The Ministry of Economy and Finance (MEF) in Italy is currently assessing a range of provisional measures aimed at the regulated gambling industry, as the government led by Prime Minister Giorgia Meloni prepares its budget for 2027.
These proposed measures could potentially yield between €400 million ($460 million) and €500 million ($575 million) for the national treasury, although they have yet to be incorporated into the draft Budget Law and remain open to modifications.
A significant portion of the expected revenue would arise from extending Italy's retail gambling concessions for an additional three years, which are currently scheduled to end in 2026. MEF is contemplating extending this deadline to 2029, allowing the government to continue collecting licensing fees while it addresses the long-awaited reorganization of the retail betting framework.
This extension follows Meloni's decision in August to cease negotiations with the Conference of Regions and Autonomous Provinces regarding the terms of the reorganization, effectively concluding nearly three years of discussions and removing the reform from the government's agenda for 2027. Reports suggest that the halted tender process could result in a loss of approximately €1.5 billion ($1.72 billion) in anticipated revenue for the state.
The mandate associated with Italy's Tax Delegation Law expired on August 29, as state and regional authorities failed to reach a political consensus on the future distribution of betting shops, gaming halls, and machines.
A temporary extension until 2029 could generate between €200 million ($230 million) and €250 million ($287.5 million) annually for the Treasury over the three-year period.
Under the current fee structure, concessionaires are required to pay €120 ($138) each year for every amusement-with-prizes machine and €4,000 ($4,600) for each video lottery terminal. Additionally, betting fees amount to €9,500 ($10,925) per agency and €5,700 ($6,555) for each betting corner, while bingo operators are charged €2,800 ($3,220) per hall monthly.
In addition to safeguarding state revenue, this extension would provide officials with extra time to test new gaming machine standards, resume discussions with local authorities, and prepare tenders for a long-term regulatory framework.
The Budget Law may also lay the foundation for Italy's upcoming scratch-card concession, which is currently held by Brightstar Lottery under a license that runs until September 30, 2028.
Reports indicate that MEF is considering a starting price of around €1 billion ($1.15 billion) for the tender, which is expected to maintain Italy's single-concessionaire model.
Officials have highlighted the recent Lotto concession process, which generated over €2.2 billion ($2.53 billion) in upfront revenue for the state, as a positive example.
Scratch cards are seen as a similar asset: the concessionaire's 6% premium on approximately €8 billion ($9.2 billion) in annual sales brings in close to €500 million ($575 million) each year. However, the scratch-card tender is unlikely to contribute directly to the 2027 budget, as the time required to prepare and award the license means that the Treasury will probably not receive its first two installments until 2028.
Other potential measures include a digital Lotto receipt, expected to generate €15 million ($17.25 million), and an additional Lotto and SuperEnalotto draw, projected to add around €50 million ($57.5 million) to annual state revenue.
Officials anticipate that the government will unveil the Budget Law in October, with all figures mentioned remaining tentative and subject to change.
The stalled negotiations in the retail sector have left licensees feeling frustrated, as many had hoped the government would finalize terms for a new generation of long-term concessions.
Guglielmo Angelozzi, CEO of Lottomatica, has informed investors that the delay has complicated the group's long-term financial strategies, and it remains uncertain whether operators will agree to another three-year extension instead of the permanent resolution they were expecting.
The Meloni administration has completed its overhaul of the online gambling sector through a new licensing regime.