In Valencia, the High Court of Justice of the Valencian Community (TSJCV) issued five rulings dismissing the contentious-administrative appeals filed by gambling sector operators and business associations in the industry against Decree 97/2021. This regulation establishes the regulatory framework for gambling activity in the region and incorporates measures aimed at preventing problem gambling.
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The challenges primarily questioned two aspects: the criteria for measuring minimum distances between gambling establishments, and the restrictions on advertising visible from public roads. The appellants sought the annulment of articles 4, 5, 6, 7, 9, 10, 11, 12, 13 and 18 of the decree, which regulate everything from the opening of new premises and the renewal of licenses to the installation of recreational machines in the hospitality sector and the conditions for outdoor commercial information.
The decisive role of the CJEU ruling
The ruling of the Court of Justice of the European Union (CJEU) in October 2025 proved decisive for the outcome of the appeals. In that resolution, the European court concluded that the limitations provided for in the decree —such as minimum distances from educational centers and restrictions on outdoor advertising— are compatible with the Treaty on the Functioning of the European Union (TFEU).
The TSJCV used this criterion as a reference to base its rulings, dismissing the sector’s arguments that pointed to a possible violation of European competition law and the freedom to provide services.
What does Decree 97/2021 establish that generated controversy?
One of the most debated provisions is the one requiring a minimum distance of 850 meters between gambling halls and educational centers. The sector questioned both the proportionality of this measure and the methodology used to calculate the distance. The court considered that the restriction is justified by the protection of vulnerable populations, especially minors, and the prevention of problem gambling.
The regulation also limits the commercial information that establishments can display from the outside. This measure was challenged by operators, who claimed it disproportionately affected their commercial activity. The rulings dismissed these arguments, understanding that the restrictions respond to legitimate public health objectives.
Authorization of new establishments and license renewal
The challenged articles also regulated the procedures for opening new gambling and betting premises, the renewal of existing licenses, and the installation or replacement of recreational machines in hospitality venues. The court validated these provisions, considering that they fall within the regional regulatory power and do not exceed the scope of the enabling legislation.
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The court reaffirms the regulatory power of the Valencian Community
One of the central points of the rulings is the confirmation that Decree 97/2021 conforms to the legitimate exercise of the regulatory power of the Valencian Community. The magistrates ruled out that the regulation constitutes an overreach regarding the higher regulatory framework on which it is based.
This conclusion reinforces the position of the autonomous communities regarding gambling regulation, an area where there is constant tension between state and regional competencies and the limits imposed by European regulations.
Impact on the gambling sector in Spain
The rulings set a relevant precedent for the gambling sector in Spain, in a context where several autonomous communities have moved forward in adopting more restrictive regulatory frameworks. The judicial validation of the Valencian model may influence the configuration of future regional regulations and the legal strategy of operators facing similar regulations.
Furthermore, the CJEU’s support for restrictions on distances and advertising reinforces the legal viability of such measures throughout the territory of the European Union, which could discourage future challenges to similar regulations in other member states.
For sector operators, whose licenses and operating costs in the region may be impacted, the ruling represents a closure —at least judicially— of a regulatory conflict that spanned several years. The affected companies must adapt their operations to a regulatory framework that the High Court of Justice of the Valencian Community and the Court of Justice of the European Union have considered fully valid.
