If you're here on this gambling laws and regulations in Spain page, it's likely because Spain’s growing and profitable online gambling market has caught your attention, and you're eager to learn more about how to access it. This gambling market offers significant advantages for operators: a well-regulated and secure environment, and a highly engaged player base with solid opportunities for growth.
But like any market, compliance hurdles, licensing, associated costs, etc., must be handled diligently. That’s exactly what this article covers. Here’s your detailed guide on everything you need to know to successfully enter Spain’s thriving iGaming sector.
The History of Gambling in Spain
The earliest documented instance of gambling in Spain dates back to the 13th century with the emergence of card games like Primero, an early precursor to poker that quickly became a favorite among Spaniards. By the 18th century, gambling had taken on a more organized form, with the creation of the Spanish National Lottery in 1763 under King Carlos III marking a pivotal moment in Spain’s gambling history. At the time of its introduction, the lottery was not just a way to gamble; it was a way for the government to fund public initiatives while giving people a legal, structured form of entertainment.
As Spain entered the 20th century, gambling was initially viewed with suspicion and underwent periodic restrictions. The Ley de Represión del Juego of 1922 was an early attempt to clamp down on illegal gambling. Society’s appetite for betting was hard to restrain, though, leading to the first Gambling Act of 1977. This Act officially legalized casinos, bingo halls, and lotteries—marking a major turning point as gambling became a more accepted social pastime and one more heavily regulated going forward.
The 21st century saw the emergence of the digital age and, with it, the explosion of online gambling. Spain responded earlier than many other European nations by passing the Spanish Gambling Act of 2011. This initiative regulated the booming online gambling sector and established the Dirección General de Ordenación del Juego (DGOJ) to oversee licenses and maintain the industry's integrity.
Timeline of Major Events
Over the centuries, gambling in Spain has evolved from an informal activity to a highly regulated industry. Below is a timeline of some of the major events that have shaped the development of gambling within the nation’s borders:
1763: Launch of the Spanish National Lottery by King Carlos III.
1922: The Gambling Repression Act to suppress illegal gambling.
1977: The Gambling Act legalizing various gambling activities.
1981: Opening of state-regulated casinos in Madrid.
1990: Legalization of sports betting across Spain.
1986: Launch of the National Lottery’s Christmas Draw.
2006: The legalization of online poker.
2011: The Spanish Gambling Act, regulating online gambling.
2018: Restrictions imposed on online gambling advertising in Spain.
2020: Further restrictions on gambling advertising in the media.
2023: Strengthening of responsible gambling measures.
The Current Situation for Online Gambling
The current gambling market in modern-day Spain is one of the most sophisticated in Europe, with both retail and online gaming thriving under an advanced and well-regulated framework. With nearly 85% of Spanish adults engaging in some form of gambling each year, it's clear that gambling is not just a pastime—it’s part of the cultural heritage of Spain.
From an operator's perspective, the situation for iGaming in Spain is defined by a well-established regulatory framework. This governance is overseen by the General Directorate for the Regulation of Gambling (DGOJ). Fundamentally, online gambling in Spain is regulated by Law 13/2011 of the Spanish Gambling Act, which provides a clear structure for operators offering online gaming services within the country. The law covers various gambling activities, including sports betting, poker, casino games, and bingo—making Spain a mature and competitive market for both local and international operators.
As of 2024, Spain continues to enforce strict advertising and operational regulations to protect players and promote responsible gambling. Notable reforms have increased restrictions on gambling promotions, including limitations on bonus offers and advertising targeting vulnerable groups. This has resulted in a more controlled environment, where operators must prioritize compliance to retain licenses. Despite these limitations, the online gambling market remains active, with significant growth reported in sports betting and online casinos—indicating continued market demand with no signs of slowing down.
Key Legal Activities in Spain
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Online sports betting, poker, and casino games are all legal and well-regulated.
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Online gambling is regulated at both the federal and regional levels in Spain. The national government oversees general licensing and compliance, while regional authorities manage local regulations, ensuring operators meet specific requirements within their jurisdictions.
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Local and international operators can apply for licenses, though they must meet strict regulatory requirements, including financial guarantees and operational controls.
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Recent reforms have introduced further measures to curb unlicensed activities, ensuring a more secure and profitable environment for legal operators.
