The European Gaming and Betting Association (EGBA) has issued a call for France to regulate online casinos, citing concerns over the thriving black market that has emerged due to the current prohibition on online casino games. The EGBA emphasizes the need for urgent reassessment by French authorities, highlighting the risks posed to consumers and the substantial revenue potential lost to the unregulated sector.
Alarming Black Market Statistics:
A recent study conducted by the French Gaming Authority, l’Autorité Nationale des Jeux (ANJ), revealed that the black market for online gambling in France could generate up to €1.5 billion ($1.6 billion) in annual gross gaming revenue (GGR). The scale of this black market is considered one of the largest in the European Union, alongside Germany and Italy. The study further indicates that online casinos account for 50% of France’s black market website traffic, with approximately 3 million players accessing these sites monthly.
Consumer Risks and Lack of Protections:
Due to the unregulated nature of black market websites, players face significant risks, including issues related to payments and limited self-exclusion opportunities. The absence of regulatory oversight compromises consumer protection measures, necessitating a shift towards a regulated framework to ensure the well-being of online gamblers.
EGBA Secretary General’s Perspective:
Maarten Haijer, Secretary General of the EGBA, expressed deep concern over the extent of France’s online black market, attributing a significant portion of the problem to the existing ban on online casino games. Haijer emphasized that regulation through a multi-licensing model would not only enhance consumer protection but also provide French authorities with greater control over the online gambling market and secure crucial tax revenues.
A Call for Regulatory Alternatives:
Highlighting the counterproductive nature of the current ban, Haijer stressed that regulating online casino games and establishing a competitive, regulated market alternative is the most effective strategy to combat the growing black market. The EGBA urges French authorities to prioritize the reassessment of their online casino prohibition to better align with the evolving landscape of responsible and regulated online gambling.
The EGBA’s call for the regulation of online casinos in France comes in response to the alarming growth of the black market and the associated risks faced by consumers. As the EGBA advocates for a regulatory framework that prioritizes consumer protection and revenue generation, the urgency of reassessing the existing prohibition on online casino games becomes paramount for France to foster a safer and more controlled online gambling environment.