The National Betting Authority (NBA) is expected to have increased revenues in 2027, mainly due to the new agreement with OPAP Cyprus (Allwyn), as well as the forecast for increased betting activity based on the growth rate in recent years.
This is the main conclusion from what is recorded in the introductory report that accompanies the Authority's budget for the new year, which has already been submitted to Parliament and will soon be put under the microscope of the competent Parliamentary Committee.
According to the data provided, the NBA budget for 2027 will be in surplus by €210,000, with revenues and expenditures amounting to €72.92 million and €72.71 million, respectively.
The Authority's budget is projected to be in surplus, both in 2028 and 2029, specifically by €430,000 and €520,000, respectively.
The revenue
As for revenues, according to the introductory report, they are estimated to amount to €72.92 million and will be increased by 1.5% or in absolute terms by €1.07 million compared to 2026, while the years 2028 and 2029 are expected to increase further and amount to €77.1 million and €81.33 million, respectively.
The increase in revenue of €1.07 million compared to 2026, it is added, is mainly due to the new agreement with OPAP Cyprus, as well as the forecast for increased betting activity based on the growth rate in recent years.
From the tax on betting activities and certain games of chance, the NBA is expected to collect €53 million, the same as this year, while from the imposed fee, OPAP license fee and OPAP supervision contribution, €8.7 million, compared to €8.2 million this year.
Also, from the betting activity levy, theNBA is expected to collect a total of €10.5 million in 2027, compared to €10 million this year, while from the imposition of administrative fines it is expected to collect €150,000, the same amount as this year.
It is noted that the betting activity tax is paid by Class A recipients (land-based betting) and Class B recipients (online betting) and a provision of €32 million concerns the betting tax on the gross profits of OPAP Cyprus (Allwyn), based on the new contract.
The costs
Regarding expenditures, they have been budgeted at €72.71 million and are increased by 1.65% or in absolute terms by €1.18 million compared to 2026, while the years 2028 and 2029 are expected to increase further to €76.66 million and €80.81 million, respectively.
It is worth mentioning that the vast majority of the expenses concern the return of collected revenues (taxes and fees) to the state. For 2027, the expenses in relation to the revenues (as expected) have been budgeted at €67.39 million and are increased mainly due to the new contract with OPAP Cyprus (Allwyn), the actual revenues of previous years and the growth rate recorded by the betting activity in recent years.
Study on illegal provision of services in the works
Moreover, and based on an explanatory note submitted by the National Betting Authority to Parliament, the Authority plans for 2027 to conduct a specialised study on the extent of the illegal provision of gambling services in Cyprus and the level of chamelization of the market.
The main objective, it is stated, is to obtain, for the first time on a systematic and documented basis, an initial measurement of the degree to which player activity is directed towards the licensed market in relation to the illegal market (channelisation).
The study will examine, among other things:
- the extent of the illegal market,
- the channelisation rate to legal and licensed providers,
- the characteristics and main reasons that may lead players to unlicensed services, and
- the factors that influence the choice between legal and illegal markets.
According to the note, the results will provide the NBA with quantitative and documented data for the design and evaluation of measures to address the illegal market, as well as for monitoring the development of channelisation in the coming years.
It is noted that due to the complexity of the subject, the study will be based on a combination of methodologies, which increases the cost of its implementation, which has been budgeted at €60,000.
Strategic objectives
Based on the explanatory note, the Authority's budget for 2027 includes appropriations of €400,000, which are expected to cover the costs of achieving the strategic objectives set by the Authority for the year 2027, focusing on its modern, efficient, effective and smooth operation, in order to be able to provide high-quality services, effectively regulate and supervise the market and successfully exploit challenges and opportunities presented at the National and European level.
The aforementioned amount includes contractual obligations from 2026 and activities in 2027.
The contractual obligations from 2026 concern:
- Internal Audit Services: Audit and Recommendations regarding improvements in accounting and administrative procedures, with the aim of achieving greater efficiency and/or control.
- On-site Supervision and Investigation Services at Licensed Betting Service Premises: Provided to the Authority by external experts through a public tender. Analytical results are reported on a daily basis via electronic means and reports per premises are delivered monthly in an electronic file.
- Services for the operation of the NBA Professional Skills Academy: The Academy's objective is to further specialise individuals employed in the gambling sector and who may be employed in the sector. It contributes to the efforts to further develop the gambling market and to make Cyprus a safe and attractive environment and to enhance the sustainable development of the sector and the protection of players and the wider society.
The activities that will be implemented in 2027 to achieve the strategic objectives set by the Authority for the year under review are:
- Services for the exploitation of new technologies and artificial intelligence in the gambling sector and the creation of programs aimed at strengthening innovation and start-ups
- Development of standards and practical guides with the aim of ensuring the provision of betting and gambling services,
- Intensification of measures to prevent the use of the financial system for money laundering or terrorist financing,
- Strengthening measures against match-fixing based on best international practices,
- Services for further upgrading website blocking,
- Improving the supervision of licensed entities with new methods
- Due Diligence Report - Due Diligence Report required by the Authority mainly for the evaluation of applications from Accepted Companies and the beneficial owners of their companies prior to licensing.
Safe Play Strategy
In addition to the above, the Authority's budget for 2027 also includes appropriations of €1.5 million, which concern 1% of the amount collected during the year from the recipients' contribution on net earnings from betting and are intended for the purposes of strengthening mechanisms and programs to protect young people and pathological gamblers from betting.
According to the Authority's Safer Gambling Strategy, which was developed based on the public health model, the priority pillars are the following:
- creating conditions that will assist stakeholders in protecting society from the harmful effects of betting and gambling,
- preventing harmful consequences through raising public awareness, implementing safe gaming practices and providing resources and support,
- providing the support needed by people affected by the harmful effects of betting and gambling, at the time they need it, with the aim of improving the health and general well-being of the population, and
- development of evidence-based and effective programs, policies and initiatives that enhance safety and public health.
In this context, and specifically for 2027, Safer Gambling Week will be held in October 2027 and information and awareness campaigns on Safe Gaming will be conducted.
Furthermore, within the framework of the Authority's synergies with the bodies involved (such as the Youth Board of Cyprus, the Cyprus National Addictions Authority, Cyprus Theatre Museum, Cyprus Olympic Committee, etc.), programs are underway to empower minors, young people and vulnerable persons, the operation of a treatment facilities in the Famagusta district and in the Paphos district in collaboration with the Cyprus National Addictions Authority and the expansion of their operation to include minors, the announcement of a competition for the implementation of a preventive program for vulnerable population groups, the implementation of interactive programs in schools and the Game Brain game, participation in a mental health empowerment program, the effective operation of the National Player Self-Exclusion Platform and its expansion to land-based betting services, The cooperation with the Cyprus Theatre Center for children and adolescents will continue, and other programs will be implemented that aim to implement the objectives of the Authority's Safer Betting Strategy.
(Source: InBusinessNews)
