Luxembourg Explores Establishing a National Monopoly on Online Gambling
Luxembourg’s Consideration of a State-Controlled Online Gambling Monopoly
Elisabeth Margue, Luxembourg’s Justice Minister, recently announced that the country is exploring the possibility of creating a government-run monopoly for online gambling and sports betting. This initiative aims to strengthen regulation and improve player protection within the nation’s gaming environment.
Government Discussions and Player Protection Measures
The proposal follows concerns raised by Dan Biancalana, a Member of Parliament from the Luxembourg Socialist Workers’ Party, about protecting players and the growing number of gaming machines in local cafés. European legal precedents do allow for such monopolies, provided the government takes responsibility for safeguarding its citizens. Margue shared that internal reviews are underway, involving various stakeholders, to assess the viability and scope of potential regulatory measures.
Current Reforms and Addiction Prevention Efforts
As part of ongoing reforms, the government plans to authorize National Lottery terminals in local venues while phasing out other similar gaming devices. Health Minister Martine Deprez highlighted Luxembourg’s collaboration with the Center for Excessive Behavior and Behavioral Addictions to address problem gambling. The number of individuals seeking support for gambling addiction has nearly tripled between 2020 and 2024, reaching approximately 100 cases annually. Correspondingly, the budget for addiction prevention programs has increased from 220,000 euros in 2020 to 560,000 euros in 2024.
Changing Trends in European Online Gambling Regulation
If Luxembourg proceeds with the monopoly, it would contrast with the broader European trend where many countries have moved away from exclusive state control toward open licensing models. Advocates of open markets argue that increased competition better channels player activity and enhances consumer protections.
Current Landscape of Online Gambling in Luxembourg
While no online gambling operators are based directly in Luxembourg, residents are legally permitted to participate in foreign-licensed online casinos and wager real money without restrictions. Winnings can be withdrawn to local bank accounts freely.
Market Outlook for Luxembourg’s Gambling Sector
The gambling industry in Luxembourg appears robust and is forecasted to generate approximately $447.8 million in revenue by 2025. Casinos and related games are expected to contribute the largest portion, with an estimated $270 million market share. Average revenue per user is predicted to reach around $478, and the total number of users engaged in gambling activities is projected to increase to about one million by 2030.
