Greece introduces criminal penalties to tackle illegal gambling

The Greek government is preparing a major legislative reform to combat illegal gambling, marking a decisive step toward addressing a growing issue that threatens public revenue and exposes citizens to unregulated gaming risks. Officials have warned that the black market for gambling is expanding rapidly, operating alongside legal operators and increasingly targeting younger players, which has raised social and economic concerns.

The proposed reforms are spearheaded by Kyriakos Pierrakakis, Minister of National Economy and Finance, who is leading efforts to modernise Greece’s framework for tackling unlicensed gambling. The new legislation is expected to introduce stringent criminal penalties targeting both operators and repeat consumers, extending enforcement beyond existing measures such as website blocking and venue closures.

Authorities estimate the illegal gambling market in Greece is worth around €1.6bn, causing annual losses to public finances exceeding €500m. The size and scale of this black market have prompted government officials to reconsider both legal and economic strategies to curb its influence.

The need for reform

Illegal gambling has long presented a dual challenge in Greece, undermining government revenue while exposing participants to unregulated risks. According to official estimates, approximately 9.5 percent of the population or roughly 799,000 individuals, engaged in unlicensed gambling at least once in 2024. This activity spans both online platforms and physical venues operating outside the legal framework.

The government and the Hellenic Gaming Supervision and Control Board (EEEP) have identified illegal gambling as a parallel economy supported by organized networks and offshore digital platforms that evade traditional enforcement mechanisms. Officials contend that existing approaches, including fines and the blocking of websites, have been insufficient to dismantle these illegal ecosystems, as they do not address the demand from consumers.

“The problem of unlicensed gambling is no longer just an administrative matter; it represents a threat to public resources and consumer safety,” a government spokesperson said. “It requires a comprehensive legal and enforcement response that targets both operators and those who repeatedly engage in illegal gambling.”

New criminal penalties for operators

Under the proposed reforms, individuals and entities operating illegal gambling activities could face severe criminal sanctions. Organizers running unlicensed games of chance may be subject to prison sentences of up to 10 years, accompanied by fines ranging between €50,000 and €100,000.

Sanctions would increase in severity under certain conditions. These include large-scale commercial operations, repeat violations, the involvement of minors and attempts to reopen gambling venues after closure. Authorities emphasize that criminal accountability is intended to act as a strong deterrent and reinforce the message that illegal gambling is a serious crime with tangible consequences.

“The introduction of tougher penalties is aimed at dismantling the organized networks behind illegal gambling, not just punishing isolated cases,” a senior official noted. “We are determined to ensure that unlicensed operators can no longer evade the law.”

The government expects that these measures will fundamentally alter the risk calculus for those considering running illegal gambling activities, signaling that violations will be met with both legal and financial consequences.

Extending liability to consumers

In a significant departure from past enforcement practices, the reform proposes to extend criminal responsibility to individuals who knowingly engage in illegal gambling. Repeat participation in unlicensed gambling would trigger penalties, creating accountability on the demand side of the black market.

Authorities argue that without addressing consumer behavior, enforcement measures focused solely on operators will remain limited in their effectiveness. By penalizing repeat players, the government hopes to discourage participation in illegal activities and reduce the overall scale of the black market.

“This approach represents a shift in policy that recognizes the role of consumers in sustaining unlicensed gambling,” officials said. “It is essential to treat repeat participation seriously to protect public revenue and public safety.”

Technological enforcement and interagency cooperation

The proposed framework also highlights the role of technology in combating illegal gambling. Advanced digital monitoring, artificial intelligence-assisted oversight and real-time detection tools are expected to play a key role in identifying unlawful operators and transactions.

In addition, cross-agency collaboration will be strengthened, involving law enforcement, regulatory authorities and financial intelligence units. Officials note that illegal gambling networks may also engage in related unlawful activities such as money laundering or fraud and integrated enforcement is necessary to address these broader risks.

