The Kenyan government has announced that the upcoming Finance Bill 2025 will not introduce any new taxes. Instead, it plans to cut public spending by Ksh.133 billion, aiming to ease pressure on households already burdened by a high cost of living.
While this news has been welcomed by many sectors, it raises key questions for the betting industry especially around regulatory stability and fiscal priorities.
What’s in the Finance Bill 2025?
The National Treasury has proposed:
- No new taxes in the 2025/2026 fiscal year.
- A leaner budget, with targeted spending cuts.
- A focus on boosting domestic revenue collection through existing frameworks.
This signals a shift from aggressive tax expansion to tighter control of public expenditure.
Betting Industry: Relief or Just a Pause?
Kenya’s betting firms have faced increasing tax pressure in recent years including a 15% excise tax on stakes and a 20% withholding tax on winnings. Many feared the Finance Bill 2025 would bring even tougher measures.
However, the absence of new taxes provides short-term relief to betting operators, allowing room to:
- Stabilize their operations
- Focus on customer retention and marketing
- Invest in compliance and technology
But this doesn’t mean the pressure is off.
Still Under the Microscope
Government revenue targets remain high. The Kenya Revenue Authority (KRA) is expected to:
- Enforce existing betting taxes more strictly
- Tighten oversight of digital betting platforms
- Target non-compliant operators and offshore sites
This could lead to increased audits, license scrutiny, and higher enforcement fines.
What Betting Operators Should Do Now
With no new tax for now, licensed betting firms should:
- Ensure full compliance with KRA and BCLB requirements
- Review accounting systems to avoid penalties
- Prepare for potential regulatory shifts later in the year
Final Word
While the Finance Bill 2025 offers breathing space, Kenya’s betting industry must remain alert. No new taxes today don’t mean no changes tomorrow. The government is watching closely and so should you.
