France halts online casino legalisation amid industry concerns

France remains one of only two European Union countries to prohibit online casinos.
France remains one of only two European Union countries to prohibit online casinos.

Government delays decree as physical casinos fear economic impact and addiction advocates raise alarms.

France.- The French government has postponed its plans to legalise online casinos following strong opposition from the country’s retail casino industry and organisations worried about the potential rise in gambling addiction. France remains one of only two European Union countries, along with Cyprus, to prohibit online casinos, even though millions of French citizens engage in offshore gambling.

According to the Autorité Nationale des Jeux (ANJ), in 2023, an estimated three million French residents participated in online gambling through unregulated platforms. The government projected that legalising online casinos could generate up to €1bn annually in tax revenue while improving the oversight of gambling activities, particularly in identifying and helping individuals struggling with addiction.

However, the proposed move has faced significant resistance from Casinos de France, the trade association for the country’s 200 physical casinos. The association argues that the introduction of online casinos would threaten the industry, potentially reducing revenues by up to 30 per cent and causing the closure of one-third of France’s physical casinos, leading to approximately 15,000 job losses and a sharp decline in tax contributions.

Physical casinos account for €2.7bn of the €13.4 bn in pre-tax profits generated by legally run gambling activities in 2023.

See also: French regulator calls on online gambling operators to reassess promotional budgets

Casinos de France has suggested that online gambling licenses be restricted to operators of physical casinos in the country. The proposed decree also raised objections from organisations targeting the issue of gambling addiction, which also opposed the legalisation of online casinos.

Despite these concerns, the French government has opted to delay its decision, acknowledging the need for further consultation on the social and economic ramifications of legalising online casinos.

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France legislation online casinos