The EGBA urges French authorities to regulate online casino games in response to an alarming new study that suggests the country has one of the largest online gambling black markets in the EU
The European Gaming and Betting Association (EGBA) is concerned about the findings of a new study into the size of the online gambling black market in France. The study, commissioned by the Autorité Nationale des Jeux, estimates that the online gambling black market in France is worth up to €1,5 billion a year in terms of gross gaming revenues (GGR), equivalent to almost half of the revenues of regulated online gambling in France. [1] This suggests that France has one of the largest online gambling black markets in the EU, and to address the problem, the EGBA is calling on French authorities to end the country's ban on online casino games .
Although France is one of the most important European gambling markets, it is one of only two EU countries to ban online casino games [2], creating a black market with all its inherent risks. The new study [3] conducted by PwC, found that websites offering online casino games are the main contributors to the country's online black market and, together with slots, account for up to 50% of the market's website traffic French black. Although there is a clear demand for these games in France, these websites operate outside of French laws and many of them threaten the safety of French players, who have no legal recourse or minimal protections, such as self-exclusion, when playing them. they use.
The study found that around 3 million French gamers use black market websites at least once a month. Even more concerning, the study also determined that high-risk players account for 79% of the GGR generated by these black market players, meaning vulnerable players may be exposed to unsafe and unregulated websites that do not offer them no protection for gambling.
To safeguard these players and promote a safe gaming environment for all, the EGBA urges the French authorities to re-evaluate the country's existing ban on online casino games and, consistent with the already established French regulation of online sports betting, to adopt the necessary measures to ensure a safe and regulated environment also for the country's online casino players. Such a regulatory framework should be based on a multiple licensing model, where several operators can obtain business-to-customer licenses, as it has long been demonstrated [4] that this is the most effective method to reduce gambling black markets. online gambling.
“The scale of the French online black market is alarming and we believe it is one of the largest online gambling black markets in the EU, along with Germany and Italy. The country's online casino ban is clearly a big part of the problem. Given the popularity of online casino and the need to protect consumers from black market risks, it is imperative that French authorities urgently re-evaluate the current ban on online casino games. The ban is counterproductive and does not satisfy consumers. By regulating online casino games through a multiple licensing model, France would better protect its consumers, regain greater control over its online gambling market and secure vital tax revenue. The best way to tackle a black market is to create a competitive, regulated alternative. The time to act is now,” he said Maarten Haijer (pictured), Secretary General of the EGBA.
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[1] The overall regulated gambling market in France was worth almost €13 billion in gross gaming revenues in 2022, of which €2,96 billion was for online gambling (sports and horse racing betting and poker ). Source: ANJ.
[2] Cyprus and France are the only EU countries where online casinos are strictly prohibited. Source: EGBA.
[3] The study was conducted from January to March 2023 and included a web panel of more than 11.000 participants. Source: ANJ.
[4] All EU countries that regulate online casinos do so through a multiple licensing framework, while only Austria, Finland and Poland have monopoly agreements for the provision of online casino games. Finland is expected to move to a multiple licensing system by 2026. Source: EGBA.
