France wants to legalize online casinos next year, aligning its rules with most EU countries, according to an amendment presented by the government. Authorities believe that the decision, which is part of the country's budget plan for 2025, will help curb illegal gambling. If approved, virtual casinos would be taxed at 55.6% of their revenue.
The government suggested the legalization of online casinos as part of the budget project for 2025 presented over the weekend. The text was examined by the National Assembly on Monday.
Arguing that France and Cyprus are the only EU member states where online casinos are still illegal, the administration of Prime Minister Michel Barnier presented an amendment to its budget plan for 2025 that has been under debate in Parliament since Monday (21).
Physical casinos have already protested against the plan, saying they risk losing large portions of revenue and jobs if online casinos can compete with them.
France allows online betting, but online casino gambling was banned, with previous governments arguing that the risk of addiction is too great.
Poker, which is played in casinos and allowed online, is the exception because it is considered more dependent on the player's skill than on pure luck.
But there is a growing offer of illegal online casinos in France, which the government believes generate up to €1.5 billion each year, or about 10% of the entire sector's income.
By legalizing and regulating online casinos, the government believes it can "limit the impact of online gaming on consumer health". It would also be able to tax them at 55.6% of gross revenue.
Although betting sites have long wanted to add casino games to their online offerings, real-world casinos say the impact on their business would be "catastrophic", costing them between 20 and 30 percent of their gross revenues.
Gregory Rabuel, head of the French casino association, told the business newspaper Les Echos that the change would lead to the "closure of 30 percent of our establishments", with 15,000 jobs at risk.
But proponents of the government's change argue that there is already a considerable market for online casinos, and their legalization would not significantly increase competitive pressures on physical casinos compared to now.
Source: GMB / AFP
