Casino in Holland expresses existential concern over proposed tax hike
A Tough Year for Holland Casino: Struggling Amidst Tax Hikes and Regulatory Pressure
Gambling Revenues Dwindle as Holland Casino Posts a 10.4 Million EUR Loss in 2024
Job Cuts and Zandvoort Location Closure Loom as Initial Responses
In a tough blow to the Dutch gamblers, the state-owned casino chain, Holland Casino, is grappling with significant financial troubles. This is according to a report by the Dutch newspaper De Volkskrant [Link in Dutch].
Taxes Take a Bite Out of Holland Casino's Profits
The gambling tax in the Netherlands shot up from 30.5% to 34.2% in January 2025, and it is scheduled to rise to 37.8% by 2026. This tax hike, coupled with uncertainty for Holland Casino, has been a thorn in the company's side, according to their report.
In 2024, Holland Casino recorded a staggering loss of 10.4 million EUR. Despite the influx of guests, the average spending per guest diminished. The company attributes this trend to other operators facing similar struggles. The online division of the casino also saw revenue losses, piling on the economic pressure.
Severe Cost-Cutting Measures Kick In
In the face of the bleak financial situation, Holland Casino has initiated drastic cost-cutting measures. Hundreds of employees have been let go at the Hoofddorp headquarters, and the casino in Zandvoort has been shut down. Other unprofitable locations could be next. To help reduce costs, American roulette with greater house odds is being tested.
The Importance of Legal Gambling Providers
The reduction of legal gambling options encourages the growth of the black market. This scenario also unfolds in Germany, where the newly elected government plans to crack down on illegal gambling more assertively.
Legal providers bring several advantages to the table:
- Protection for Players: They implement preventive measures to safeguard gamblers.
- Reliable Age Verification: They ensure that minors are kept away from gambling establishments.
- Deposit Limits and Self-Exclusion Options: They provide tools for Gamblers to control their spending.
- Transparent Processes and State Control: This helps maintain accountability.
With insufficient financial resources, legal operators can't guarantee these protective functions and effectively combat the black market.
Auditors' Warnings - Hope Through Tax Relief?
Despite the dismal financial performance, auditors remain optimistic about the continuation of the company's operations, but only with aggressive cost-cutting measures. These measures would be aimed at ensuring the company's solvency until at least the beginning of 2027.
Tax relief could offer a glimmer of hope. Holland Casino has agreed on a payment deferral program with the Dutch tax authority, focusing on debts amassed during the COVID-19 pandemic. The repayment period has also been extended to ease liquidity issues, but the situation remains precarious.
Social Responsibility as a Priority
Despite the crisis faced by the company, the management remains committed to the social aspect of gambling. According to CEO Petra de Ruiter, efforts to prevent gambling addiction require resources – and hence, financial flexibility.
In line with the Ministry of Justice and Security's latest vision, Holland Casino will continue to strive for a responsible and attractive legal gambling offer, ensuring both the attractiveness of its offerings and the company's longevity.
The dangerous combination of increasing costs, regulatory pressure, and declining revenues threatens not only the company, but also efforts to ensure player protection and prevent addiction. The revenues generated from legal gambling reached a record high of 1 billion EUR in 2024, even before the tax increases.
- The tax hike on casinos in the Netherlands, which went from 30.5% to 34.2% in 2025 and is scheduled to reach 37.8% by 2026, has been a significant strain on Holland Casino's profits, contributing to their 10.4 million EUR loss in 2024.
- In a bid to cut costs, Holland Casino, the state-owned casino chain in Holland, has resorted to drastic measures such as job cuts, the closure of the Zandvoort location, and the testing of American roulette with higher house odds.
- The finance ministry in Holland is considering tax relief as a potential solution to the financial woes faced by Holland Casino, after agreeing on a payment deferral program focusing on debts accrued during the COVID-19 pandemic.
- Holland Casino, despite facing financial difficulties, continues to prioritize social responsibility and efforts to prevent gambling addiction, with CEO Petra de Ruiter emphasizing the need for financial flexibility in these initiatives.
