Ireland's gambling regulator rethinks licence fee model

This pivotal change comes in the wake of robust industry feedback during GRAI’s first public consultation, where smaller operators and industry bodies warned that the original fee structure risked being overly punitive for low-margin businesses.

Pushback leads to a rethink

Concerns raised in the consultation revolved around the fairness and sustainability of basing licence fees on turnover, defined in this case as gross profit. 

Many operators argued that such a system would disproportionately impact smaller businesses and niche providers, creating a misalignment between fees and actual revenues.

One respondent described the system as one that “penalises low-margin businesses,” while others flagged that the flat €1,200 per-premises fee unfairly burdened smaller, land-based venues. 

In response, GRAI confirmed it is now weighing a tiered structure based on GGY, or a hybrid model combining both turnover and GGY.

This shift marks a significant moment in the evolution of Ireland’s new regulatory framework. Along with a proactive stance against operators targeting young gamblers, this shows that the authority is not only prepared to listen but also adapt in the interest of fairness and market stability.

Longer license terms

Another critical theme from the consultation was the duration of gambling licences. 

The original three-year term proposed in the Gambling Regulation Act 2024 was met with widespread criticism. Industry voices argued that longer licence periods, five years or more,  would align better with international best practices and reduce administrative burdens.

GRAI acknowledged this concern and is now considering extended licence durations, especially for operators demonstrating consistent regulatory compliance. 

Such a move would bring Ireland more in line with jurisdictions like Germany, France, and Belgium, where licence terms range from five to ten years.

Key changes proposed by the GRAI

Area	Current Approach	Proposed Change
Fee Calculation	Flat-rate based on licence type	Tiered model using operator size and GGR bands
Financial Definitions	Vague or undefined	Clear definitions for terms like GGR and net revenue
Consultation Practice	Limited engagement with stakeholders	Ongoing engagement with operators and civil society
Transparency	No public rationale for fee structure	Publish methodology and reasoning behind calculations
Licence Processing Timelines	Undisclosed or inconsistent	Publish clear service-level standards (e.g. 60-day turnaround goal)

Collaboration leads to safety 

The regulator’s response shows it’s not just changing how fees are calculated, it’s also changing how it works with the industry. 

The GRAI plans to publish clear definitions for financial terms, explain exactly how fees will be calculated, and stay in regular contact with both gambling operators and civil society groups.

This more open, collaborative approach points to a bigger goal: building a fair system that supports innovation while keeping players safe.

Guide, not govern

GRAI’s willingness to revise its fee model based on GGY, a more equitable industry standard across Europe, may well set the tone for a regulator that seeks to guide, not just govern. 

As it moves toward opening the application process for B2B and B2C licences later this year, all eyes will be on how its licensing framework continues to develop.

Promising signs and the road ahead

In related developments, the authority has also been proactive in tackling social harms, including youth-targeted gambling and fostering international regulatory cooperation through a Memorandum of Understanding with the Belgian Gaming Commission.

GRAI may be new, but it’s already showing signs of becoming the kind of watchdog Ireland’s gambling industry and its consumers deserve.