Romanian Legislators Propose Stricter Limits on Gambling Expenditures

Romania is moving forward with a legislative proposal aimed at curbing problem gambling by restricting individuals from wagering more than 10% of their previous month’s earnings. If enacted, this new measure will impact both online and physical gambling establishments, including casinos, sports betting, and slot machines.

The draft bill, currently under review by Romanian lawmakers, would make financial institutions responsible for implementing spending caps for players. Banks that fail to enforce these limits could be fined up to 1% of their annual turnover. Gambling operators would also be held accountable, with penalties of up to 500,000 RON ($108,540) for failing to comply. Repeat violations would lead to the revocation of an operator’s license, according to the Romania Insider.

Authorities to Oversee Compliance

To enforce this regulation, Romania’s tax agency, Agenția Națională de Administrare Fiscală (ANAF) (The National Agency for Fiscal Administration), will be tasked with developing a platform where gambling operators can verify a player’s available balance before allowing transactions. Each gambling operator must report real-time spending data to the ANAF, ensuring that individuals cannot circumvent the restrictions by switching between different establishments.

For land-based casinos and gambling halls, operators will have to ensure that players adhere to the 10% limit before allowing them to place bets. Online gambling platforms will also be subject to the same regulations, with banks overseeing transactions to prevent excessive losses.

Potential Consequences for Non-Compliance

Operators that fail to enforce the gambling expenditure limits will face significant penalties. A first offense would result in a fine ranging from 200,000 RON ($43,416) to 500,000 RON ($108,540). If an operator is found in violation a second time, their gambling license will be revoked, effectively barring them from operating in Romania.

Meanwhile, banks that fail to monitor gambling expenditures and prevent violations could face financial penalties amounting to 1% of their turnover. These measures highlight the government’s commitment to curbing problem gambling and ensuring financial responsibility among players.

Broader Efforts to Regulate Gambling

This proposed legislation is the latest in a series of regulatory measures designed to tighten oversight of Romania’s gambling industry. In recent years, the government has implemented policies to curb gambling-related harm, including a 40% tax on casino withdrawals introduced in 2022.

In another move to limit gambling’s reach, Romania’s lawmakers passed a law in October banning gambling venues in towns and villages with fewer than 15,000 residents. At that time, the prime-minister and leader of the Social Democrats emphasized the importance of these regulatory efforts, stating, “Right now we are fighting an industry that has a total turnover of €10-12 billion. It is the first law adopted in Parliament in 30 years against this mafia that has controlled the political world until now.”

With Romania pushing for stricter oversight and regulations, the proposed gambling cap is part of a broader effort to minimize the risks associated with excessive gambling and protect consumers from financial harm.