Bulgaria Eyes Licensing and Levy for Gambling Affiliates

Bulgaria's parliament is on the verge of approving the long-awaited 2026 budget. This budget package includes comprehensive new measures directly impacting gambling affiliates in the country. The move comes at a time when gambling advertising is generally under increasing scrutiny, similar to trends observed in many other European nations.

The planned changes foresee that affiliates working with regulated gambling providers will require their own licenses. Additionally, a two-part levy will be introduced, designed to boost state revenues. These developments reflect a trend where states are attempting to regulate all segments of the gambling industry more strictly, thereby gaining greater control and generating more income.

Numbers and facts

Bulgaria's budget deficit for 2026 is estimated at 5.7 percent, amounting to approximately 7.2 billion Euros. Projected revenues stand at 49.5 billion Euros, with expenditures at 56.8 billion Euros. To reduce this deficit, lawmakers are now also relying on revenues from the gambling sector.

A key component of the new package of measures is the introduction of a licensing requirement for affiliates collaborating with licensed gambling companies. Furthermore, two types of levies will be imposed: a fixed annual tax of 6,000 Euros and a variable tax of 10 percent on commissions affiliates earn from their promotional activities. Official estimates suggest these changes could bring in an additional 100 million Euros in annual tax revenue for the Bulgarian state, as reported by FocusGN.

The budget negotiations were delayed by political turmoil in the country. The previous caretaker government lacked the authority to advance the package. Only after the snap elections in April, when Rumen Radev secured a majority, could the legislative process move forward.

There are also personnel changes. Alexander Popov has left his position as Director for Gambling Policy at the National Revenue Agency (NRA). Media reports indicate that Ginka Panaretova could be his successor. However, this potential appointment is controversial, as Panaretova previously worked for the gambling operator Inbet.

“The government aims to use a new two-part levy on gambling affiliates to plug a budget deficit.” – jfoley, Author at FocusGamingNews

Background

The discussion about regulating gambling affiliates takes place against the backdrop of an intensified debate on gambling advertising. Bulgaria enacted comprehensive advertising bans for television, radio, and certain public spaces back in 2024. Recently, Bulgarian National Television came under criticism for allegedly broadcasting gambling-related promotions during FIFA World Cup broadcasts. The broadcaster defended itself by stating these were sponsoring clips, not direct gambling inducements.

Meanwhile, the National Children’s Network in Bulgaria is calling for further measures. They advocate for a ban on product placements and the use of gambling trademarks in sports events. These demands increase pressure on lawmakers to tighten rules even further, potentially leading to additional restrictions in the soon-to-be-approved budget package. A clear trend towards stricter control of gambling advertising and limiting its reach is evident, aimed at improving player protection. Both financial necessity and growing societal concerns are driving this process.

Why it matters for German players

The developments in Bulgaria indicate that other EU states are also adjusting and tightening their gambling market regulations. For German players, who play in GGL-licensed online casinos, these specific Bulgarian regulations have no direct impact. The German gambling market is regulated by the Glücksspielstaatsvertrag 2021 (GlüStV 2021) and the Joint Gambling Authority of the Federal States (GGL). Strict rules already apply here, some of which go beyond the measures discussed in Bulgaria.

In Germany, for example, there are fixed stake limits of 1 Euro per spin on online slots and a monthly deposit limit of 1,000 Euros, controlled by the central monitoring system LUGAS. Advertising for gambling is also heavily restricted. German affiliates who advertise for GGL-licensed casinos are also subject to clear guidelines designed to ensure youth protection and player protection. A licensing requirement, as now planned in Bulgaria, does not exist in this form for affiliates in Germany. However, all participants in the gambling market, including advertising partners, must comply with the strict requirements of German gambling law. Players should therefore always look for the GGL seal, which guarantees compliance with these standards.

What it means for GGL-licensed casinos

For online casinos licensed by the GGL, such international developments mean that pressure on affiliate marketing and gambling advertising generally increases. Even if the specific Bulgarian measures are not directly transferable to the German market, they signal a European trend towards increased regulation and higher taxation. GGL-licensed casinos already have to meet stringent requirements regarding their marketing activities. This includes adhering to fixed advertising time slots, refraining from advertising aimed at minors, and strictly separating editorial content from advertising.

Should affiliate taxation and regulation models become established in other EU countries, this could potentially have long-term effects on the cost structure and profitability of affiliate marketing for the entire European, including the German, gambling sector. For GGL-licensed casinos, it is important to closely monitor legislative developments in other states. International pressure and best practice examples can lead to an adaptation of their own regulatory approaches to better protect players across Europe and maintain market integrity.

“The National Children’s Network has now urged lawmakers to tighten restrictions further.” – Grzegorz Kempiński, Author at igamingexpress.com