Paris — The French government has abruptly withdrawn its proposed amendment to the 2025 budget that aimed to legalize online casinos, triggering turbulence across the gaming sector. The measure, first introduced in October 2024, envisioned a licensing system coupled with an effective 55.6% tax rate on online casino revenues. Authorities argued the plan would curb France’s illegal gambling market, which in 2023 generated between €748 million and €1.5 billion in gross gaming revenue, with online casinos representing nearly 50% of this underground economy and 79% of high-risk players fueling unlawful activity.
French Budget Minister Laurent Saint-Martin expressed concerns about the amendment’s broader consequences, noting the need for extended consultations. “There was talk that the government would submit an amendment. This is no longer the case,” he declared, emphasizing the priority of preventing negative spillovers on land-based casinos and adjacent industries.
Under France’s current legal framework, established in 2010, online gambling is restricted to sports betting, horse racing, and poker, with online casinos explicitly prohibited. The amendment sought to align the country with other EU markets by introducing a 27.8% gross gaming revenue tax plus federal contributions, exceeding 55% in effective taxation. France, alongside Cyprus, remains among the last EU jurisdictions banning online casino games.
The economic stakes are high. Legalization could provide a much-needed revenue stream for France’s treasury, which faces one of the EU’s largest budget deficits. Yet industry stakeholders warn of collateral damage. Gregory Rabuel, president of Casinos de France, cautioned that legalization could slash land-based revenues by 20–30% and jeopardize up to 15,000 jobs unless safeguards and equivalent tax conditions are incorporated.
Casinos de France sounds the alarm: “La République must shield its legal gaming sanctuaries”
For now, the government’s retreat underscores a precarious balance between tapping into the digital gambling boom and protecting the long-standing land-based sector. As debates intensify, operators, regulators, and policymakers remain locked in a high-stakes regulatory storm.
