The Dutch gambling trade body VNLOK has declared the country’s regulated market is at a “dangerous crossroads” following a damning assessment of recent tax policy outcomes.
A joint report from the Ministry of Finance and the Netherlands Gambling Authority (KSA) revealed gambling tax increases generated just €2m in additional revenue in 2025, falling dramatically short of a €108m target.
Officials acknowledged that a declining tax base had significantly reduced the expected revenue gains stemming from the increased tax rates introduced last year.
The report noted it was difficult to isolate the precise impact of higher tax rates due to simultaneous changes across the market, including stricter player protection measures and advertising restrictions.
Enhanced regulatory oversight was also cited as a contributing factor making it harder to measure the direct effect of the tax hike on overall market performance.
However, VNLOK argued the joint report substantially understated the true scale of the problem now facing the regulated Dutch gambling sector.
Speaking to NEXT.io, the organisation revealed that the size of the regulated sector declined by a striking 18.5% during 2025, a figure it believes policymakers have failed to adequately address.
“The report clearly states that the financial objectives have not been reached,” VNLOK said. “The Dutch regulated market size declined 18.5% in 2025.”
While VNLOK welcomed the publication of the report itself, it expressed frustration that the only follow-up measure currently proposed by the government is a further evaluation scheduled for 2027.
The trade body argued that waiting until 2027 for additional review is wholly insufficient given the severity of the contraction already being felt across the regulated market.
VNLOK stressed that swifter government intervention is essential to prevent long-term structural damage to the regulated gambling landscape in the Netherlands.
The organisation drew a direct link between a shrinking regulated market and the growth of unregulated operators, warning this shift carries serious consequences for Dutch consumers.
“A declining regulated market goes hand in hand with a growing unregulated market,” the trade body said. “This will cause less consumer protection and more gambling related harm.”
VNLOK also warned that the current combination of pressures risks producing consequences that cannot be reversed once they take hold across the market.
“The Dutch regulated market is at a dangerous crossroads,” the organisation said. “The combination of high tax pressure, high regulatory burdens and the risk of additional over-regulation will cause irreversible damage.”