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Players in Spain are taxed on gambling winnings that exceed €2,500. These winnings are treated as income and must be declared on their personal tax return. However, losses are deductible up to the amount won. Lottery prizes exceeding €40,000 from SELAE and ONCE are taxed separately at 20%.
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Sports betting remains the most popular form of gambling in Spain, with football betting preferred among Spanish nationals, followed closely by online casinos and poker.
Operational Requirements for Sportsbooks
Operators wishing to enter the Spanish market must obtain both a general (State level) and singular license covering different gambling products. These licenses are awarded for varying timeframes depending on the license type.
General License
General licenses have a ten-year term and may be extended for a similar period (Article 10(6), Law 13/2011). These are issued through a competitive public tender process. Essentially, this umbrella license allows operators to offer a broad category of gambling activities—such as betting, contests, or other games like lotteries or casinos. However, it does not permit operators to launch games immediately.
Singular License
A singular license is more specific. After receiving a general license, the operator must apply for a singular license for each game or activity they wish to offer, such as sports betting, poker, or blackjack (Article 11(5), Law 13/2011). It's like getting permission to run a casino with the general license, and then applying for separate approvals to operate individual games within it. Singular licenses are granted for up to five years and can also be extended. Operators must hold a general license to receive a singular one.
The Public Tender Process
General licenses for online gambling in Spain can only be obtained through public tenders initiated by the Ministry of Consumer Affairs upon the recommendation of the DGOJ. These tenders define the necessary criteria and terms. To prevent oversaturation in the market, the DGOJ may limit the number of licenses for certain games, though no such limits have been imposed yet. Additionally, there must be at least 18 months between each licensing process, as per Article 10(1) of Law 13/2011.
For specific licenses, operators who already hold a general license can apply for them either concurrently or at any other time. The DGOJ oversees the issuance of these licenses, following the guidelines outlined in Article 11 of Law 13/2011.
Operators should note that the tender process is highly competitive, and they must demonstrate long-term financial stability and compliance with Spain’s anti-money laundering (AML) regulations, including a minimum paid-up share capital of €100,000 for betting and gambling licenses.
Foundational Criteria for Market Entry
Spain's approach is considered one of the most regulated in Europe, ensuring that only well-established and compliant operators meet the high standards for entry—making it a challenge for new entrants. Here are the foundational criteria operators must meet:
1. Corporate Structure
Gambling businesses must be public limited or limited liability companies registered within the European Economic Area (EEA), with the sole corporate purpose of organizing, marketing, and operating gambling activities.
2. Financial Guarantee
To apply for a general license, operators must provide a financial guarantee of €2 million, which may be reduced after the first two years of operation.
3. Technical Requirements
All operators must establish a dedicated website under a .es domain and ensure that technical systems meet the traceability and security standards set by Royal Decree 1613/2011, including internal monitoring systems to track gambling transactions.
4. Licensing Fees
Operators entering Spain’s online gambling market face several costs for obtaining the necessary licenses. In addition to the €7 million licensing fee for sports betting and casino games, several administrative fees also apply. These include a €20 fee for issuing register certification and €38,000 for technical reports to verify compliance with required standards.
Registration services cost €2,500, and each license application incurs a €10,000 fee, with a €100 charge per authorization. Operators must also cover auditing inspections or controls at a cost of €5,000. Finally, an administrative fee of 0.00075% of gross collections supports the operations of Spain's regulator, the DGOJ, as per Article 49(5) of Law 13/2011.
5. Physical Presence
Operators must have a registered address in Spain or another EEA country and be listed in the General Registry of Gambling Licenses. While a physical office in Spain is not strictly required, platforms must set up technical infrastructure that complies with Spanish law.
Licensing Costs for Market Entry
Entering the Spanish online gambling market involves several financial commitments, beginning with licensing fees and extending to regulatory and operational expenses. The primary cost drivers include the initial application fees, annual fees, taxes, and compliance costs. Spain’s regulatory framework requires operators to meet strict financial and operational standards before authorization is granted.
General and Singular License Fees
Operators seeking to enter the Spanish market must first secure a general license, which covers broad categories such as betting and gaming. The application fee for a general license is €38,000.
After securing the general license, operators must apply for singular licenses for specific activities (e.g., sports betting or poker), with an application fee of €2,500 per license.
