The discussion surrounding the future of online gambling in France has grown more intense, with the country’s land-based casino group, Casinos de France, vehemently rejecting what it terms the “misinformation” propagated by the online gaming lobby AFJEL. The association claims that the legalization of online casinos would damage local economies, disrupt social cohesion, and incur significant financial losses instead of generating the projected revenues touted by online gambling proponents.
AFJEL’s Reform Proposal Triggers Industry Response
This confrontation stems from AFJEL’s recent initiative to advocate for the legalization of online casinos to combat illegal gambling and boost state revenues. At its annual meeting in Paris, AFJEL President Nicolas Béraud called on authorities to tackle the upsurge of unregulated gambling sites and to revise tax policies to foster a more competitive regulated market. He referenced a study indicating a 35% rise in French players accessing illegal websites over the past two years, with casino-style games forming a major part of that demographic.
Béraud criticized the government’s recent tax measures, including a 15% tax on marketing and sponsorship expenditures, arguing that these policies are contradictory. He pointed out, “It is contradictory to expect sports organizations to seek private funding to make up for public funding cuts while imposing taxes on their new partners for supporting sports.”
AFJEL’s report suggested that regulating the online casino industry could recover €1.2 billion in tax revenue currently lost to foreign operators, a claim Casinos de France dismissed as baseless. In a strong rebuttal, the president of Casinos de France, Grégory Rabuel, asserted that the alleged tax recovery figure “is nonexistent.” He elaborated, stating, “It’s a deception that harms the state—leading to job losses, slashed municipal budgets, and a decline in cultural vitality in towns. Furthermore, the impact on the mental health of the French population could result in hundreds of millions in additional social security costs.”
The organization warned that legalizing online casinos could lead to an annual loss of €546 million in public finances when considering indirect consequences on health and employment. It deemed this move a “misleading hope” that would ultimately detract from the land-based casino market, which currently consists of 203 casinos and seven gaming clubs in France, employing over 31,000 individuals.
Brick-and-Mortar Casinos Emphasize Responsible Gaming
Casinos de France contrasted the regulated atmosphere of physical casinos with the potential dangers of online gambling, asserting that French casinos follow a “socially responsible model” with stringent oversight. They emphasized that casinos are the only venues where every player is vetted before entry, minors are systematically barred, and trained staff monitor and address risky behaviors.
Furthermore, they pointed to international examples where online gambling liberalization has led to adverse outcomes. In Sweden, for instance, the legalization resulted in the closure of all land-based casinos, with nearly 40% of wagers still placed on unauthorized websites. Similar situations have emerged in Finland, Switzerland, and Belgium, where illegal sites remain prevalent despite attempts at regulation.
Casinos de France also noted recent law enforcement successes, such as a joint operation that shut down the illegal Crésus Casino website, demonstrating that existing laws allow for effective action. They concluded by urging the government to strengthen regulatory measures rather than permit the expansion of online casinos, warning against endorsing an activity detrimental to public health and local economies.
