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Italy’s Land-Based Gambling Reform Remains in Political Limbo as Courts Define Operating Rules

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Italy’s Land-Based Gambling Reform Remains in Political Limbo as Courts Define Operating Rules
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Italy’s retail gambling reform has stalled politically for ten years since the 2016 Stability Law, leaving courts to issue rulings such as the Council of State’s decision upholding a €100 weekly PVR top-up cap. Retail holds three-quarters of the €21 billion market while online rules advance in November. Executives at SBC Summit warned of licensing mismatches, consolidation to 85% top-five GGR, and investment uncertainty for small retailers.

SCCG Take — Judicial rulemaking creates unpredictable compliance burdens that deter retail investment; targeted legislation is required to harmonize frameworks and reduce daily operational friction for operators.

Italy’s land-based gambling reform sits stalled in political limbo, leaving judges to establish the practical rules that operators must follow. Industry executives made the point sharply during an SBC Summit panel in Lisbon on Wednesday 30 September, underscoring a decade-long delay that contrasts with rapid online-sector changes.

Quirino Mancini, co-founder and executive committee member of IMGL, said no government is likely to tackle retail reorganisation before the next general election. “Gambling is a very sensitive issue, and that is the reason why, in my view, we are where we are.” The first formal reference to network reorganisation appeared in the 2016 Stability Law.

Retail still accounts for roughly three-quarters of Italy’s gambling market, worth more than €21 billion. New online rules take effect on 13 November, while land-based concessions continue to roll forward year by year under frameworks designed nearly 20 years ago.

Council of State Ruling Sets Limits on PVR Outlets

A Council of State decision published the same week upheld the €100 weekly cap on cash and non-traceable top-ups at PVR outlets, in force since May, along with the ban on withdrawals. The court struck down a blanket prohibition on internet-connected devices, deeming it disproportionate.

Mancini said: “Wherever there is a vacuum in the legislative power, the judicial one steps in, and that becomes the regulation, which is never a good thing.” He added: “With all due respect to the magistrates, most of the time they do not know exactly how our industry works.” The ruling illustrates how courts are incrementally shaping retail operations in the absence of primary legislation.

Daily Operational Strain and Accelerated Consolidation

Davide Diodato, CEO of Novomatic-owned HBG Online, described the mismatch between nine-year online licences and annual retail extensions as forcing operators to “fly aircraft with two flight plans.” Small retailers face repeated questions about the next year’s rules, making investment and hiring difficult.

Marco Castaldo, CEO of Microgame, called the online regime hyper-regulation and predicted faster consolidation. The top five operators already control 85% of market GGR, a share he expects to rise. Marco Tiso, managing director at Sisal, termed the current retail framework a missed opportunity that leaves players with inconsistent products and promotions across channels.

Fabio Bufalini, country director of Stake Italy, highlighted unfair competition from unregulated sites that freely promote bonuses banned for licensed operators. Panellists noted retail’s evolving role as a point of assistance and community touchpoint rather than pure sales, with potential to draw customers from online for social experiences that illegal operators cannot replicate.

According to reporting by iGaming Business, the persistent uncertainty extracts a daily toll on planning and capital allocation. Without legislative movement, operators must calibrate strategies around judicial decisions that may shift with each new case.

The Legislative Gap and Next Steps

The current reliance on court rulings fills immediate gaps but introduces unpredictability that complicates long-term retail investment and ecosystem alignment. Operators and regulators should treat retail and online as a single integrated market, pressing for technical reforms on network density, opening hours and sensitive-site distances that have already been broadly agreed. Until primary legislation advances, the industry will continue adapting to rules written incrementally from the bench rather than from parliament.

Reporting: iGaming Business (iGB)

Generated by SCCG’s automated editorial system from published source reporting. SCCG Management holds editorial responsibility.

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