France’s online and land-based gaming sectors clash over iCasino regulation

Relations between France’s online and land-based gaming operators have grown increasingly strained, as AFJEL's renewed push for iCasino regulation drew strong criticism from Casinos de France (CdF), which accused the trade body of ignoring the risks to employment and local economies.

The exchange followed AFJEL’s annual general meeting in Paris, which was marked by calls for greater government intervention against illegal gambling.

Industry disagreement over regulation

The Association Française du Jeu en Ligne (AFJEL) reignited debate over online casino regulation during the meeting, where President Nicolas Béraud urged French authorities to address the spread of illegal gambling and create a regulatory environment that supports legal operators.

Béraud, who also serves as chairman of Banijay Gaming following Betclic’s 65% acquisition of Germany’s Tipico, said that the government should do everything it can to stop the spread of illegal gambling in France while ensuring that licensed operators can offer products competitive enough to deter players from unregulated sites.

AFJEL also presented a study showing that the number of French consumers using illegal gambling platforms has increased 35% over the past two years, reaching 5.4 million players. The report indicated that online casino gaming accounts for most of this activity, with unlicensed esports betting also growing rapidly.

Concerns over tax policy

In his remarks, Béraud criticized recent changes to France’s gambling tax framework, including a 15% levy on operators’ media and marketing expenditures that took effect in July. He said such measures could discourage companies from sponsoring sports, calling for “coherence” in the government’s policy.

“What is the meaning of these intentions?” he asked. “One cannot tell that sports bodies must find private money to compensate for cuts in public funding and, on the other hand, threaten their new partners with taxation because of their support for sport."

"Moreover, why should only online gaming companies be taxed on their sponsorship spend? Why make our sector the exception among other sponsors, whether they be airlines, supermarkets or other consumer brands? How can we continue to support sport if everything is being done to dissuade us? This is not a complaint, but a call for coherence.”

Casino industry pushback

AFJEL’s report and its stance on iCasino regulation drew an immediate rebuttal from CdF, the national trade group representing France’s largest land-based casino operators. In comments, the group rejected AFJEL’s projection that regulating online casinos could generate €1.2 billion ($1.3 billion) in additional tax revenue, asserting that legalization would harm regional economies.

CdF stated that such regulation “would lead to massive job losses, the disappearance of dozens of establishments, a reduction in the means of action available to local authorities, and a weakening of social and economic ties.” The organization estimated a net annual loss of €546 million ($584 million) to public finances, considering indirect effects on health and employment.

CdF President and Groupe Barrière CEO Grégory Rabuel said AFJEL’s claims were unfounded. “The €1.2bn ‘shortfall’ cited by AFJEL does not exist," he argued. "It is a mirage, and worse, it is a loss for the State: destruction of local jobs, reduction in municipal budgets, drying up of cultural life in communities… Not to mention the impact on the mental health of the French people, which would amount to hundreds of millions in additional costs for Social Security.”

AFJEL spokesperson Isabelle Djian-Lignon told SBC News that the data in the report were not inflated. “If anything, they are underestimated as there are now more players in the illegal market than on the legal market; it’s endemic,” she said.

Several speakers at the AFJEL meeting called for coordinated EU enforcement, fair taxation, and a more balanced policy framework to help direct players toward licensed platforms. Participants generally agreed that ensuring competitive legal options would be central to maintaining a sustainable and secure gaming environment in France.