Holland Casino is set to change the game in 2025. Facing mounting financial struggles, the state-owned operator of 14 casinos in the Netherlands will introduce an extra zero to its roulette tables in an attempt to boost profits. This new twist on the classic roulette game is part of a broader strategy to navigate a complex financial landscape.
A Bold Move Amid Financial Woes
Holland Casino’s decision to add a double zero to its roulette wheels marks a pivotal shift for the operator, traditionally known for offering European-style roulette with a single zero. However, in light of soaring costs, reduced footfall, and a significant tax hike, the group has been forced to explore drastic measures.
The extra zero is a hallmark of American-style roulette, which offers a higher house edge than its European counterpart. By making this switch, Holland Casino hopes to claw back some of the revenue lost due to the country’s rising gambling tax and its struggle to attract visitors. The impact on players is clear: a higher house edge means the odds are tilted more in favor of the casino, potentially increasing its profit margin.
However, the move has stirred some debate. Critics argue that the change, which reduces the player’s chances of winning, could drive even more patrons away. With gambling income tax at a hefty 30.5% and set to rise further, will the new strategy be enough to stop the hemorrhaging?
The Tax Hike: A Heavy Burden
The most pressing challenge for Holland Casino is the significant tax increase imposed by the Dutch government. Last September, the government revealed plans to hike the gambling tax in two stages: from 30.5% to 34.2% in 2025 and then to 37.8% by 2026. This decision has created an immediate financial headache for the casino group, which will need to find an additional €100 million just to break even.
The tax increase has been heavily criticized by industry leaders, including CEO Petra de Ruiter. She has called the proposed hike “irresponsible,” noting that such a sharp rise would push the effective tax rate to almost 50% of revenue, making it nearly impossible for the company to remain profitable. Unlike other industries, such as supermarkets, casinos cannot simply raise prices to offset increased costs. The only viable options left are reducing the payout rates and making it harder for players to win.
Holland Casino has already begun implementing cost-cutting measures. These include reducing operating hours at certain locations, laying off staff, and tightening its overall return to player (RTP) rates. In practice, this means that players can expect to see less favorable odds and more stringent rules in the coming months.
The Emotional Farewell to Zandvoort
One of the first casualties of these cutbacks will be Holland Casino Zandvoort, the operator’s flagship casino in the seaside town of Zandvoort. Scheduled to close in 2025, this venue holds sentimental value for many. It was the very first casino to open its doors back in 1976, and its closure marks the end of an era.
In a statement, Petra de Ruiter acknowledged the emotional significance of this decision. “The closure is essential to continue building a sustainable future for the company, in which we can continue to contribute to a safe and responsible gaming climate,” she said. “At the same time, the closure means an emotional farewell to the first branch that Holland Casino opened in 1976.”
The company plans to relocate most of the Zandvoort staff to other branches, hoping to mitigate the negative effects of the closure. However, the loss of a flagship location is a stark reminder of the difficult choices Holland Casino faces in the wake of financial instability.
A Strategy to Stay Competitive
Despite the challenges, Holland Casino remains determined to fight for its survival. The switch to double-zero roulette is just one of many tactics the company is using to boost its margins. But will it be enough?
Here’s a breakdown of how house edges compare in different types of roulette:
- European Roulette (Single Zero): House edge = 2.7%
- American Roulette (Double Zero): House edge = 5.26%
This seemingly small change could have a big impact on the casino’s bottom line. For every €100 wagered, players will lose €5.26 on average with the double-zero roulette, compared to €2.70 with the European version. While this might seem like a minor tweak, it has the potential to substantially increase profits for Holland Casino, particularly as they navigate a tightening market.
However, the question remains: will customers continue to play, knowing that the odds are less favorable? The introduction of higher house edges, along with cost-saving measures like staff layoffs, may drive players to seek out more player-friendly alternatives, especially online casinos that offer better payouts.
Holland Casino’s Future
Looking ahead, Holland Casino faces a tough road. The closure of Zandvoort and the switch to American-style roulette are just the beginning. The tax hikes are set to intensify in the coming years, and it’s unclear whether the company’s strategies will be enough to offset the losses.
There are signs of hope, though. The Dutch government’s two-tiered tax increase was designed to give businesses time to adjust, and with the closure of Zandvoort, Holland Casino may be able to streamline its operations and cut down on overheads. But whether these measures will be enough to secure the group’s long-term future remains to be seen.
For now, Holland Casino is doubling down on its efforts to adapt to the new financial landscape. But in the high-stakes world of casino operations, only time will tell whether this gamble pays off.
Leave a Reply