Kenya’s High Court has partially lifted a stay on the Gambling Control (Licensing) Regulations 2026, allowing the Gambling Regulatory Authority to resume most licensing and regulatory activities. However, higher licensing fees and new capital requirements remain suspended while the court reviews the wider challenge.
Justice William Musyoka’s latest ruling reverses part of a July order that had prevented the regulator from enforcing the new framework. At the time, industry applicants argued that the rules could place excessive financial pressure on gambling businesses. Meanwhile, regulators warned that the suspension had created a regulatory gap that could leave unlicensed operators without effective oversight.
Gambling Regulator Can Resume Licensing
Following the latest ruling, the Gambling Regulatory Authority can once again process licence applications, assess operators, and enforce regulatory requirements.
The restored framework also allows authorities to continue oversight covering areas such as money laundering prevention and consumer protection. As a result, operators can move forward with licensing procedures while the court considers the disputed provisions.
However, the court has kept the controversial fee increases and capital requirements on hold.
Major Licence Fee Increases Remain Suspended
Under the 2026 regulations, the application fee for an online bookmaker licence increased from slightly above Ksh10,000 to Ksh5 million. Meanwhile, annual licence fees rose from between Ksh400,000 and Ksh1 million to Ksh50 million.
The new framework also extends licence terms from one year to three years and introduces a Ksh100 million capital requirement.
Applicants argued that the changes, which range from 200% to almost 49,900%, could force some operators to exit the Kenyan market. They also warned that business closures could reduce employment, investment, and government tax revenue.
For now, the disputed provisions in the Second and Third Schedules remain suspended.
Court Sets October Deadline for Final Ruling
The High Court has ordered both sides to continue with the substantive judicial review. They must file and exchange written submissions by September 21, 2026, with the court scheduled to issue its judgment on October 2 through its Case Tracking System.
The Gambling Regulatory Authority has argued that the Gambling Control Act No. 14 of 2025 requires supporting regulations to establish clear licensing categories, application procedures, financial requirements, technical standards, and renewal processes.
However, applicants maintain that the court should not allow the disputed provisions to take effect before resolving their legal challenge.
Kenya Gambling Market Awaits Final Decision
For now, Kenya’s licensing system will operate under a partial framework. The regulator can resume licensing and compliance activities, while the disputed fee increases and capital requirements remain frozen until the October ruling.
