Bulgaria has introduced a formal licensing regime for gambling affiliates operating within its borders, marking a significant regulatory shift for the industry.
The new framework has been active since 1 August 2026, requiring all gambling affiliates conducting business in Bulgaria to hold an active licence.
Affiliates that were already in commercial partnerships when the framework launched were granted a short transition period, with a deadline of 15 August 2026 to submit their licence applications.
The licence application process is detailed, requiring affiliates to provide a full description of their web pages, mobile app offerings, connected social media pages, and related video and streaming platforms.
Regulators can approve three distinct types of licences, covering a one-off affiliation activity, affiliate operations running for under five years, or a full five-year affiliate licence.
The regulatory changes, which bring affiliates under the Gambling Act for the first time, were adopted alongside the approval of Bulgaria’s 2026 National Budget.
Deputy Finance Minister Lyudmila Petkova had previously signalled the government’s intent, stating that the Ministry of Finance was considering measures to amend the Gambling Act so that “40% of the gambling industry can be moved out of the grey sector into the taxable economy”.
Petkova also revealed the scale of untaxed affiliate revenue in Bulgaria, disclosing that affiliates generate between BGN 450-500 million, equivalent to approximately £219 million, in commissions annually without being taxed.
That figure underlines the government’s motivation for bringing affiliates into a formal regulatory and taxation structure, closing a longstanding gap in Bulgarian gambling law.
Foreign companies wishing to conduct affiliate business in Bulgaria face additional requirements, needing to appoint an authorised representative with an active address in the country who can enter contractual agreements and represent the affiliate before state authorities.
The two-pronged tax structure attached to the annual licence adds a financial dimension to the compliance obligations affiliates must now meet to operate legally in the Bulgarian market.
Bulgaria’s move reflects a broader trend across European markets, where regulators are increasingly seeking to bring affiliate marketing activity under formal oversight alongside licensed operators themselves.
