The French government is considering legalizing online casinos for the first time as it struggles to put a dent in a budget deficit that could surpass 6% this year, double the European Union (EU) target of 3%. Lawmakers proposed such a move in the government’s 2025 draft budget that it officially presented over the weekend. The National Assembly is debating this week.
It is targeting a black market that generated an estimated revenue of between €748m ($806m) and €1.5bn ($1.6bn) last year, according to France’s gambling regulator.
government proposes a hefty tax rate of 55.6% on the turnover
A lawmaker suggested the move would be a good way to tackle the black market and get a better grasp on addiction rates. The government proposes a hefty tax rate of 55.6% on the turnover from these operations.
The land-based gambling sector in the country believes nearly a third of physical gaming establishments would close with the legalization of online casinos due to a revenue drop of 20-30%.
France has about 200 land-based casinos and suggests that iGaming platforms should be offered in collaboration with the properties. It is one of two EU countries, along with Cyprus, to still completely ban online casinos.