Hungary puts gambling regulator SZTFH under review as new government weighs abolition

Hungary’s new government has ordered a review of the Supervisory Authority for Regulated Activities (SZTFH), with an eye on whether the gambling regulator can be abolished and its powers moved to bodies under direct government control. For PSPs and operators, that is not a cosmetic change: it can mean a reset of licensing, enforcement, and who actually signs off on the rules.

1. The review was ordered by the government of Péter Magyar and the TISZA Party, according to a resolution published in the state gazette, Magyar Közlöny. Hungary’s Justice Minister Márta Görög has been instructed to present findings to the government by the end of the month.
2. The government is assessing both SZTFH’s operations and the legal framework behind it. The stated aim is to determine whether the authority could be abolished and its responsibilities reassigned to bodies operating under direct government control.
3. SZTFH was established five years ago under Act XXXII of 2021 on the Supervisory Authority for Regulated Activities. It covers gambling, mining and geology, legal professions and tobacco sales, and has faced criticism over its decision to award a 35-year casino licence to CAI Hungary Kft without a public tender.
4. The regulator has defended its record, saying it achieved “significant results in eliminating illegal online gaming organisers” in gambling. It also said it has carried out “tens of thousands” of inspections of retailers and blocked illegal online retailers in its campaign against underage tobacco sales.
5. Magyar took office on May 9, ending Viktor Orbán’s 16-year Fidesz government. His administration is reviewing several state-run institutions, including Szerencsejáték Zrt, where finance and economy minister András Kármán appointed Marcell Olajos as chairman after the dismissal of Zoltán Guller in June.

Szerencsejáték Zrt holds exclusive rights to the Hungarian national lottery and still dominates sports betting in Hungary, even after the country opened its online sports betting market to European Economic Area operators in 2023. The government is also reviewing the allocation of gambling revenues, including sponsorships and public funding, which is the kind of housekeeping that tends to become someone else’s compliance headache very quickly.