Hungarian gambling authority prepares market expansion

As part of Hungary’s gambling liberalization, the country’s Regulatory Supervisory Authority (SZTFH) has established technical criteria for the recently opened gambling market. The decree introduces new agency-level legislation and stipulates requirements for operators looking to enter the market.

To obtain authorization from SZTFH to operate online gambling in Hungary, operators must demonstrate a minimum of five years of experience in licensed online gaming within a European Economic Area state. The decree prohibits licensing operators that have provided unlicensed gaming within the five years preceding their application.

Fees and taxes for Hungarian gambling licenses

The fee for Hungarian gambling licenses (the online segment) is set at HUF600 million (€1.57 million). Applicants must pay an application fee of HUF10 million. Additionally, operators must pay a supervision fee equal to 2.5% of gross gambling revenue, capped at HUF10 million. Gaming tax is established at 15% of gross gambling revenue. Operators must also maintain a share capital of at least HUF1 billion.

Hungary’s state gambling monopoly ended on January 1, following an amendment to the country’s Gambling Act in February 2022. The amendment introduces a competitive licensing process after the European Union Court of Justice ruled in 2017 that the monopoly system was inconsistent with EU law. Players can now maintain balances with multiple operators.

However, SZTFH has only granted a license to former monopoly Szerencsejáték Zrt, which operates Three land-based casinos hold permission to offer online casino services via a tethered license. As of the current Hungarian gambling regulatory landscape, no foreign operators have been approved yet.

The new decree permits early cash-outs and introduces a responsible gambling feature requiring operators to “clearly inform players of the increased risk of excessive gambling and addiction associated with using this function.” This information must be displayed in the same font size as promotional text.

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