Hungary is seriously weighing the termination of its gambling regulator, the Supervisory Authority for Regulated Activities, known as SZTFH, only five years after it was created.
A resolution published in Magyar Közlöny, the Hungarian Gazette, on 31 August 2026 confirmed that the government wants to examine the SZTFH’s operation and review legislation to determine how the authority could be abolished.
The government is also exploring how the regulator’s functions could be transferred to bodies operating under direct government control, marking a significant potential shift in Hungary’s regulatory landscape.
The Justice Minister has been handed a deadline of 30 September 2026 to report back to the government with findings from the review.
The review follows revelations that SZTFH granted CAI Hungary Kft, a company linked to businessman István Garancsi, a 35-year casino concession running until 2061 to operate the Sopron casino without a public tender.
This decision came shortly after the government promised a comprehensive review of all casino licences, many of which were allocated just before elections by the previous administration under former Prime Minister Viktor Orbán.
Founded in October 2021, SZTFH currently employs over 400 staff members and has built a notable regulatory record across several sectors during its relatively short existence.
In response to the government agreeing that “it is necessary to review the operation of the SZTFH”, the regulator defended itself and cited its “significant” achievements, including its clampdown on the black market.
SZTFH emphasised its independent status as established by the Hungarian Parliament under Act XXXII of 2021, stating it operates solely within the scope of legislation and remains accountable directly to Parliament for its duties.
The regulator highlighted its achievements in combating illegal online gambling operations and protecting minors in the tobacco market, alongside extensive inspections of tobacco retailers and efforts to block unlawful online tobacco sales.
While standing firmly by its record, SZTFH expressed willingness to cooperate fully with the ongoing government assessment and support legal reviews as directed by the responsible minister.
The developments come amid a broader review by the new TISZA government of all state-run organisations, including national lottery and sports betting firm Szerencsejáték Zrt, as Hungary’s gambling landscape mirrors the uncertainty now prevalent across much of Europe.
