The government of France has withdrawn the ‘proposed amendments’ to the 2025 Budget to legislate and launch an online casino market.
The decision was announced on Sunday by Budget Minister Laurent Saint-Martin, who stated that further consultations were needed to avoid the negative impacts and job losses warned by regional stakeholders.
“There was talk that the government would submit an amendment. This is no longer the case. I believe we need to work among ourselves first,” the Minister stated on Radio J this weekend.
“I am very vigilant about this issue. We must not make mistakes. We must ensure that it doesn’t harm certain stakeholders, especially land-based casinos.”
As a result, France will maintain its 2010 gambling laws, upholding a fragmented marketplace that regulates sports betting, horseracing, and poker, but prohibits online casino activities.
The intervention follows Prime Minister Michel Barnier allowing France’s Budget 2025 to include an amendment for online casino legislation as part of efforts to reduce state debt and raise €500 million in taxes. The amendment sought to impose a direct gross gaming revenue (GGR) tax of 27.8% on online casinos, combined with federal business rates, bringing the effective tax rate on iCasino activities to 55%.
The proposal was immediately challenged by French mayors and Casinos de France, the trade body representing France’s 200 land-based casinos.
As reported by Jake Pollard, the backlash saw “around 130 French mayors publish an editorial in Le Figaro yesterday stating their opposition to the measure. They said it was akin to “opening a Pandora’s box” and would have the opposite effect to the government’s budget target of raising funds.”
In support of regional casinos, French mayors are seeking assurances that online casinos cannot be exempted from the social duties and tax obligations imposed on physical casinos, which would give them a significant advantage.
The government has been urged to adopt the “Casinos de France model,” proposing that a regulated online casino market be structured similarly to the country’s existing land-based casinos.
Minister Saint Laurent noted that the government recognises France’s unique position as the only EU member state, apart from Cyprus, that has not legislated online casinos.
Though postponed, the government retains the mandate to review online casino laws, with potential future measures focusing on tax generation, land-based protections, and harm reduction.
Casinos de France issued a statement from President Grégory Rabuel, who stated: “We are relieved that the government has heard our concerns. We remain vigilant to ensure that the commitment made by the Budget Minister is upheld: any future legislative or regulatory changes should take place within a framework of consultation and constructive dialogue.”