Dutch gaming sector sounds warning over decline in tax revenues
Industry group urges lawmakers to conduct a review of the Dutch gambling tax framework.
The Netherlands.- Industry representatives have sounded a note of alarm over the decline in tax revenue generated by gambling in the Netherlands. They’re calling on lawmakers to conduct a review of the tax framework and present findings to Parliament by the second quarter.
The warning was made in a letter co-signed by the trade associations VNLOK and VAN, the Netherlands Lottery and Holland Casino. They warn that gambling tax revenues fell by €43.5m in 2025 compared with 2024.
The decline follows the increase in the tax rate at the start of last year. The authors also suggest that higher gambling tax rate has contributed to casino closures and a surge in unlicensed gambling activity.
Decided under the previous government in mid-2024, the rise in the Dutch gambling tax rate was introduced in two phases. The rate rose to 34.2 per cent of gross gaming revenue (GGR) from January 2025 and has since risen further to 37.8 per cent as of January 2026.
The Dutch gambling regulator, the KSA, has itself raised concerns about the decline in tax revenue, suggesting that the higher rate may have been counterproductive.
The new joint letter warns that the tax hike has pushed players towards the black market, undermining consumer safeguards and reducing funding for sports and charities. “The measure has undesirable effects on player protection, illegal supply and the financing of sport and charities,” the letter states.
The government’s tax committee is scheduled to hold a debate on March 12. The letter says that future tax policy should take into account “the relationship between tax burden, illegal supply, player protection and contributions”.
However, the Netherlands’ new coalition government of D66, the Christian Democrats and the VVD has not shown signs of willingness to revisit the tax change. The coalition has pledged a tougher stance on gambling, including the proposal for a full ban on online gambling advertising in the Netherlands.
