Croatia Boosts Gambling Revenue Funding for Social Projects as New Regulations Take Effect
In a historic move, Croatia is poised to allocate more than €214 million from gambling-related revenues to social and public interest initiatives next year, the largest such distribution since the country began dedicating proceeds from gaming activities to civic causes. Croatia Gambling Revenue
Confirmed by State Treasurer Danijela Stepić, this figure marks a significant increase from the approximately €130 million allocated in the previous funding cycle. Of this amount, around €144 million is expected to come from gambling activity during 2026, with nearly €70 million comprising unspent funds carried over from 2025.
This boost comes amid ongoing major reforms to Croatia’s gambling sector. Throughout 2025 and 2026, the Croatian Democratic Union has been overhauling gambling laws, citing the need to address growing social costs associated with betting and gaming.
Prime Minister Andrej Plenković expedited amendments to the Games of Chance Act following his re-election in 2024. The government frames these changes as a shift in focus: moving away from industry interests and toward broader societal benefits.
Health officials have sounded the alarm over gambling-related harms. Estimates suggest that roughly 40,000 adults are battling severe gambling disorders, while recent studies highlight Croatian teenagers as particularly vulnerable to problematic gambling behaviors within the Balkans.
Recent restrictions have reshaped Croatia’s gambling environment. Self-service betting terminals have been removed from cafés, restaurants, bars, and kiosks, while betting venues now face tighter regulations, including bans on serving alcohol.
On the financial front, the reforms have been just as impactful. License fees for both online and land-based operators have increased by 50%, and a new tiered tax system on winnings has been introduced. Players now pay between 10% and 30% tax, with the highest rate applying to prizes between €1,500 and €70,000.
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At a recent Ministry of Finance conference, Stepić outlined how the expanded fund will be managed. The revised annual regulation on gambling revenues aims to set clearer criteria and priorities, guiding the allocation of funds based on social needs and the requirements of public institutions and civil society groups.
The Treasury plans to embed a stronger public interest mandate into the use of funds generated under the updated legislation. Funding will support a broad array of programs, including sports, addiction prevention and treatment, social welfare, disability support, cultural projects, technical education, youth initiatives, and civil society development.
The allocation model has been developed through consultations with ministries, public agencies, and NGOs, and is now open for public discussion. For the Croatian government, the goal is clear: tougher gambling controls can yield tangible social benefits. This approach underscores a broader message from Zagreb, gambling revenues should serve not only the state but also help tackle some of Croatia’s most pressing social challenges. Croatia Gambling Revenue
