The government of Luxembourg has recently submitted a draft law to the parliament, proposing to curb the proliferation of illegal gambling activities nationwide. The bill aims to protect minors and vulnerable individuals from gambling harm, promote responsible gambling among operators, and regulate the remote gambling sector. This is a significant step toward strengthening oversight and introducing a competitive and fair licensing model.
Luxembourg Proposes Amending the Gambling Act: Quick Summary of the Key Facts
- Minister of Justice Elisabeth Margue presented the draft legislation to the Parliamentary Justice Committee on Thursday, January 8, 2026. The bill proposes amendments to the law of 20 April 1977 on the operation of games of chance and betting on sporting events.
- The amended bill grants the authorities additional powers to seize illegal gambling machines quickly. Additionally, illegal gambling operators, including bars and internet gaming venues that provide illicit online gambling activities, will face more severe penalties.
- The draft legislation grants a three-month probationary period for bar and café owners to comply with the amended law. Specific scenarios, including traditional raffles during village festivals, have been exempted from this prohibition.
Government Flags Gambling Operations Under the Guise of Internet Kiosks
The government of Luxembourg introduced a draft law to the parliament to curb the proliferation of illegal gambling operations. Elisabeth Margue, the Minister of Justice, submitted the draft bill for amending the law of 20 April 1977 on the operation of games of chance and betting on sporting events. This marks a significant step toward prohibiting illegal gambling and regulating online gambling activities across the nation.
The bill, introduced on Thursday, January 8, 2026, proposes strengthening enforcement against illegal land-based gambling venues, many of which operate under the guise of internet kiosks or from bars. This step aligns with the broader initiative among European gambling regulators to counter illegal operations, many of which function across international borders.
Officials noted that these measures will help protect minors and vulnerable individuals from gambling harm while fostering responsible gambling among operators. Minister Margue observed that the current legislation lacks critical provisions to safeguard consumer interests. She emphasised the need for clearer legal instruments to ensure that authorised games offered by the National Lottery are available at bars.
Margue said:
That is why we have had to adapt the definition and give ourselves the means to intervene.
Authorities explain that the absence of clear legislation enables illicit operators to host games of chance, including slot machines, without repercussion. This situation undermines consumer protection and creates legal uncertainty. The proposed law explicitly empowers law enforcement agencies to quickly seize illicit gambling machines and impose strict penalties on those who own, operate, or facilitate such services.
Broader Regulator Reforms on the Cards
The amended gambling bill places the onus on bar and café owners to comply with the law. Failing to do so will result in financial penalties and imprisonment. Authorities have granted a three-month probation for gambling operators to comply with the new guidelines. Officials explain that this grace period is essential to ensure a smooth transition with minimal disruptions across the sector.
Certain exceptions will be made for traditional raffles during village festivals, even when minors are present. Casino 2000 in Mondorf-les-Bains is the only licensed land-based casino in Luxembourg. It is a joint venture between the Partouche Group and Luxembourg Casino. Local bars, cafés, and internet kiosks often host online casino games without a permit. The amended law aims to restrict this practice.
Authorities are planning a second phase of the amendment. This time, the focus will be on regulating the online gambling sector. Margue had previously hinted that the government was considering launching a competitive licence model, enabling reputable international gambling operators to host gambling games with a local permit. However, officials are still evaluating the intricate details around geo-fencing, oversight, and enforcement.
Luxembourg could be the next European nation after Finland to open its online gambling market to regulated foreign operators. For now, offshore gambling operators are thriving under the current legislation. The government has yet to announce a timeline for enforcing the new guidelines. On the bright side, illicit land-based gambling operators are under scrutiny while the industry braces for broader reforms.