Date: October 23, 2024, 10:12h.
Last updated on: October 23, 2024, 10:12h.
The French government led by Prime Minister Michel Bernier has suggested legalizing online casino gambling as a way to tackle the country’s budget deficit.
Shortly after Bernier took office, the majority in Parliament and the Senate proposed the idea of liberalizing online gaming to bring down the budget deficit from over 6% to under 5%.
France stands out in Europe for still prohibiting online slot machines and most table games. The only other EU member with similar restrictions is Cyprus.
However, France established a legal framework for online poker, sports betting, and parimutuel wagering on horse racing back in 2010, regulated by the National Gaming Authority.
Benefits of the Budget Proposal
Supporters of the iGaming amendment to the 2025 Finance Bill Draft believe that licensing online casinos would bring in immediate revenue to help reduce the deficit. A proposed 55.6% tax rate on gross online casino revenue would further aid in this effort.
The government stated that aligning with neighboring European countries is the reason behind this proposed iGaming expansion.
If approved, the French government would collect half of the 55.6% tax on online gaming, with the rest going towards social security programs.
France already has a significant gaming market, with numerous casinos, cardrooms, and racetracks. Illegal online gambling is also prevalent in the country.
The National Gaming Authority estimates that illegal gambling operations generated significant revenue last year, with a large portion coming from offshore online businesses.
The iGaming proposal highlighted the risks of illegal online gambling, including lack of game approval, potential for cheating, lack of age protection, and data theft.
Opposition to Gaming Expansion
The Addiction Federation in France opposed the iGaming proposal, citing concerns about the increased risk of addiction due to online gambling.
President of the Addiction Federation, Catherine Delorme, emphasized the need for consultation and debate on the health consequences of legalizing online casinos.
Existing brick-and-mortar casinos in France also expressed worries about potential revenue loss and job cuts if online gambling is legalized.
The president of France’s largest casino union, Gregory Rabuel, warned of “catastrophic consequences” if iGaming is approved.