KSA warns of rising illegal gambling in the Netherlands

The Dutch gambling authority, Kansspelautoriteit (KSA), has released its autumn monitoring report for 2025, raising serious concerns about the growing influence of illegal online gambling operators in the Netherlands. The report paints a complex picture of the current market—showing stable player channelisation within the regulated sector but a worrying decline in the overall proportion of money spent legally, suggesting that more funds are now being diverted to unlicensed platforms.

While the regulator acknowledges that the new deposit limits have had a positive effect in reducing player losses, it also warns that these restrictions may have unintentionally encouraged some gamblers to seek offshore, illegal websites that operate without Dutch oversight.

The current state of the Dutch online gambling market

According to the KSA’s report, the gross gaming revenue (GGR) for the first half of 2025 was estimated at €600 million (approximately $694 million). This marks a decline from €697 million recorded in the previous six-month period. The authority attributes this decrease primarily to the implementation of stricter deposit limits aimed at promoting responsible gambling and reducing financial harm among players.

Despite this dip in total revenue, the KSA observed that player channelisation, or the proportion of Dutch gamblers choosing licensed operators, has remained relatively stable. However, money channelisation—the share of total gambling spend directed toward regulated platforms—has dropped slightly from 51% to 49%. This shift indicates that while players may still hold accounts with licensed operators, a growing portion of their spending is occurring in the unregulated, illegal market.

New deposit limits and their unintended consequences

The Dutch government introduced deposit limits as part of a broader effort to protect consumers and mitigate problem gambling. These restrictions, which cap how much players can deposit into their accounts within a set period, are designed to prevent financial harm and addiction.

However, KSA’s latest findings suggest that some unintended consequences have emerged. While the limits have indeed led to lower average losses per player, they may have also driven certain gamblers to seek ways around the restrictions—such as by opening multiple accounts with different operators or turning to illegal gambling platforms that do not enforce such safeguards.

The regulator stated that “the new deposit limits have contributed to the stagnation of the regulated market’s growth,” but noted that this was “seen as a positive outcome in the context of consumer protection.”

Player behavior and market participation

The report estimates that 5.7% of the adult population in the Netherlands participated in online gambling during the first half of 2025, up from 5.4% in the previous reporting period. This modest increase suggests that the overall number of players continues to rise, even as total GGR falls.

KSA analysts believe that a portion of this growth can be attributed to repeat account creation—that is, players opening accounts across multiple platforms to bypass deposit restrictions or take advantage of bonuses. This makes it more difficult to accurately measure genuine player growth.

In response, KSA has emphasized the need for better data-sharing mechanisms between licensed operators to track and prevent multiple registrations by the same individuals, a step that could strengthen responsible gambling measures.

Decline in player losses and improved safeguards

One of the more encouraging findings from the KSA’s report is the reduction in average player losses. At the end of 2024, the average monthly loss per player stood at €146, but this figure has since fallen to €119. The regulator attributes this decline to its continued enforcement of deposit limits, enhanced affordability checks, and stricter monitoring of player behavior.

Particularly notable is the trend among young players aged 18 to 24, who show significantly lower monthly losses—averaging just €37. Despite this, they represent a large proportion of all active gambling accounts, comprising 23% of total users. KSA continues to monitor this demographic closely, noting that young adults are often more vulnerable to gambling harm and should therefore remain a key focus of preventive policies.

New licensing requirements from 2026

In a significant regulatory development, the KSA announced that from January 2026, all applicants for an online gambling license in the Netherlands will be required to submit an “exit plan” as part of their application process.

This exit plan must outline how an operator would withdraw from the Dutch market in the event that its license is not renewed or is revoked. The purpose of this new requirement is to ensure orderly market exits and to protect players from disruptions or sudden closures that could leave them with unclaimed funds or unresolved bets.

According to KSA, this policy forms part of a broader effort to strengthen the integrity of the regulated market and to prevent situations where operators abruptly cease operations without properly addressing their obligations to players.

