Hungary moves to abolish regulator following controversial casino deal

The Hungarian government has initiated steps to abolish the Supervisory Authority for Regulated Activities (SZTFH), a regulator overseeing gambling, tobacco, mining, and concession contracts. Prime Minister Péter Magyar stated the agency “served private interests, not public interests” and criticized its lack of independence, noting that senior positions were appointed without open competition.

The move follows controversy surrounding the SZTFH’s decision in July to extend a casino concession in Sopron until 2061 without a public tender. A government resolution signed by Magyar calls for a review of the agency’s statutory framework to determine how to terminate the body and transfer its functions to government-controlled entities.

Justice Minister Márta Görög is required to submit a report on the termination process by September 30. Additionally, the government plans to legislate the removal of the agency’s veto power over concession contracts and intends to abolish the Concession Council. Reviews of casino and tobacco concessions are expected to reach a final decision within two weeks.