Hungary Reviews Future of Gambling Regulator

Hungary has opened a review that could lead to the abolition of the Supervisory Authority for Regulated Activities (SZTFH), five years after Parliament created the regulator.

A government resolution published on August 31 instructed the justice minister to examine the authority's operation and governing legislation. The review will consider transferring SZTFH responsibilities to bodies under direct government control, with a report due by September 30.

The move follows scrutiny of SZTFH's decision to grant CAI Hungary Kft a 35-year casino concession without a public tender. The licence runs until 2061 and covers the Sopron casino.

Regulator Defends Its Record

SZTFH has defended its independence and record across the sectors it supervises.

“The SZTFH is an independent regulatory body established by the Parliament by Act XXXII of 2021 on the Supervisory Authority for Regulated Activities, which is subject only to legislation in terms of its activities and is solely accountable to the parliament for its operations.”

The authority said supervised sectors generate more than HUF 10,000bn in annual sales, employ over 50,000 people directly and provide more than HUF 1,000bn in yearly tax and contribution revenues.

It also highlighted action against illegal online gambling and measures protecting minors in the tobacco sector.

“In the gambling sector, it has achieved significant results in eliminating illegal online game organisers, and in the tobacco market, it has contributed to the protection of young people by strengthening measures and regulatory solutions for the protection of minors, including through tens of thousands of traffic inspections, consistent regulatory action as a result of these, and the blocking of illegal webshops.”

SZTFH said it would cooperate with the review while stressing that EU requirements must be considered when assessing independent regulators.

Foreign Competition Remains Limited

Hungary opened its remote gambling market to European Economic Area operators in January 2023, ending the formal state monopoly over remote betting. Applicants must meet Hungarian licensing requirements and, if based elsewhere in the EEA, use a registered representative.

The reform followed CJEU rulings concerning Hungary's licensing system, including a 2017 case involving Unibet that found elements of the framework incompatible with EU free-service rules.

Foreign participation has remained limited. In a March 2025 interview, SZTFH president László Nagy said: “None,” when asked how many foreign gambling companies had obtained licences. He added: “Because none of them applied for a licence.”

The September 1 register lists two authorised online betting sites, tippmixpro.hu and vegas.hu, plus three licensed online casino sites operated by LVC Diamond.

Government Review Enters Next Phase

The examination forms part of a broader restructuring programme launched after the administration took office in May. Parliament has also approved changes to the Terrorism Prevention Centre, ending its standalone law-enforcement status from October 1.

SZTFH remains operational while the review continues. No successor body has been named, and the resolution does not propose changes to gambling licence conditions, taxation or offshore operators.

The justice minister's September 30 report will provide the next formal indication of whether SZTFH's current structure will remain.

Source:

“Uncertainty in Hungary continues as concerns emerge over gambling regulator SZTFH”, sbcnews.co.uk, September 3, 2026