Dutch gambling regulator aims to keep lid on unlicensed slots amid casino closures
The KSA has warned that it will be monitoring for illegal slot machines.
The Netherlands.- The Dutch gambling regulator Kansspelautoriteit (KSA) has issued a warning regarding the unauthorised distribution of slot machines amid a spate of land-based casino closures. It said it was monitoring the situation closely and working with Regional and National Information and Expertise Centres (RIEC) and police to address unlawful slot machine use. This led to a recent police raid on an illegal casino in Hoogeveen.
Operating a slot machine in a physical venue in the Netherlands requires a licence from the KSA to vouch for adherence to regulatory standards. However, the regulator is concerned that there may be a rise in unlicensed machines due to several closures of licensed land-based casinos and gaming arcades .
The state-owned operator Holland Casino has closed its Zandvoort casino and reduced opening hours at its Rotterdam and Amsterdam West venues. Meanwhile, JVH Gaming has announced plans to shut 25 of its 87 gambling arcades, which could possibly see the complete closure of its Flamingo Casino brand.
The KSA recognised that gaming machines may be sold, but warned: “it is important that buyers do not operate these slot machines without the necessary permits.”
The casino closures in the Netherlands have been linked to the phased increase in gambling tax that began this year. The rate charged on gross gaming revenue (GGR) has risen from from 30.5 to 34.2 per cent and will rise further increase to 37.8 per cent next year.
The government argues that the extra tax revenue will help mitigate gambling-related harms, but Holland Casino CEO Petra de Ruiter has voiced “serious doubts” about the company’s sustainability after it reported a 4.1 per cent drop in revenue and a €10.5m net loss in 2024.
Holland Casino reported €784m in revenue for 2024, down from €817m in 2023. What’s most worrying is that the decline was mainly seen online, where revenue fell from €116m in 2023 to €85m. Land-based gambling actually held steady, with visitation rising slightly to 5.2 million. However, a pre-tax loss of €1.3m compares to a profit of €32m in the prior year, reflecting increased costs as well as the drop in revenue.
