Gaming Operators in France Hope To Speed up iGaming Study

Article by : Erik Gibbs Oct 31, 2024

• 
• 

French casino operators are poised to engage with the government regarding the future of online casino regulation following the recent withdrawal of an amendment aimed at regulating this sector within the Budget 2025. Casinos de France (CdF), the trade association representing the nation’s 200 land-based casinos, expressed eagerness to discuss regulatory matters during an upcoming meeting with government officials next week. The organization emphasized the need for physical casinos to be prioritized in the digital gaming landscape, reflecting a long-standing desire for the industry’s input on any regulatory framework.

Philippe Bon, the CEO of Casinos de France, acknowledged the potential for collaboration with the French online gaming association AFJEL, which advocates for an open market model for online casinos. However, he noted that there has been no recent communication between the two groups. 

Bon emphasized the importance of considering the unique characteristics of France’s land-based casino environment when discussing regulatory changes. He pointed out that while online gaming regulations are often discussed in terms of exceptions, the country’s physical casino landscape also presents specific challenges that should be factored into any new framework.

Bon reiterated the call for implementing the JADE model for iCasino regulation, which aims to connect the opening of online casinos to the existing land-based establishments. This model is seen as a preliminary step towards establishing a regulated online casino market in France, with the objective of fostering a responsible and manageable gaming environment.

While the desire for dialogue with legislators is clear, Bon raised concerns about the pace at which effective operational solutions could be rolled out by 2025. He highlighted the complexity of technical solutions and suggested that it may take time for tax revenues from online gaming to materialize. In the interim, he proposed alternative revenue-generating options, such as allowing roulette games to be offered in gaming clubs located in Paris, which could yield returns within a year.

The withdrawal of the amendment to regulate online casinos, announced on Sunday, has sparked a period of intense lobbying and negotiations between stakeholders and government authorities. This decision followed significant opposition from Casinos de France and over 100 mayors, who expressed their concerns through a letter to Le Figaro.

Fabrice Paire, a board member of Groupe Partouche—France’s second-largest casino operator—and a vice president of CdF, articulated the view that any regulation of online casinos must not be disconnected from land-based operations. He stressed that without careful consideration, the proposed changes could prove detrimental to physical casinos, some of which could face dire consequences.

In addressing whether CdF was resistant to modernization, Paire clarified that the organization’s stance is not about resisting change but about safeguarding the physical casino business. He called for a calm and reasoned discussion surrounding this topic to avoid impulsive decisions that could negatively impact the sector.

The JADE initiative advocates for online licenses to be granted exclusively to French land-based casinos, suggesting that online offerings should closely mirror those available in physical establishments. Paire referenced the successful adoption of similar models in Belgium and Switzerland, highlighting the potential benefits of aligning French regulations with those established in other countries.

He also pointed out that France’s online sports betting and poker regulations, established in 2010, have inadvertently led to the emergence of a “triopoly,” wherein three operators dominate the online poker market, controlling 90%, and hold 80% of the sports betting market. 

Paire raised questions about the sustainability of favoring such a limited number of employees when the broader casino sector supports around 45,000 jobs, urging a more inclusive approach to regulation that benefits the entire industry.