France introduces a groundbreaking legislation proposal seeking to legalize the operation of online casinos

A bill is set to be deliberated by France’s National Assembly, potentially paving the way for the legalization of online casinos within the country.

This week, Philippe Latombe from the Democratic Movement party presented bill 1248, which outlines plans to establish a regulated online casino market in France.

At the heart of the bill is a key proposal known as the “five-year moratorium,” which suggests legalizing online casino gambling exclusively for “national actors” for a period of five years.

The status of online casino gambling in France

According to Article 2 of the bill, the proposed measure will remain in effect until January 1, 2030. After this period, the online casino market will be expanded beyond the existing casino license holders, allowing other interested operators to participate.

The bill emphasizes that this gradual approach will provide the current license holders with a conducive environment to develop their businesses under stable economic conditions before the market fully opens. The intention is to avoid disrupting existing regulatory frameworks, safeguard the national casino industry, and maintain the economic equilibrium of the municipalities hosting these establishments. The bill highlights the potential negative impact on employment within this sector if a sudden and complete opening were to occur.

Additionally, Article 1 grants authorization for operators to offer online casino games akin to those currently available in brick-and-mortar casinos.

Lastly, Article 3 stipulates that online casino games will be subject to the same taxation imposed by the state and local authorities as other forms of gambling.

Reasons for the proposed change

Currently, all forms of online casinos are prohibited in France, while authorized operators can offer internet sports wagering and horse racing betting. Licensed land-based casinos are also permissible.

In light of evolving player preferences, as outlined in bill 1248, online gambling has become the favored choice. However, due to the current illegality of internet casinos, consumers are compelled to gamble on unlicensed offshore platforms that lack protective measures.

The bill proposes the legalization of online casinos and the issuance of licenses to approved operators. This approach aims to establish a safer gambling environment for players and generate additional tax revenue for the country.

“THE EXISTING BAN ON ONLINE CASINOS IS BECOMING INCREASINGLY INEFFECTIVE, DESPITE EFFORTS BY AUTHORITIES TO IDENTIFY AND BLOCK ILLEGAL WEBSITES THROUGH COURT ORDERS,”

states the bill.

“GIVEN THESE DEVELOPMENTS, IT IS EVIDENT THAT THE ABSOLUTE PROHIBITION REGIME DOES NOT ADEQUATELY PROTECT CONSUMERS. THIS NECESSITATES CONSIDERING THE ADAPTATION OF THE FRENCH LEGAL FRAMEWORK TO ACCOMMODATE THESE NEW PRACTICES.”

According to the bill, the current ban on online casinos is becoming less effective, despite efforts by authorities to identify and block illegal websites through court orders. As a result, the absolute prohibition is not adequately protecting consumers, which raises the question of updating the French legal framework to accommodate new practices.

Recently, the French gambling regulator disclosed that it has rejected six operator action plans related to problem gambling, citing a lack of significant progress. These plans were submitted by 235 racetracks, 203 casinos, and seven gaming clubs. Among the rejections, five casinos and one gaming club were included.

Regarding the casinos, the regulator reiterated its previous remarks and emphasized the need for operators to utilize monitoring tools, enhance internal organization, provide staff training, and offer safer gambling information. It stated that there have been few notable advancements or innovative measures in this area and intends to release a practical guide to assist casinos in identifying and supporting potential problem gamblers.