Estonia Prepares to Revise Gambling Legislation

Estonia Prepares to Revise Gambling Legislation

The Estonian Ministry of Finance has confirmed plans to introduce amendments to the 2008 Gambling Act, with a draft version expected to be presented for review by mid-2025. These proposed modifications will address specific regulatory aspects rather than impose more restrictive gambling laws. Rainer Osanik, head of financial policies and intelligence, is leading the revision process and is expected to be implemented in the first half of 2026.

One of the key aspects of the proposed amendments involves the evaluation of online gambling mechanics and incentive structures. Discussions within the Economic Affairs Committee have raised concerns regarding in-game features that may contribute to problematic gambling behaviors. Committee Chairman Jaak Aab referenced studies indicating a rise in what has been described as “pre-addiction phases.” This has led to calls for a review of in-play mechanics and promotional incentives, although specific measures have yet to be confirmed. Any resulting policy changes will likely focus on aligning these aspects with broader responsible gambling strategies rather than imposing broad restrictions.

Another significant area of revision is the expansion of Estonia's national self-exclusion program, HAMPI. Presently, the system allows individuals to exclude themselves from gambling voluntarily. The proposed modifications would permit family members to request exclusions on behalf of relatives. Additionally, discussions are ongoing regarding whether courts should be able to enforce exclusion in specific cases. However, concerns remain over the potential deterrent effect of a legally mandated process, which could discourage individuals from seeking exclusion due to procedural complexity.

While issues surrounding gambling among minors remain a topic of discussion in many jurisdictions, the current legislative review does not extend to loot boxes or virtual currency transactions in video games. Estonia maintains an existing minimum gambling age of 21, and no revisions to this threshold are currently being considered.

Recent increases in gambling-related taxation have been implemented, and no further adjustments are expected as part of the upcoming amendments. The most recent changes, introduced in 2023, included:

• A remote gambling tax, Toto tax, and games of chance tournament tax increase from 5% to 6%.
• An increase in lottery sales tax from 18% to 22%.

While no additional tax adjustments are planned at this stage, the Ministry of Finance has indicated that a review process is ongoing, which, depending on stakeholder feedback, could lead to further evaluations of the tax structure.

The subject of gambling advertising regulations has also been raised. In 2023, a proposal to prohibit gambling advertisements on television and radio was put forward but was ultimately blocked due to political opposition. Current discussions indicate that amendments will focus on clarifying advertising standards rather than pursuing an outright ban. These revisions are expected to prohibit misleading claims, particularly those that frame gambling as a financial solution.

While Estonia is refining its gambling laws, regulatory changes are also occurring in neighboring Baltic states. In Latvia, steps are being taken to introduce significant restrictions on land-based gambling in the capital, Riga. The city council has drafted regulations limiting gambling establishments to specific designated areas, effectively reducing overall accessibility. This move stops short of an outright ban but reflects a policy shift toward stricter regulation.

In Lithuania, the Ministry of Finance has submitted a proposal to the European Commission (EC) outlining new technical requirements for remote gambling platforms. Developed by Lithuania's gambling regulator, LPT, the proposed framework sets out comprehensive standards for IT security, game controls, compliance mechanisms, and data management. These measures aim to create a more structured regulatory environment for online gambling operations within the country.

The proposed amendments in Estonia could require operational adjustments from online casino operators, particularly inthe areas of game design, promotional structures, and self-exclusion policies. If new restrictions are introduced regarding in-play mechanics or gambling incentives, platforms may need to modify how they structure bonuses, rewards, and gameplay features.

Expanding the self-exclusion system may also necessitate changes in internal compliance procedures, especially if family-initiated exclusions or court-mandated restrictions become part of the regulatory landscape. Operators will need to ensure their platforms align with updated self-exclusion protocols while balancing responsible gambling obligations with user autonomy.

On the taxation front, the absence of immediate increases provides some stability for operators, but the Ministry's ongoing review suggests that tax policies may remain a topic of discussion in the coming years. Online casinos operating in Estonia must monitor potential adjustments to taxation frameworks that could affect operational costs.

Regarding advertising regulations, the expected focus on prohibiting misleading claims may require operators to reassess how they frame promotional messages. Ensuring compliance with updated advertising standards will be necessary to avoid regulatory scrutiny.