Rising risks of illegal online gambling

The KSA has repeatedly warned about the growing risks associated with illegal gambling operators, many of which target Dutch players through offshore websites. These unlicensed entities often fail to comply with national laws, responsible gambling protocols, and consumer protection standards.

Unlike licensed operators, illegal gambling websites typically lack age verification systems, deposit limits, or self-exclusion tools. This exposes vulnerable individuals to higher financial and psychological risks. Moreover, because these sites operate outside the jurisdiction of the Netherlands, players have little to no legal recourse in cases of fraud, unpaid winnings, or data misuse.

The KSA reaffirmed its commitment to intensifying enforcement efforts against illegal platforms by working with internet service providers, payment processors, and advertising networks to block access to unlicensed gambling domains and to disrupt financial flows associated with them.

The importance of responsible gaming and player protection

KSA’s latest findings reinforce the regulator’s long-standing message: the success of the Dutch gambling framework depends not only on market growth but also on the protection of consumers. The authority continues to advocate for a balance between commercial opportunity and social responsibility.

To that end, KSA has called on licensed operators to strengthen their player protection tools, including real-time monitoring systems that detect problematic betting patterns and timely interventions for at-risk players. The regulator has also urged for greater public awareness campaigns to inform players about the dangers of illegal gambling and the benefits of using licensed providers.

In its report, KSA noted that the decline in player losses and the relative stability in channelisation rates are signs that responsible gambling policies are having a measurable impact. Nonetheless, the rise in illegal gambling spending underscores the need for vigilance and stronger regulatory enforcement.

Future outlook for the Dutch gambling market

Looking ahead, the Dutch gambling sector faces a dual challenge: maintaining the effectiveness of responsible gaming measures while ensuring the legal market remains attractive enough to discourage players from seeking illegal alternatives.

The introduction of the exit plan requirement in 2026, along with ongoing enforcement actions, represents an important step toward reinforcing public trust in the regulated market. KSA’s continuous data-driven monitoring and transparent reporting approach will remain essential in achieving these objectives.

While the report reflects a market undergoing adjustment, it also demonstrates a clear commitment to player safety, transparency, and market integrity—principles that the Dutch regulator considers foundational to the long-term sustainability of the country’s gambling ecosystem.

Conclusion

The KSA’s autumn report serves as a reminder that regulatory balance is critical in any gambling market. Efforts to reduce harm and prevent addiction must go hand in hand with measures that keep players within the legal and protected ecosystem.

As illegal operators continue to find ways to attract Dutch players, the KSA’s proactive stance, enhanced data oversight, and introduction of new licensing safeguards signal a robust commitment to ensuring that the Netherlands remains a safe and transparent environment for online gambling.

FAQs

What is the KSA?
The Kansspelautoriteit (KSA) is the Netherlands Gambling Authority, responsible for regulating and overseeing all gambling activities within the country.

Why is the KSA concerned about illegal gambling?
The KSA is worried that unlicensed operators expose players to greater risks, including financial loss, data breaches, and lack of responsible gambling measures.

What caused the decline in GGR during the first half of 2025?
The introduction of new deposit limits led to lower spending among players, contributing to a decrease in total gross gaming revenue.

How many people in the Netherlands gamble online?
Approximately 5.7% of the adult population participated in online gambling during the first half of 2025, up from 5.4% previously.

What are deposit limits?
Deposit limits restrict how much money players can deposit within a given timeframe, helping to prevent excessive gambling behavior.

What is the purpose of the new “exit plan” for operators?
From 2026, operators must submit an exit plan detailing how they will leave the market if their license is not renewed, ensuring player protection and orderly market exits.

How has player loss changed over time?
Average monthly losses per player fell from €146 to €119, indicating a positive effect from responsible gambling initiatives.

Are young players gambling less money?
Yes, players aged 18–24 have lower average losses of €37 per month but still make up a significant portion of active gambling accounts.

What actions is KSA taking against illegal gambling sites?
The KSA collaborates with ISPs, payment providers, and advertising networks to block illegal websites and disrupt their financial operations.

What is the KSA’s long-term goal?
The authority aims to create a safe, fair, and well-regulated gambling environment where player protection remains the highest priority.