Compared to the United States—where 40 states have legalized medical use and 24 states permit recreational use—Europe’s cannabis market is about the size of New York’s marijuana economy, which hit $1.5 billion in sales in 2025. And while President Donald Trump issued an executive order in December 2025 directing his Attorney General to reschedule marijuana as a less dangerous drug, no laws have been changed at the federal level, meaning marijuana is still banned and cannabis companies cannot access the public markets. But in Europe—especially in countries like Germany, which made marijuana federally legal—the potential upside and sensible regulations that allow cannabis to be grown in Spain and Portugal and exported to other countries legally, has created a solid economic thesis for companies to invest hundreds of millions of dollars in the burgeoning EU cannabis industry.

Will Muecke, an American who cofounded the London-based marijuana-focused private equity firm Artemis Growth Partners, which has nearly $400 million in assets under management, says Europe is still a better investment opportunity than the U.S. He is currently raising $200 million for Artemis’ seventh fund. About 75% of the capital will be invested in Europe, while the rest will be deployed in South America and the Caribbean. No capital will be invested in the United States.

“We have a large U.S. portfolio, we care about the U.S., and I love that Trump came out with the executive order but it’s not a game changer,” says Muecke, explaining that a move to Schedule III will not open up public markets, nor will it allow institutional capital to be safely invested in the U.S. cannabis industry. “But Europe is a fast-growing industry with well-honed operators and a fully legal framework. I’m not in the shadows. The U.S. doesn’t have this yet, but Europe has that today.”

Here are the cannabis laws across Europe and the United Kingdom for 2026.

Adult Use

Only four European countries have legalized adult-use marijuana, but these programs are unlike adult-use markets in the U.S. There are not hundreds of dispensaries, but rather non-profit clubs where members can obtain marijuana.

• Malta: In 2021, the smallest country in the European Union, became the first to legalize and regulate cannabis for personal use. The law allows for the possession and cultivation of marijuana. Residents can grow up to four plants and while it lacks a commercial market like U.S. states that have legalized adult-use, people can buy cannabis products from non-profit cooperatives.
• Luxembourg: In 2023, the EU financial hub legalized adult-use cannabis but still prohibits sales. Households can grow up to four plants under strict rules and private consumption by people 18 and older is legal. The country legalized medical marijuana in 2018.
• Germany: The continent’s largest economy legalized adult-use in 2024, allowing possession of up to 50 grams and growing three plants at home. Like Malta, Germany did not legalize commercial stores, but rather have allowed non-profit cannabis social clubs where members can obtain marijuana. Germany also has a medical marijuana market, which allows doctors to prescribe cannabis to patients.
• Czech Republic: The country famous for its castles and beer, legalized personal use of marijuana for adults in 2026. Commercial sales are still illegal, but Czechs can grow up to three pot plants at home and possession of up to 100 grams of weed is legal. The country decriminalized marijuana in 2010 and legalized medical marijuana in 2013.