German Gambling Market 2023

Updated by Robin Storm verified symbol on May 26, 2023

Germany is in the midst of going through quite a period of growth. New regulations introduced in 2021 for online gaming have seen a surge in activity. Through them, casino and sportsbook operators can apply for online licences. This means that they can access millions of potential gamers across Germany. It is, after all, home to Europe's largest population. Before the introduction of the new laws, online gambling was very limited in the country. Yet 2022 has seen a change of attitude in Germany's various states. Now, a variety of games, from roulette and poker to online slots in Germany, are available. 

The German Interstate Treaty on Gambling became official in July 2021. Through it, private operators gained the ability to provide their services to a larger extent in Germany. It has been a long-awaited liberalisation of the market. Despite one or two problems, various operators have obtained a licence to do exactly that. The treaty relates to all 16 German states regulating gambling across the country. Schleswig-Holstein is the sole exception to this, as it offered iGaming before. The state had already issued licences to about 50 online casinos, sportsbooks and poker rooms.

How Big Is the Gambling Market in Germany?

There are no definitive statistics surrounding Germany's gambling market yet. That's due to the fact that it has only recently achieved regulation. Before the introduction of the treaty, things would have been different. German gamblers would likely have been accessing unregulated, offshore websites. 

Many of the biggest online casinos in Europe supported German registrations. This included both regulated and unregulated platforms. Yet there was no benefit for the country at the sites based outside of Germany's borders. Any revenue acquired by those casinos did not see tax put into the German system. The new regulations allow such to take place, helping to build the German economy. 

In 2018, reports suggest that the Gross Gaming Revenue (GGY) in Germany was €14.2 billion. This was related to both land-based and online gambling activity. A study conducted in 2019 found that around 19% of gaming in the country takes place online. So, a rough figure of €2.7 billion came from online gambling in Germany. Research also suggests that most of the country's online gambling occurs at casinos. So, while sports betting and poker gaming are also popular, it is casinos that get the most custom. 

The figures are only estimates, though. Up until last year, regulations were not in place in Germany. This is why one estimate for the size of the unregulated industry placed it between €4 billion and €22 billion. According to the EGBA study, Germans were responsible for 11.4% of online gambling spending in Europe. That data comes from 2019, with a total of €24.5 billion spent across the continent for that year. 

2022 German Tax and Those Gambling Online

While some countries have a standard tax for all types of gambling, others split it. Germany is of the latter variety, splitting taxes depending upon the game of chance. Sports betting operators must pay a tax of 5%, for example. Meanwhile, online casino slots and poker sites need to pay 5.3% in taxes. When it comes to online casinos in general, they must pay 19% tax on GGY. 

Players do not have to pay any tax on their gambling winnings. They must be of age 18 or over (and 21 or over in some of the country's states). 

It is difficult to estimate how many Germans gamble online. That's due to the fact that most states outlawed the activity until 2021. There is the opportunity to make informed decisions, though. Data suggests that around 75% of Germans have gambled at least once in their lives. About 19% of gambling takes place online, as noted earlier. So, in a country of 83 million people, with a 75% segment having gambled at least once, this gives insight. Roughly, around 62 million Germans have gambled at least once. Of that total, about 12 million are responsible for online gambling activity

Surveys have taken place on gambling behaviour in the country. This gives a bit of a clearer picture of who is gambling there. Around 70% of respondents confirming they have gambled are male. At the same time, 70% of those surveyed are between 25 and 44 years old. Plus, 93% of respondents confirmed that slot machines are their favourite games. 

At the same time, it is key to note that almost half of those surveyed spent less than €20 per visit. People based in the northern part of the country gamble online much more than those in the south. One final piece of information suggests that mobile gambling is the most popular way.

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Robin Storm
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Always on the lookout for the best online casinos and their latest offerings, Robin works hard to make gambling fun and worry-free for all the players. His years of experience working in the industry provides. If he’s not trying out new casinos and playing slots, Robin enjoys testing new recipes and listening to the latest hits. He is very passionate about being able to play casino games in a relaxed and fun way and he is enthusiastic to share in his articles on how to play at casinos and avoid all the hassle.
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