Protecting vulnerable populations

While the reforms are primarily enforcement-oriented, authorities stress that protecting vulnerable populations remains a priority. Young people, in particular, are at heightened risk of exposure to illegal gambling and the government plans to enhance preventive measures. These include awareness campaigns, self-exclusion programs and initiatives to educate citizens about the risks of unlicensed gambling.

“The protection of minors and other at-risk groups is a central concern of this legislation,” officials said. “We aim to provide safe alternatives for those seeking recreational gambling while discouraging engagement with illegal operators.”

Supporting the legal gambling sector

The government also seeks to strengthen Greece’s regulated gambling market. By providing incentives for legal operators and promoting legal channels, authorities hope to draw consumers away from black-market platforms. Encouraging participation in licensed gambling operations benefits both operators and the public by improving consumer protections and increasing tax revenue.

Officials indicate that these measures will be complemented by the enforcement strategies, creating a balanced approach that combines deterrence, prevention and market development.

Legislative timeline and next steps

The Ministry of National Economy and Finance plans to publish the draft legislation for consultation in the first half of 2026. Public consultation will allow input from legal experts, industry representatives and civil society stakeholders before parliamentary approval.

If implemented, this reform will mark one of the most ambitious initiatives in recent years to combat illegal gambling in Greece. By introducing strict criminal sanctions, leveraging advanced enforcement technology and promoting social safeguards, the government hopes to significantly reduce illegal gambling and its associated economic and social harms.

Conclusion

Greece’s proposed reforms to combat illegal gambling represent a decisive shift in the country’s approach to unlicensed gaming activity. By introducing stringent criminal sanctions for both operators and repeat consumers, the government aims to tackle not only the supply of illegal gambling but also the persistent demand that fuels it. This dual approach underscores a recognition that enforcement cannot succeed in isolation and must address the full ecosystem sustaining unlicensed activity.

The integration of advanced technology, cross-agency cooperation and consumer protection measures signals a modern, comprehensive strategy designed to safeguard public finances, protect vulnerable populations and strengthen the legitimacy of the regulated gambling sector. By combining deterrence, education and legal accountability, the reform seeks to create a more transparent and secure gambling environment in Greece.

Ultimately, the proposed legislation reflects a broader commitment to uphold the rule of law while promoting responsible gambling. If effectively implemented, it has the potential not only to reduce the €1.6bn black market but also to reinforce public confidence in the regulatory framework, ensure fair competition for licensed operators and protect citizens from the financial and social risks associated with illegal gambling. Greece’s initiative could serve as a model for other jurisdictions facing similar challenges, demonstrating that comprehensive reform, when paired with rigorous enforcement and social safeguards, can significantly curb unregulated gaming activity while enhancing the integrity and sustainability of the legal gambling market.

FAQs

What is the main purpose of Greece’s illegal gambling reform?
The reform aims to introduce criminal sanctions for operators and repeat players while strengthening enforcement and consumer protection.

Who is leading the reform?
Kyriakos Pierrakakis, Minister of National Economy and Finance, is spearheading the legislation to modernize anti-illegal gambling measures.

What penalties could illegal gambling operators face?
Operators may face prison sentences of up to 10 years and fines ranging from €50,000 to €100,000.

Will repeat players be penalized?
Yes, individuals who knowingly participate in illegal gambling more than once could face criminal penalties.

How large is Greece’s illegal gambling market?
Authorities estimate the illegal market generates around €1.6bn annually, with significant losses to public finances.

Does the reform include online gambling?
Yes, the reform targets both physical and online unlicensed platforms, including offshore digital operators.

How will minors be protected?
Measures include educational campaigns, self-exclusion programs and strategies to prevent youth access to illegal gambling.

What role will technology play in enforcement?
Advanced monitoring systems, AI-assisted oversight and cross-agency data sharing will support detection and prevention of illegal activity.

Will legal operators benefit from the reform?
Legal operators are expected to gain from reduced competition from unlicensed operators and improved consumer trust.

When will the new laws take effect?
The draft legislation is expected for public consultation in the first half of 2026, followed by parliamentary consideration.