Additional Market Entry Costs
Beyond licensing, operators should account for the following additional costs:
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Tax Obligations
Spain imposes a 20% Gross Gaming Revenue (GGR) tax, reduced to 10% of GGR for operators that become tax residents in the autonomous cities of Ceuta and Melilla (Article 48(7), Law 13/2011). These rates make Spain a relatively competitive tax environment compared to other European markets. -
Compliance and Certification Fees
Operators must meet Spanish regulatory standards, including technical certification from authorized testing bodies, which can cost up to €15,000 depending on the platform’s complexity. -
Operational Requirements
Operators are required to establish a local presence, either through a physical office or a legal representative. This includes the cost of legal services and potential office expenses.
Key Regulatory Bodies Shaping Spain’s Gambling Framework
The Spanish gambling market is governed by several key authorities that significantly influence how the industry operates. Collectively, their oversight creates a uniquely structured and tightly regulated environment by setting the rules, managing compliance, and ensuring fair play for both operators and players, with each authority serving a distinct role. Below is a breakdown of the most prominent regulatory bodies in Spain:
Dirección General de Ordenación del Juego (DGOJ)
The DGOJ (Directorate General for the Regulation of Gambling) is the most influential authority overseeing all gambling activities in Spain. It operates under the Ministry of Consumer Affairs and enforces gambling laws. It issues both general and singular licenses and ensures that operators meet demanding technical and operational standards. The Directorate General for the Regulation of Gambling also plays a crucial role in enforcing compliance standards, including anti-money laundering (AML) regulations. Operators must adhere to Law 10/2010, which focuses on preventing money laundering and terrorist financing.
In practice, licensed operators are required to submit regular reports to the DGOJ regarding player protection, technical audits, and financial activities to maintain transparency. The DGOJ works closely with operators, conducts audits, and investigates any irregularities or breaches of compliance.
National Commission on Markets and Competition (CNMC)
The CNMC is an independent regulatory agency responsible for ensuring fair competition and market transparency across various sectors, including gambling. Its role in the gambling industry involves monitoring market practices to prevent anti-competitive behavior and ensuring that operators comply with Spain’s competition laws.
The CNMC routinely reviews advertising and promotional activities of gambling operators to prevent unfair advantages or misleading campaigns. It intervenes when operators abuse market position or engage in unethical behavior such as collusion. The CNMC works closely with the DGOJ and other institutions to uphold fair market practices and engages in investigations, audits, and enforcement actions when violations occur.
SEPBLAC (Spain’s Financial Intelligence Unit & AML Regulator)
SEPBLAC is Spain’s Financial Intelligence Unit tasked with overseeing AML compliance across multiple industries, including gambling. SEPBLAC ensures gambling operators follow Law 10/2010, which mandates strict measures to combat money laundering and terrorist financing. This includes monitoring financial transactions, enforcing customer due diligence, and requiring the reporting of suspicious activity.
Operators must submit regular AML reports to SEPBLAC and may be audited in collaboration with the DGOJ. SEPBLAC has the authority to impose penalties or sanctions for non-compliance, and its role is vital to maintaining financial integrity in the Spanish gambling industry.
Spanish Tax Agency (Agencia Tributaria)
The Agencia Tributaria plays a key role in the Spanish gambling sector by overseeing taxation obligations for both businesses and individuals. It is responsible for collecting taxes on gross gaming revenue (GGR), currently set at 20%.
The agency works alongside the DGOJ to confirm that licensed operators fulfill their financial responsibilities. It also manages taxation on player winnings in accordance with income tax laws. Failure to comply can result in severe consequences, including fines or suspension of a gambling license.
Spain's Betting Market Potential: Growth and Prospects
As of 2024, Spain’s online gambling market is lucrative and full of potential—making it an attractive destination for experienced and ambitious iGaming operators. With more than 47 million residents and increasing digital engagement, Spain’s online gambling sector was valued at €850 million in 2022, with projections showing consistent growth. Its strong football culture makes it a hotspot for sports betting, drawing attention from operators across Europe.
The Spanish gambling sector, including online sports betting and casinos, has grown over 270% since 2014. This growth is driven by factors like mobile gaming, tech adoption, and a favorable tax cut in 2018, which lowered the GGR tax from 25% to 20%. While the rate may seem high, Spain's highly regulated and stable environment is a worthwhile trade-off for many operators.
In contrast, the broader European sports betting market is expected to grow at a compound annual growth rate (CAGR) of around 10.1% in the coming years. While smaller than markets like the U.K., Spain’s favorable regulatory environment is helping it close the gap. As Peter Murray, Director at Alexem Services, noted:
"The growth of sports betting in Spain is undeniable, driven largely by football’s popularity. As the market matures, it’s becoming a prime destination for operators looking to capitalize on a regulated, sports-focused environment."
