Italy’s long awaited reform of the land based gambling sector has entered a decisive stage, with technical discussions now underway at the Unified Conference as policymakers attempt to align national objectives with regional control.
The draft legislative decree, developed in line with the 2023 tax law, has been reviewed by the Ministry of Economy and Finance alongside regional and municipal authorities, marking the start of a complex negotiation process that will shape the future structure of the market.
While Italy has already redefined its online segment through Legislative Decree No. 41 of 2024, land based reform presents a more intricate challenge. Control over retail gambling remains heavily decentralised, with local authorities maintaining significant influence over licensing conditions, operating hours and location restrictions.
At the centre of the debate is fragmentation. Current rules vary widely across regions and municipalities, particularly around minimum distance requirements from sensitive locations such as schools and hospitals. The proposed reform seeks to introduce national harmonisation, although key details, including differentiated distance rules by venue type, remain under discussion.
Licensing is another critical pressure point. The draft outlines potential changes to concession structures and tender processes, raising the prospect of a reduced number of retail outlets and gaming machines. Industry bodies have warned that higher entry costs and stricter requirements could favour larger operators, placing smaller businesses under increasing strain.
Concerns over market concentration are already emerging. Geronimo Cardia, representing concessionaires, has cautioned against reforms that could marginalise small and medium sized operators and accelerate consolidation across the sector.
Economic implications are also being closely scrutinised. Domenico Faggiani has suggested that changes to the licensing framework could result in annual tax losses exceeding €1.6bn, while putting up to 24,000 jobs at risk across a workforce estimated at around 50,000.
Political voices have echoed those concerns. Riccardo Pedrizzi has warned that, without careful calibration, the reform could lead to an oligopolistic market structure, limiting competition and reducing overall fiscal returns.
The legislative pathway remains complex. Following alignment at the Unified Conference, the decree must pass through the Council of Ministers and parliamentary committees, where further amendments are expected before final approval.
For Italy, the challenge is structural rather than procedural. Balancing national consistency with local autonomy, while preserving competition and tax yield, will determine whether the reform stabilises the market or introduces a new phase of uncertainty.
