Bulgaria is moving forward with a proposal to introduce licensing requirements and a new levy targeting gambling affiliates, as part of the country’s long-delayed 2026 budget. The budget, which is now heading to the National Assembly for final approval, includes measures aimed at generating additional revenue to address a projected deficit of 5.7 percent, roughly €7.2 billion. The proposed rules would require gambling affiliates to obtain licences and pay a two-part levy, marking a significant shift in how the Balkan nation regulates its online gambling ecosystem.
The inclusion of affiliate-specific regulations in the budget package signals the government’s intent to bring a previously loosely regulated segment of the gambling industry under formal oversight. Affiliates, which drive traffic to online casinos and sportsbooks through marketing and referral links, have operated in a grey area in many jurisdictions. Bulgaria’s move aligns with a broader European trend toward stricter affiliate regulation, following similar actions in countries like Sweden, the United Kingdom, and Germany.
The two-part levy structure is designed to capture revenue from affiliate activities, though specific details on the levy rates and licensing fees have not been disclosed in the available information. The budget deficit, driven by economic pressures and public spending needs, has prompted the government to explore new revenue streams. Gambling affiliates, which have grown in prominence alongside the expansion of online gambling, are seen as a viable target for taxation.
Industry stakeholders will be watching closely as the budget moves through the legislative process. The proposed changes could have significant implications for affiliate operators active in the Bulgarian market, many of which are based in other jurisdictions. Licensing requirements may impose compliance costs and operational hurdles, while the levy could reduce profit margins. However, the formalisation of affiliate regulation could also provide legal clarity and potentially open the door to a more structured market.
Bulgaria’s gambling market has been regulated since 2012, with the State Commission on Gambling overseeing licensing and enforcement. The country has a mix of land-based and online operators, and the government has historically taken a cautious approach to gambling expansion. The new affiliate rules represent a notable departure from that stance, as the state seeks to tap into the growing influence of digital marketing in the gambling sector.
The budget’s passage through the National Assembly is not guaranteed, as political dynamics and opposition could delay or alter the proposals. However, the inclusion of affiliate regulation in the budget package suggests a high level of government commitment. If approved, Bulgaria would join a growing list of European countries that have moved to license and tax gambling affiliates, a trend that is reshaping the affiliate marketing landscape across the continent.
For affiliates currently operating in Bulgaria, the proposed changes underscore the importance of monitoring regulatory developments and preparing for potential compliance requirements. The two-part levy could be structured as a fixed fee plus a percentage of revenue, similar to models used in other jurisdictions. Affiliates may need to register with Bulgarian authorities, maintain records of their activities, and report earnings to ensure compliance.
The broader context of Bulgaria’s fiscal challenges adds urgency to the government’s revenue-raising efforts. The 5.7 percent deficit, equivalent to €7.2 billion, reflects the strain on public finances from economic slowdown and increased spending. Gambling-related taxes have been a reliable source of income for many governments, and the affiliate levy is part of a broader strategy to close the budget gap without raising broad-based taxes.
As the legislative process unfolds, industry observers will be looking for further details on the licensing framework, levy rates, and implementation timeline. The outcome could set a precedent for other countries in the region considering similar measures. For now, the proposal remains a key development in Bulgaria’s gambling regulatory landscape, with potential ripple effects for affiliates and operators alike.
In the coming weeks, the National Assembly’s debate on the budget will determine the fate of the affiliate licensing and levy proposals. If enacted, the new rules would take effect as part of the 2026 budget, giving affiliates time to adapt. The Bulgarian government’s move underscores the increasing scrutiny of gambling affiliates worldwide and the growing recognition of their role in the gambling ecosystem.