France takes a look at legalizing online casinos

France may soon become the latest nation in Europe to legalize online gambling, and specifically online casinos. The country has allowed various forms of interactive gambling, including sports betting, but online casinos have been kept strictly at bay. This may now be changing under a new proposed law that would seek to at least consider the possibility of online casinos.

Proposition 1248 was introduced in the National Assembly, France’s legislative body, last week, and is seeking to garner sufficient support to push the bill into law. The bill is backed by Philippe Latombe, an MP for the Democratic Movement party, who has called for the liberalization of the online casino market.

Latombe also wants to follow the Swiss example up to a point, proposing that only local operators are allowed to operate for the first five years. Switzerland, for example, only allows local gambling companies to set up shop in the online casinos, and the country even voted on a referendum against allowing foreign actors to join the regulated online gambling market in the country.

If passed by 2025, the moratorium would apply until January 1, 2030, as per Article 2 of the proposal. Once this "grace period" is over, the bill would then allow foreign companies to also try and set up shop in the country if they are interested. The moratorium is also a measure that is designed to protect the existing land-based casino industry from any immediate shocks that could be counter-productive and damage the economy instead of help.

Article 3 of the proposal outlines tax conditions that are very similar to other gambling products that are taking place online. The proposal also hopes to help the industry develop organically, and not force any rush decisions on stakeholders or consumers.

Proposal 1248 is also a direct response to changing consumer habits with the majority of players now preferring to gamble online, and many heading offshore because those are the only websites that offer online casino games to French nationals.

This must be stopped, argues the proposal by introducing a dedicated and trusted industry at home. Presently, France has a sports betting industry that accepts online wagers. To operate an online sportsbook, a company must have a tether to a land-based venue, which is so that companies would have an actual stake in France and strive to do better by consumers.

The country has been actively looking to improve its stance on gambling, with the Autorité Nationale des Jeux outlining a first blacklist for unlicensed gambling operators in March.

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