France Takes Steps Toward Legalizing Online Casinos, Sparking Debate Over Potential Economic Impact
In a bold move that has stirred significant debate, France is preparing to legalize online casinos next year, aligning its regulations with the majority of European Union member states. Announced by Prime Minister Michel Barnier’s administration, this proposal comes as an amendment to the 2025 budget plan, which is currently under parliamentary debate. With this legislative push, France seeks to address both the burgeoning illegal online casino market and the potential for increased government revenue.
For years, France has stood as one of the last holdouts against online casinos, sharing this distinction with Cyprus. Although online betting is permitted, the government’s past concern over addiction risks has kept online casino games illegal. However, the rise of unregulated and illicit online casino activities has become increasingly difficult to ignore, reportedly generating up to 1.5 billion euros annually—a substantial 10 percent share of the sector’s income.
Proponents of the new legislation argue that legalizing and regulating online casinos would better protect consumers by imposing controls that mitigate addiction risks. Additionally, it would open up a lucrative avenue for taxation, with the government projecting revenues of 55.6 percent from the gross earnings of these online platforms.
The proposal has received pushback from France’s bricks-and-mortar casino sector. Operators fear that the introduction of legal online casinos will siphon off a significant portion of their revenues. According to Gregory Rabuel, head of France’s casino association, the impact could be drastic, with up to 30 percent of physical establishments at risk of closure and 15,000 jobs potentially in jeopardy. Rabuel warns of a "catastrophic" fallout, citing possible losses amounting to 20 to 30 percent of their gross revenues.
Despite these fears, supporters of the government’s plan emphasize that the online casino market already exists in a substantial—and illegal—form. They argue that legalizing this sector would not necessarily amplify competitive pressure on physical casinos but rather incorporate these shadow activities into the legal framework.
The future of France’s casino landscape now hinges on the parliamentary debate, as stakeholders from various sectors consider the broader implications of this transformative move. While the path to balancing economic gains with potential social costs remains challenging, France’s decision could set a precedent for closer alignment with an increasingly digital, and regulated, European gambling environment.