The formation of Hungary’s new Government in early May marked the beginning of a broader regulatory reform process that would affect the gambling sector as well. This article summarizes the key developments adopted to date and highlights the reforms that are expected to emerge as soon as this autumn.

1. The end of the SARA?

On 31 August the Government instructed the Minister of Justice to review the operation, legislative status as well as the potential termination of Supervisory Authority for Regulated Activities (“SARA“) together with the potential transfer of its functions to other regulatory bodies.

The SARA is an autonomous regulatory authority within the Hungarian legal system, entrusted with the supervision of a diverse range of regulated activities such as gambling, tobacco concessions, the private judicial bailiff system, mining activities, insolvent liquidators. Its powers not only extend to the supervision of the relevant markets but can also issue binding regulations.

SARA was established in October 2021. Before that, gambling supervision—without legislative powers—had been carried out by the autonomous Gambling Authority since 1991, except for a period when it was integrated into the Tax Authority.

That this issue has arisen only a few months after the change of government, despite an already extensive policy agenda, underscores the importance of the sectors supervised by SARA, including gambling.

At the same time, the Government’s consideration of SARA’s termination suggests that it may be seeking not merely a change in regulatory priorities, but a comprehensive overhaul of Hungary’s gambling regulatory regime, beginning with the re-establishment of the regulator itself.

2. The end of the current land-based and online casino licenses?

In line with commitments made during the election campaign, the Government launched a review of the casino concession system in June 2026, covering both the concession agreements and the regulatory framework. The current framework continues to give rise to EU law concerns, which have also been found illegal by the CJEU and Hungarian courts several time, most recently this spring.

Foreign operators and domestic newcomers have no prospect of obtaining a land-based casino concession. No open tender has been launched; instead, all concessions have been awarded to “reliable gambling operators”, a status that in practice is reserved for Hungarian operators with experience in the domestic market: a handful of businesses. Currently, Hungary has three land-based casino concession holders operating a total of 11 casinos, all backed by Hungarian-owned businesses.

Based on the Prime Minister’s press conference held on 3 September 2026, a radical reform of Hungary’s casino concession regime may be forthcoming very soon, driven by the Government’s stated objectives of protecting public assets and promoting social fairness.

According to the Prime Minister, a final decision on the government level is expected in the coming weeks. The planned reform could also affect the concession award mechanism and the tax burden applicable to concessionaires. While the details remain unclear as of now, the Prime Minister expressly referred to the termination of existing concession agreements as a potential legal option.

As the current regulatory framework permits only holders of land-based casino concessions to offer online casino games in Hungary, any reform of the casino concession framework could have significant implications for the regulation of the online casino sector as well. Currently, the two online casinos with Hungarian license are operated by the same land-based casino group.