while a cooling-off period would require companies currently serving Austrian customers illegally to cease operations by January 1, 2027, to be able to qualify for a licence.

Non-compliance would result in an 18-month ban, rising to 24 months from 2030. The Ministry of Finance also estimates that around 20,000 players could receive compensation from unlicensed operators over losses incurred on the grey market. The Austrian Betting and Gaming Association (OVWG) has argued that these transitional rules could fail to channel players into legal offerings, potentially strengthening the black market instead.

The new framework would also introduce regulatory enforcement tools such as payment blocking and network blocking to disrupt illegal services. As for player protection measures, deposit limits will apply to all licensed operators, with lower thresholds for players aged 18–26. A new platform will be created to oversee limits and compliance, and a national self-exclusion register will unify gambling bans across casinos, slot venues and online platforms.

New rules for slot machine rules will lower maximum stakes and game speeds and introduce a 90-minute cooling-off period after continuous play.

Meanwhile, up to 13 land-based casino licences would be available. These would be allocated in packages, which has sparked complaints from would-be smaller market entrants as the licences are likely to be split between a couple of large operators. The government says the aim is to avoid what it terms excessive competition.

FAQs

Why has Austria’s gambling reform been delayed?

The delay was triggered after Malta submitted a detailed opinion during the European Union notification process, automatically extending the standstill period until December 7, 2026.

When will Austria’s online gambling monopoly end?

The government plans to implement the new framework in time for a market launch in October 2027, when Win2Day’s current licence expires.

What is Austria’s cooling-off period for online gambling operators?

Operators currently serving Austrian customers must stop offering services by January 1, 2027 to become eligible for a future Austrian licence under the proposed rules.

What player protection measures are included in the reforms?

The proposals include deposit limits, lower thresholds for players aged 18 to 26, a national self-exclusion register, payment and network blocking measures, and new restrictions on slot machine play.

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gambling legislation gambling regulation online gambling