Betting Firms Feel the Heat as GRA Raises Licence Fees

The High Court has permitted the Gambling Regulatory Authority of Kenya (GRAK) to levy and enforce the disputed licensing fees (rates) of 2026, thus permitting the new fees to be paid until the determination of a judicial challenge to the regulations.

Justice William Musyoka also changed an earlier order stopping the effect and implementation of increased fees.

The most recent judgment permits the regulator to continue with licensing pending the hearing of the substantive matter in court.

The dispute centres on sharp increases introduced under the Gambling Control (Licensing) Regulations, 2026.

The contested fees include an online bookmaker licence of Ksh 50 million, up from Ksh 200,000, while the casino licence rose to Ksh 120 million from Ksh 7 million.

The application fee for an online bookmaker also increased from Ksh 10,000 to Ksh 5 million, while pool and betting licence renewal fees rose from Ksh 5,000 to Ksh 2.5 million.

Aside from the fees, the GRA is stepping up its watch on several other issues;

• Minimum Ksh 200 million refundable security bonds for online operators.
• Mandatory 30% local Kenyan ownership caps.
• Strict license revocation rules for targeting self-excluded players.

The recent decision of the court came on an application filed by the regulator, which informed the court that 246 licence applications have been kept pending on account of the suspension of the fees, which had put the licensing proceedings on hold.

Justice Musyoka pointed out that there was no reason separating the fees from the licensing process since they are provided for in schedules to the regulations.

On his part, he observed that the provisions had been removed by the repealed former legal framework, leaving no substitute regulation for licensing fees.

“Public interest would frown upon leaving the gaming industry unregulated, while the main dispute herein rages,” the judge said.

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The court was also persuaded by the regulator’s undertaking to refund the fees if and when they are ruled unlawful. “Having regard to all the above, I am satisfied that there is merit in the application,” said Justice Musyoka.

The providers contest regulations place an undue financial strain on the industry and that the rules were introduced improperly.

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This legal challenge remains unresolved, with mention due on 21 September and the substantive dispute anticipated to proceed to determination later in the year.

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Justice William Musyoka changed an earlier order stopping the effect and implementation of gambling-related fees. Credits Judiciary