Bulgaria is planning to increase the gambling tax from 20% to 25%, with the increase for operators taking effect on January 1, 2026.
Following an update to the Medium-Term Budget Forecast (2026-2028), the amendment to the Gambling Act will see a 5% increase in licence fees for operators. This will apply to online betting operators, lotteries, raffles, toto, keno and bingo.
This 5% rise is expected to bring in around €32 million ($37 million) extra revenue for Bulgaria, and the measure will be aiming to “generate extra income for the national budget” from 2026 onwards.
Under the current act, operators pay a fee of BGN 300,000 ($153,000), with an added 20% charge on the difference between winnings paid and bets staked. Online operators pay a slightly higher fixed rate of BGN 400,000, but the 20% charge remains the same.
With Bulgaria announcing this rise in gambling tax, is the UK about to do the same?
Will the UK follow Bulgaria in raising gambling taxes?
The UK budget is set for November 26, and it appears as though Chancellor of the Exchequer, Rachael Reeves, is expected to overhaul the gambling taxes.
Reeves has suggested that the General Betting Duty on sports betting could rise to 30% from its current figure of 15%. This excludes horse racing, however.
It looked as though horse racing was going to face the same tax hike, but Reeves decided that bets on the sport would not face the upcoming duty increases, preferring to focus on online casinos instead.
While the proposed duty would raise £4 billion ($5 billion) in revenue, it could have catastrophic effects on jobs within the gambling industry.
Betfred announced that all 1,287 of its shops could close if the government increases the gambling tax to 30%.
Fred Done, founder of Betfred, stated that tax rises were the “biggest threat” to the gambling industry since he set up the bookmaker nearly 60 years ago.
Featured image: Krit-Raimmy from Getty Images via Canva
The post Bulgaria plans to increase the gambling tax by 5% in the 2026 budget appeared first on ReadWrite.
