Gambling industry braces for AMLA era amid surge in enforcement
Europe’s gambling operators are preparing for changes under the EU’s new anti-money laundering regime, with the sector facing tighter compliance and cross-border oversight. In a recent masterclass hosted by the European Gaming and Betting Association (EGBA), the growing burden of AML obligations and the crucial role of upcoming EU-wide regulations was discussed.
AML audits and reports see dramatic rise
Online gambling operators are facing an increasing volume of anti-money laundering (AML) enforcement across Europe. “In 2024, our member operators underwent 142 licensing audits. Out of those, 48 were AML audits,” said Dr Ekaterina Hartmann, Director of Legal and Regulatory Affairs at EGBA. “This has gone up since we last collected data for 2022, and this also shows ever-increasing focus on AML and compliance.”
The number of suspicious transaction reports (STRs) submitted by EGBA members has nearly doubled in two years. “In 2024, our member operators submitted 31,000 suspicious transaction reports. In 2022, this number was 16,000,” she revealed. “This also shows the importance of fighting anti-money laundering by obliged entities that are not only banks or financial institutions.”
Dr Hartmann added that gambling operators are now being recognised as a key part of the EU’s anti-money laundering framework. “We welcomed the inclusion of our sector in the Fourth AML Directive,” she commented during the masterclass.
New authority, new rulebook, and fewer loopholes
At the heart of the EU’s new strategy is the creation of a dedicated agency, the Anti-Money Laundering Authority (AMLA). “AMLA should start its work in 2026,” explained Dr Hartmann. The agency will “directly supervise the 40 biggest banks,” but also have significant indirect influence on other obliged entities, including gambling operators.
She emphasised that even though AMLA will not initially supervise the gambling sector directly, “there is the theoretical possibility that AMLA may start direct oversight, if it is considered that we’re not doing well enough as a sector.”
A key pillar of the new AML regulation (AMLR) is harmonisation. “We’re moving from a directive to a regulation, which means that it’ll apply in its entirety,” said Dr Hartmann. She added that this shift could reduce compliance costs, especially for cross-border operators: “From the perspective of the international gambling operators, having a single rulebook is going to be beneficial in terms of compliance.”
The €2,000 threshold for customer due diligence (CDD) was retained despite intense debates in Brussels. “Obliged entities shall apply customer due diligence measures upon collection of winnings, wager during a stake, or both, when carrying out transactions amounting to at least 2000 euros,” she said, citing the regulation’s exact wording.
Concerns over customer retention
Compliance officers across the industry are facing practical challenges, especially when it comes to customer engagement. “The further strengthened rules on enhanced customer due diligence are going to be a challenge for most compliance teams,” Dr Hartmann warned.
She cited market-specific difficulties: “In certain countries, conducting enhanced customer due diligence has a very severe effect on customer retention. In the south of Europe, such as Italy and France, customer retention is very low.”
Next steps
The new AML regulation is set to apply from 10 July 2027. Dr Hartmann urged operators to act without delay. “Every obliged entity should already be looking at the AMLR and should already be looking at how they will implement this new package,” she said. “It’ll be a very massive undertaking for compliance teams.”
Her final message to the industry was clear: “AML policy is very much geared to banks and financial institutions, but other industries should not be an afterthought. Any technical discussions need to include all obliged entities.”
