Prague Takes Control: Local Gambling Regulations Set to Revolutionize City
Court decision in Czech Republic: Prague granted self-rule in gaming regulation
The Czech Constitutional Court (Ústavní soud České republiky) has given Prague the green light to regulate gambling at a local level, as per [English link]. Each of the city's 57 districts now has the freedom to establish their own rules regarding gambling activities.
With this newfound liberty, districts can introduce restrictive measures on popular games such as poker, roulette, blackjack, or any other table games at their discretion.
This landmark decision aligns with the Czech gambling regulation of 2021 that permits live casino games in Prague, while outlawing slot machines across the city.
In 2023, the Ministry of the Interior and the Czech Office for Competition Protection (ÚOHS) questioned the validity of these regulations, alleging prohibitive measures and unclear stipulations. Yet, the Constitutional Court dismissed these claims, arguing that the regulations complied with the Czech Gambling Act of 2016.
Gambling Scene in the Czech Republic
Licensed gambling providers can offer their services legally, with authorization from the Ministry of Finance (Ministerstvo financí České republiky). This includes casino games, sports betting, and lotteries.
Moreover, the Czech Republic maintains a national self-exclusion register (Rejstřík vyloučených osob), which enables problem gamblers to be excluded from all gambling services within the country, similar to the German OASIS blocking system.
Prague Districts Vary in Gambling Regulations
As of now, 41 out of the 57 Prague districts have opted for a total ban on live casino games. The remaining districts have imposed limitations on casino opening hours instead.
The Constitutional Court has highlighted the importance of considering the concerns and needs of the population in setting local gambling regulations. This new dispensation allows for individual decision-making, catering to the distinct requirements of each district.
Despite the unified ruling, Judge Milan Hulmák has expressed reservations, voicing his opinion that there is no compelling reason to sanction diverse gambling regulations within the city.
Controversy Brewing: The gambling industry is currently under scrutiny following a large-scale investigation by the Czech financial authority that exposed tax evasion for the years 2021 and 2022. The authorities demanded approximately 22 million euros in back taxes from affected gambling providers, along with additional penalty payments due to false statements to the tax authority. The identities of the providers involved remain undisclosed.
Conversely, the Prague city council views this Constitutional Court decision as a crucial step toward empowering districts to make informed decisions and protect their citizens.
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- The decision made by the Czech Constitional Court allows Prague's 57 districts to regulate online casinos, including poker, roulette, blackjack, and other casino games, locally.
- In 2025, it is expected that local districts will have the power to establish regulations for online casinos in Germany.
- Prague's new local gambling regulations have been questioned by the Ministry of the Interior and the Czech Office for Competition Protection, but the Constitutional Court has upheld them.
- As of now, 41 out of the 57 Prague districts have banned live casino games, while the remaining districts have set limitations on casino opening hours.
- Controversy has arisen within the gambling industry following a large-scale investigation that exposed tax evasion by unnamed providers in the years 2021 and 2022.
