Hungary’s incoming administration will examine the monopoly on the national lottery and sports betting

(AsiaGameHub) –   Péter Magyar’s new TISZA government will evaluate the role of Szerencsejáték Zrt as part of its review of state-operated entities.

Hungary.- The new Hungarian government plans to examine Szerencsejáték Zrt‘s monopoly on the nation’s national lottery and sports betting services. After Prime Minister Péter Magyar of the TISZA party defeated Viktor Orbán last month, the new leadership announced it would conduct a review of all state-owned organizations.

Established in 1991, Szerencsejáték Zrt is Hungary’s state-owned gaming and national lottery company, holding the sole legal authority to distribute draw-based games, scratch cards, and organized sports betting across the country. The new finance minister András Kármán has alleged that the operator redirected revenues toward “propaganda purposes” instead of transparently funneling profits into the state treasury.

Kármán has committed to “corruption-free and transparent management” of public businesses. He also stated that special sector taxes implemented during Orbán’s tenure would be phased out gradually, indicating a wider reevaluation of how gambling revenues have been utilized to fund public media and politically affiliated sponsorships.

Zoltán Tarr, the incoming minister of culture and social relations, noted that the government will also review public media and cultural funding systems connected to lottery-derived funds.

This initiative comes after cabinet appointments were finalized last week. Committees have been assigned to investigate the performance and political ties of state-owned enterprises following 16 years of governance by Viktor Orbán and the Fidesz party.

Hungary’s primary gambling law is Act XXXIV of 1991, which governs casinos, sports betting, lotteries, and online gaming. Since 2023, Hungary has permitted operators based in the European Economic Area to provide online sports betting, though concessions remain strictly regulated and Szerencsejáték Zrt dominates the retail market. Regulatory duties fall to the Supervisory Authority for Regulatory Affairs (SZTFH), led by Dr. Marcell Bíró. The regulator also enforces the blocking of unauthorized operators.

Szerencsejáték Zrt recorded €3.25 billion in revenue in 2024, along with €447 million in taxes and regulatory payments. Hungary’s broader gambling market is valued at over $1.7 billion, with online betting growing rapidly. Reassessing the company’s privileges would align with TISZA’s more pro-European Union stance, but it has been suggested that the government may avoid fully dismantling Szerencsejáték Zrt’s position given its size and significance as a tax generator.