Dublin, October, 2025 – Ireland’s government has confirmed plans to raise the country’s pool betting tax from 1% to 2%, sparking concern among racing stakeholders already under financial pressure.
Finance Minister Paschal Donohoe announced the change during the 2026 Budget speech to the Dáil Éireann on Tuesday, with the increase due to take effect in 2027. The measure forms part of Ireland’s wider gambling reform agenda, which includes the rollout of the Gambling Regulatory Authority of Ireland (GRAI).
Currently, pool betting in Ireland is limited to Tote Ireland DAC for horse racing and Rásaíocht Con Éireann (RCÉ) for greyhound racing. However, the new framework will open the market to additional licence holders, allowing more operators to enter the pool betting sector.
“Pool betting is currently restricted to two entities, but under the new regime, a wider range of licence holders may be authorised,” Donohoe told the Dáil.
“I am concerned operators could modify their business models to avoid betting duty, so I will legislate in Budget 2027 for a separate pool betting duty charge.”
The move is expected to provide time for the Department of Finance to consult with industry stakeholders before finalising the details.
A Tax Lifeline – But at What Cost?
Gambling revenue is forecast to hit €1.24 billion, making it an increasingly important stream for the Irish government. However, even before the Gambling Regulation Bill (GRB) was fully settled, hints of higher taxation had already emerged as part of a broader review of Ireland’s hospitality tax structures.
Ireland’s gambling laws — originally written in 1931 and 1956 — were widely considered outdated before the Fianna Fáil-Fine Gael coalition introduced the GRB in 2021. The act modernised the sector, introducing player protection measures, online gaming regulation, and the formation of the GRAI, which will take on full regulatory powers in early 2026.
Concerns from Racing Stakeholders
The potential tax hike has rattled the Irish horse racing sector, which is already facing rising costs and falling media rights revenue. Smaller racetracks have warned that higher taxes could squeeze margins further, with many relying heavily on the annual racing levy paid by bookmakers.
Organisations including Horse Racing Ireland (HRI), Tote Ireland, and Irish Greyhounds have urged the government to keep levy control within industry hands rather than transferring oversight to the GRAI.
The proposed 2% pool betting duty could reduce levy contributions and put more financial strain on rural communities where horse and greyhound racing remain vital employers.
