Autonomy in Gambling Regulation Shift in Czech Republic Courts: Prague Secures Independence
Unleashing Prague's Gambling Autonomy
- Local Districts Get the Final Say on Gambling Decisions
- Prague Distinctly Divided: 41 Districts Ban Live Casino Games
- Court Ruling sets Stage for Addiction Prevention and Self-Governance
Prague Districts Gain Independence in Gambling Decisions
The Constitutional Court of the Czech Republic (Ústavní soud České republiky) has made a landmark ruling granting district-level autonomy over gambling regulations in Prague [Link in English]. With this decision, 57 Prague districts now have the power to set their own gambling guidelines.
These new regulations enable districts to impose their own limitations on popular games like poker, roulette, blackjack, and other dice and card games. The districts can choose to restrict or even completely ban these games as they see fit.
The ruling bolsters the 2021 Czech gambling regulation that allows for the legal offering of live casino games in Prague [Link in English]. Slot machines, however, remain prohibited in the entire city.
A Clash of Interests: Ministry vs. Districts
In 2023, the Ministry of the Interior and the Czech Office for Competition Protection (ÚOHS) [Link in English] expressed concerns about the 2021 regulations, arguing they were antagonistic and lacked clear guidelines. However, the Constitutional Court brushed off their appeal, finding the regulations in compliance with the Czech Gambling Act of 2016.
The Gambling Landscape Across The Czech Republic
Legally operating gambling companies must hold a Czech license issued by the Ministry of Finance (Ministerstvo financí České republiky). Alongside casino games and sports betting, lotteries are also governed in the Czech Republic.
Additionally, the Czech Republic boasts a national self-exclusion register (Rejstřík vyloučených osob), which aims to safeguard problem gamblers by barring them from the entire Czech gambling market. This system is similar to the OASIS self-exclusion system in neighboring Germany.
A City Divided: Gambling Regulations in Prague
Currently, 41 out of 57 Prague districts have opted for a complete ban on live casino games. The rest have imposed time-based limitations on casino operation hours. In setting these regulations, the districts must take into account the local population's concerns regarding gambling.
However, not all Prague residents agree on these district-level decisions. Judge Milan Hulmák criticized the heterogeneous gambling regulations within Prague, calling for a more uniform approach.
Lately, the gambling industry has faced intense scrutiny, with a widespread investigation by the Czech financial authority leading to allegations of tax evasion over the years 2021 and 2022. The financial authority demands around 540 million CZK (approximately 22 million euros) in back taxes from the gambling sector, with the affected providers also facing additional penalty charges due to falsified tax declarations. However, the specific providers involved have not been disclosed.
Meanwhile, the Prague city council has welcomed the ruling from the Czech Constitutional Court, viewing it as a significant stride towards self-determination for individual districts and a means of better protecting their citizens.
[1] https://www.gamblabsys.cz/2020/01/czech-gambling-act/[2] https://www.angela-burke.com/article/responsible-gambling-policies-in-the-czech-republic[3] https://www.gamblingcommission.gov.uk/for-the-public/your-rights-and-responsibilities/tax-on-gambling-winnings/tax-on-gambling-winnings-overseas.aspx
- In light of the new gambling regulations in Prague, some districts are considering imposing restrictions on popular casino games such as blackjack, poker, roulette, and other dice and card games.
- The ruling from the Constitutional Court of the Czech Republic has given Prague's districts the authority to decide whether to allow live casino games, including blackjack, in their local casinos.
- In response to the 2021 gambling regulation in the Czech Republic, some district authorities have decided to ban popular casino games like poker, roulette, and blackjack, citing concerns about addiction and self-governance.
