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Japan’s Cabinet Proposes Increasing Casino Regulatory Budget and Staff Numbers in 2026

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Yagmur Canel
Content Manager
Updated:
Reading Time: 3 minutes

The Japanese Cabinet has approved a draft budget proposing a 5.4% annual increase in the funding for the casino regulator. Under the draft Budget 2026, the Casino Management Committee has been allotted JPY 3.91 billion (approximately €21.38 million), up from JPY 3.71 billion (roughly €20.29 million) in the 2025 budget. The Cabinet has also approved three additional administrative positions for improved casino oversight.

Osaka city skyline at sunset with the Tsutenkaku Tower in view

Japanese Casino Management Committee Gets 5.4% Hike in Budget 2026: Key Points at a Glance

  • The Casino Management Committee has been allotted JPY 3.91 billion (nearly €21.38 million) in Budget 2026, from JPY 3.71 billion (approximately €20.29 million) in 2025, representing a 5.4% increase.
  • Personnel expenses will account for 63.2% of the 2026 budget, amounting to JPY 2.47 billion (nearly €13.51 million). This reflects a JPY 210 million (approximately €1.1 million) year-on-year (YoY) increase.
  • The committee will redact two positions and add three administrative roles, effectively bringing the number of employees to 168 in 2026 from 167 in 2025. The two positions will be eliminated due to staffing rationalisation.

Cabinet Approves JPY 210 Million Hike in Casino Regulator’s 2026 Budget

Japan’s Casino Regulatory Committee will receive an additional JPY 210 million (approximately €1.1 million) as part of Budget 2026. The proposed budget amounts to JPY 3.91 billion (approximately €21.38 million) in Budget 2026, from JPY 3.71 billion (roughly €20.29 million) in 2025, representing a 5.4% increase.

A significant portion of the budget has been reserved for personnel expenses. The draft budget earmarks JPY 2.47 billion (roughly €13.51 million), representing 63.2% of the total amount, for “personnel expenses necessary for the operation of the Casino Management Commission.

The committee will receive an additional JPY 210 million (nearly €1.1 million) for personnel expenses in 2026 compared to the previous year. Administrative operating expenses have been reduced by JPY 10 million (approximately €54,700) to JPY 580 million (nearly €3.17 million).

Meanwhile, the budget for developing a supervisory system for casino operators, including staff training and infrastructure, has increased by JPY 20 million (roughly €109,400) to JPY 630 million (around €3.4 million). The budget for examining casino business licences will remain unchanged in 2026.

The Senate has allocated JPY 220 million (approximately €1.2 million) for examining casino business licenses and permits for manufacturers of casino-related equipment. The government has separately allocated JPY 540 million (roughly €2.95 million) for the Digital Agency to establish an IT framework necessary for overseeing online casinos.

Minor Increase in Employment Numbers on the Board

The gambling regulator will carry out a minor organisational restructuring in 2026. While two positions will be axed due to staffing rationalisation, the commission plans to increase the number of administrative staff by 3, effectively bringing the total number of employees to 168 in 2026 from 167 in 2025.

Japan has witnessed a significant increase in offshore gambling activity in recent years. Authorities are proactively working to regulate the sector and prohibit illicit casinos from targeting consumers. A survey conducted by the National Police Agency in 2024 revealed that over 3.37 million people gambled across the country.

The report also found that the unregulated remote gambling sector generated JPY 1.2 trillion (roughly €6.2 billion) in annual revenue. Following the revelations, the Japanese Senate proposed a total ban on online gambling. The prohibition order covers offshore gaming sites, as well as online casinos operating from Japan.

In June 2025, the Japanese Parliament approved the gambling prohibition bill, effectively outlawing the conduct, facilitation, and promotion of remote gambling in the country. While the bill does not specify penalties for violations, it empowers Internet Service Providers (ISPs) to block gambling sites and social media platforms to remove promotional content related to gambling.

As Japan heads toward a new era of gambling regulations, all eyes will be on the country’s sole licensed land-based casino, MGM Osaka, which is expected to open sometime in 2030. Toshiyuki Shimada, the secretary-general of the Japan Casino Regulatory Commission, who assumed the responsibility on July 1, 2025, will also be on the radar for establishing the regulator’s credibility globally.

Regulation & Compliance