Hesse To Break From State Treaty on Gambling

The German state of Hesse has announced a possibility to develop its own gambling regulations in case the government fails to deliver a federal framework by the end of 2019. According to the report, the ruling coalition could even part with the State Treaty on Gambling, allowing it to work on an entirely new regulatory model.

Setting out key goals including player protection and compliance with coherent European laws is the coalition’s long-term plan, whose system would also grant licenses according to the quality of applicants.

2019 Crucial For The State Treaty

Despite its ups and downs, Germany’s official State Treaty on Gambling is set to expire by the end of this year, enabling all 16 federal states to withdraw and develop new frameworks. The central German state has criticized the treaty on multiple accounts, stating it would be forced to break and overhaul the 2012 established document…

In addition, the state government plans to increase the funding of Landessportbund Hessen, as its budget could promote competitive sports, and encourage people to participate in various sporting events across the state. The association’s efforts even involve policies for increasing the number of disabled individuals in sport.

Hesse’s attempts to discredit the State Treaty have failed in 2017, when the government tried to add a clause that would allow sports betting and online gaming. Consequently, the revised legislation “failed to secure approval” from two states, and could not come into force.

Other States To Develop New Models

One of the states with a liberal regime when it comes to gambling, Schleswig-Holstein, has announced a possible partnership with Nordrhein-Westphalen, Rheinland-Pfalz and Hesse, whose revision of the Treaty could allow operators to initiate full-scale betting services in the following period.

On the other hand, Germany’s leading iGaming state terminated the governing power of its jurisdiction on December 21st, 2018 since its casino licensing period expired after six years.

The state of Hesse is also interested in transferring regulatory oversight of slot machines to Germany’s federal states. Due to the fact that the country still struggles to adjust the iGaming landscape, services such as online casinos, land-based gaming, lotteries, and internet wagering will have to wait for another round of updates.

In December, one of the leading betting operators, GVC Holdings, also announced it would no longer accept PayPal, a banking platform for online transactions. In case you want to read more about gambling in Germany, make sure to navigate to our menu or the search box.


“Hesse plots break from State Treaty on Gambling”, igamingbusiness.com, January 7, 2019.

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