Looking ahead, the growth of mobile gaming, esports betting, and AI-driven personalization will further elevate the industry. Operators that adapt to evolving advertising rules and meet increasing demands for responsible gambling tools will be well-positioned for success. Spain is set to be a key player in Europe’s online gambling sector through 2025 and beyond.
Market Advantages
✔ Expanding online player base with an 85% participation rate.
✔ Strong and stable regulatory environment.
✔ Continued high growth projections.
✔ Strong demand for sports betting.
✔ Advanced mobile infrastructure and internet penetration.
Market Disadvantages
✘ New advertising restrictions may limit marketing flexibility.
✘ Potential for increased regulatory and compliance complexity.
Steps to Apply for a Gambling License in Spain
Here is a guide outlining the steps involved in applying for both general and singular licenses, including essential requirements at each stage.
Step 1. Determine License Requirements
Before starting the application process, operators need to identify which licenses are required for the gambling services they wish to offer. Spain has two primary types of licenses:
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General licenses cover broad categories like betting, gaming, and lotteries. This license is a prerequisite to offering specific gambling activities.
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Singular licenses are required for specific activities within each general category and are only obtainable after securing a general license.
Step 2. General License Application Process
The application for a general license can only be submitted during a public tender process, which the DGOJ announces periodically. This process involves several key steps:
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Prepare documentation including:
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Business plan detailing the scope of services, target market, and revenue projections.
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Technical projections specifying the platform’s architecture, security measures, and responsible gaming protocols.
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Financial reports demonstrating the company’s financial stability and ability to meet regulatory requirements.
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Submit the application through the DGOJ’s licensing portal. A processing fee is required upon submission.
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DGOJ Review
The DGOJ evaluates the application to ensure compliance with Spanish laws, including AML and player protection requirements. The review process can take several months, during which the DGOJ may request additional information or documentation.
Step 3. Singular License Application Process
Once a general license is granted, operators can apply for singular licenses targeted to the specific sports, casino, or poker gambling activities they plan to offer. The steps include:
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Prepare a singular license application:
Operators must submit a singular license application for each activity they wish to provide. This involves: -
A detailed description of the specific service.
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Proof of the technical and financial capacity.
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Compliance with defined standards.
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DGOJ Technical Certification
Operators must ensure their technical systems (software, hardware, and player management systems) undergo certification by a DGOJ-approved testing laboratory.
Step 4. Establishing a Legal Presence in Spain
Foreign operators must have a legal representative or open a physical office in Spain. This helps facilitate compliance with local laws and allows easier interaction with regulators. Operators may need to:
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Establish a legal representative or a local office.
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Register with the Spanish Tax Authority (Agencia Tributaria).
Step 5. Meet Financial Requirements
Financial stability is a critical component of the application process. Operators must:
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Provide bank guarantees to cover any potential liabilities related to player funds or regulatory fines.
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Meet capital requirements demonstrating that operators have sufficient capital reserves to support ongoing operations.
Step 6. Ongoing Compliance and Audits
Once the licenses are granted, operators are subject to ongoing monitoring and audits to ensure continued compliance.
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Regular Audits
Periodic audits are conducted to verify compliance with security standards, responsible gaming protocols, and data protection laws.
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AML and Player Protection Compliance
Implementation and maintenance of AML systems and procedures to ensure regulatory compliance and uphold strict player protection standards.
Additional Regulatory Requirements
Moving forward, operators must stay current with regulatory developments that may require adjustments to their business practices. These include:
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Advertising Restrictions
Ongoing compliance with advertising and marketing regulations established by Spanish authorities.
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Responsible Gambling Initiatives
Implementation of features such as self-exclusion tools and player safeguards to mitigate the risks of problem gambling.
For more detailed information and to begin the application process, operators can visit the DGOJ’s official licensing portal.
Compliance Made Simple for Spanish Market Entry
Spain’s regulatory framework is built for growth, but successful market entry demands expertise. Altenar is fully certified for sportsbook operations in Spain. In addition, our GLI-33 and ISO 27001-certified platform ensures that your operations meet all legal requirements, simplifying entry into the market.
Reach out today and discover how we can help you confidently enter Spain and thrive in one of Europe’s fastest-growing markets.
