Bulgaria’s Gambling Advertising Ban Proposal Denied by Finance Ministry

Bulgaria’s Finance Ministry has rejected opposition proposals for a Bulgaria advertising ban on gambling activities, citing concerns about market stability and regulatory effectiveness. The decision comes as the country grapples with significant black market challenges, notably with the gray sector currently representing approximately 40% of the gambling market. The Finance Ministry’s stance reflects a cautious approach to gambling regulation, balancing public health considerations against the risk of pushing operators further into unregulated territory. The rejection of the Bulgaria gambling ban proposals signals the government’s preference for comprehensive regulatory reform over targeted advertising restrictions. Bulgarian authorities have instead announced plans to review the country’s entire gambling legislative framework.

Finance Ministry Rejects Opposition Gambling Advertising Ban Proposals

Deputy Finance Minister Lyudmila Petkova declined opposition demands during budget committee discussions, rejecting proposals from “We Continue the Change” and “Democratic Bulgaria” for stricter Bulgaria advertising ban measures and increased gambling taxation. The opposition parties, former coalition partners before April elections, campaigned for near-complete marketing restrictions in densely populated areas and raising the GGR tax from 20% to 30%.

Venko Sabutev, an opposition MP advocating for the Bulgaria gambling ban, criticized the government’s refusal during parliamentary proceedings. “How could you change the Labor Code through transitional and final provisions, but not be able to change the Gambling Act and stop gambling advertising through the same mechanism?” he demanded.

Petkova warned that tax increases before addressing illegal operations would drive consumers toward unlicensed platforms. “The proposal to increase the tax sounds very good at first glance, but the real effect of the measure will be the transfer of players from the legal to the illegal market,” she stated. The government revealed Bulgaria’s channelization rate stands at approximately 60%.

Online gambling currently faces taxation at 25% of GGR alongside a 10% corporate tax, increased from the previous 20% rate earlier this year. Petkova confirmed the Finance Ministry would undertake a comprehensive gambling legislation review, noting that piecemeal amendments across various laws created enforcement challenges.

What Black Market Concerns Drive Bulgaria’s Cautious Approach?

Bulgaria already implemented sweeping advertising restrictions in 2024, creating a regulatory environment that makes authorities hesitant about additional limitations. The country’s current Gambling Act permits only narrowly defined advertising venues, specifically outdoor billboards positioned at least 300 meters from educational institutions, community cultural centers, playgrounds, schools, student hostels and facilities serving children.

Facade advertising remains permissible but cannot exceed 20% of the building surface or 50 square meters. Sports equipment, facilities, halls, stadiums and swimming pools can display gambling promotions, excluding materials intended for minors. All permitted advertising must dedicate at least 10% of space to the warning text: “Gambling poses a risk of developing addiction”.

The 2024 amendments significantly tightened restrictions, prohibiting gambling advertising in radio and television programs, public places including building facades, printed works and electronic media including websites, and state and municipally owned property. These comprehensive limitations already constrain operator marketing capabilities.

Bulgaria banned casinos in towns with fewer than 10,000 inhabitants. Authorities worry that layering additional restrictions onto this framework could eliminate legal operators’ ability to compete against unlicensed platforms, which face no advertising constraints. This concern drives the government’s preference for comprehensive legislative review rather than incremental Bulgaria advertising ban expansions.

Why Does Bulgaria Plan Comprehensive Gambling Act Review?

The Minister stated that regulatory changes over the years have been hastily added within other laws, which makes necessary corrections more challenging than required. “We are starting work on a comprehensive review of the Gambling Act. The reason is that amendments are regularly made to it between the first and second readings of other laws, and then years are needed to correct the consequences of the inaccuracies,” the Minister explained.

One such gambling-related change appeared in the 2026 Budget itself, envisioning the introduction of licenses for gambling affiliates to patch up the country’s deficit following a prolonged period of inflation that preceded Bulgaria’s accession to the Eurozone. This patchwork approach exemplifies the regulatory fragmentation authorities seek to address through comprehensive reform.

Future work to reform the gambling act will likely need input from the gambling regulator, the National Revenue Agency. The authority itself, which operates under the Ministry of Finance’s control, was left without a Director of Gambling Policies following Alexander Popov’s departure. This vacancy complicates the review process, as specialized gambling oversight requires dedicated leadership.