Holland Casino Adds Extra Zero to Roulette to Offset Tax Hike
In the Netherlands, increased gambling taxes have compelled the biggest casino network, Holland Casino, to take drastic actions – it's putting an additional zero on its roulette tables.
In the United States, it's standard to find two zero pockets on a roulette wheel, 0 and 00. That is rarely the situation in European roulette, which has a single zero. The inclusion of the 00 in the American version nearly doubles the house edge, increasing it from 2.7% to 5.26%.
European roulette games that utilize the “en prison” rule feature an even lower edge of just 1.35%. This guideline permits bettors who made an even-money wager, like on red or black, to keep their stake on the table for a subsequent spin if the ball lands in the 0 pocket.
Challenging Obstacles
Holland Casino anticipates that embracing the less player-friendly American model will help it endure the tax increase and manage other adverse challenges, such as rising wages, interest rates, and energy costs.
The gambling tax will increase from 30.5 percent to 34.2% next year, and Holland Casino anticipates costs to rise by €30 million (US$31 million). The casino chain states it must adopt cost-reduction strategies while boosting revenue to manage this.
The operator has indicated that this will probably involve layoffs, though the number remains uncertain. The firm presently has about 3,500 employees and anticipates that layoffs will cut expenses by 20%.
Nonetheless, when considering how to boost roulette revenue, it might not be as straightforward as just making the games tougher to win, as acknowledged by Holland Casino itself.
A representative stated this week that the initiative will serve as a trial and recognized it might not yield the expected outcome, as it could “also lead to individuals leaving sooner and not boosting revenue.”
American roulette might be received in Europe like a punch to the throat.
Recreating the Wheel
It is commonly believed that single zero roulette was the game's initial version and that the double zero was introduced to the wheel by avaricious US casino owners. However, that is not true.
Created in 18th-century France, the earliest roulette wheels featured two zeros. The French author Jaques Lablee pointed out in 1796 that the wheel at the Palais Royale had “precisely two slots designated for the bank, from which it gains its only statistical edge.”
The 00 modification emerged in the mid-1800s, conceived by twin brothers Francois and Louis Blanc, who ran a casino in the German spa town of Bad Homberg. The change became immensely popular among gamblers, who were thrilled to find the most equitable bets in Europe, leading the Bad Homburg casino to gain fame and compete with Parisian gaming halls in terms of revenue.
Although the single zero eventually became popular in Europe, both varieties of wheels were present there until the early 20th century, when the player-friendly version became standard.
