Austria’s new three-party coalition government, led by Andreas Hanger, Kai Jan Krainer, and Karin Doppelbauer, has approved a provisional budget for 2025 that includes a significant increase in taxes on Austrian sports betting. This move will see betting fees rise from 2% to 5% of bets, effective from 1 April, rather than the previously planned gradual increase up to January 2026.
The Austrian Sports Betting Association (OSWV) has expressed strong concerns about the rapid implementation of this tax hike, warning that it could have drastic effects on the entire industry. According to the OSWV, “the sports industry itself will be affected first of all if existing cooperations in top-level sport, but above all in popular sport, have to be reduced as a result without any transition period.” This could lead to the termination of numerous media cooperations and threaten smaller providers with bankruptcy, resulting in job losses across the country.
The association is urging the federal government to provide a “sufficiently long transition period” for these changes, allowing affected companies time to prepare. They argue that the original plan for a gradual increase at the beginning of the year was more realistic and that a few weeks is insufficient for implementation.
In addition to requesting a transition period, the OSWV is seeking dialogue with lawmakers. The government’s program includes measures to strengthen player protection within the gambling industry, and the association believes that involving licensed industry representatives in discussions would be beneficial. They suggest a public hearing, round table, or working group to ensure the success of these measures.
As the OSWV noted, “a public hearing, a round table or, best of all, a working group that also involves representatives of the licensed industry would be more than desirable in order to make the planned measures a success with regard to the government’s desired goals.”
The provisional budget was necessary because MPs did not approve a full budget for 2025 due to the National Council elections last autumn. The coalition explained that this measure is intended to provide flexibility until the final adoption of the Federal Finance Act 2025. A corresponding bill from the three coalition parties has also received approval from the Greens, aiming to ensure ongoing federal budget financing.
Austria’s accelerated tax hike on sports betting poses significant challenges for the industry, and the OSWV is advocating for a more gradual approach to address these impacts. As the government moves forward with its budget plans, it remains to be seen how these changes will affect both the sports betting sector and broader economic stability in Austria.
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