The Netherlands is falling behind on its tax revenue targets despite increasing gaming taxes, according to findings from the country’s government and gambling regulator, the KSA.
The Netherlands implemented its increased tax on gross gambling revenue (GGR) from operators in January 2025, with the rate jumping from 30.5% to 34.2%. In January 2026, the rate increased even further to 37.8%.
The government estimated the increase would yield additional tax revenues of €108m in 2025, and €216m in 2026.
However, figures collated by both the KSA and the Ministry of Finance showed the actual figures fell far short of expectations.
In 2025, the tax hike led to increased revenues of just €2m and €57m in 2026.
The figures were compiled using various sources, including data from the country’s self-exclusion register Cruks, the Dutch Tax and Customs Administration and statistics provided by both the Ministry of Finance and the KSA.
The figures also took into account data from market research firm GfK and Google.
The KSA highlighted major contributing factors including enhanced responsible gambling protocols, which in turn led to less revenue for operators.
These included the introduction of a net deposit limit of €300 per month for young adults and €700 per month for players aged 24 and over.
The regulator also cited more stringent advertising rules as a possible explanation.
Since 2024, all operators in the Dutch market have been prohibited from advertising on TV and at events, while the sponsoring of athletes, sports clubs, competitions, shirts and other merchandise has been banned since July 2025.
Furthermore, the regulator noted that the closure of land-based gaming facilities due to the tax increase also decreased revenue returned to the state.
Previous data from the KSA showed channelisation based on GGR had fallen close to just 50% as the black market continues to make gains.
A KSA statement read: “Because multiple developments occurred simultaneously in the market, it is difficult to draw conclusions regarding the effects of the tax increase.
“The objective of the tax increase was not achieved: the additional tax revenues turned out lower than expected because the tax base decreased, possibly partly as a result of the rate increase.
“It is not possible to properly isolate the effect of the rate increase from the other changes. This means that, based on this report, no conclusions can be drawn regarding the impact of the tax increase on the profitability of gambling providers.”
In April, KSA chair Michel Groothuizen admitted the Dutch market was stagnating as a result of the stringent regulations introduced.
FDJ United made mention of the adverse effect of the tax hikes in the Dutch market during its Q1 earnings, while LiveScore Bet pulled out of the market entirely in 2025 due to the impact of the tax increases, following tombola out of the market.
The Netherlands was repeatedly used as a cautionary tale for the UK market on the risks of increasing taxes and driving players towards the black market.
The UK government announced an increase of remote gaming duty from 21% to 40% during the Autumn Budget in November, with the rate coming into effect from 1 April onwards.
The post Dutch regulator concedes tax increases have been “less effective” than planned first appeared on EGR Intel.
Research conducted by the Netherlands Gambling Authority and the Ministry of Finance shows the tax revenue target is “not being achieved as expected” after implementing rate increases in January 2025 and January 2026
The post Dutch regulator concedes tax increases have been “less effective” than planned first appeared on EGR Intel.