What Lies Ahead for the French Gambling Market

_{2024 ended with closure of Paris gaming clubs. (Image: Serge Mouraret / Alamy)}

As 2024 came to an end, the gaming clubs of Paris were forced to close. The reason is political turmoil and the downfall of Michel Barnier’s government.  

At the beginning of the new year, the French gambling market is poised for significant developments as it navigates the complexities of regulatory changes and political challenges. It might be fair to say that the industry is in a precarious position.

Gaming Club Employees Only Partially Employed  

The human impact is being felt by the employees of land-based casinos who are currently only partially employed, with the government covering 60% of their salaries while larger operators contribute the remaining 40% for a limited time. The future of these clubs remains uncertain.

The French government is set to resume its official duties on January 13, and stakeholders are hopeful that a new budget can be passed in the first quarter of 2025.

Over the past year, these clubs generated €120 million in gross gaming revenue (GGR), contributing €10 million in local taxes and €40 million to the state. 

The urgency for a new budget cannot be overstated, as it serves as the legal framework necessary for the government's support and the clubs' survival. 

Budget, Regulations, Legalisation and Consumer Protection: A Work in Progress

Sébastien Leclercq, CEO of Circus Casino France, noted that while the Ministries of the Interior and Labour have been responsive to the clubs' needs, their efforts are hampered by the lack of an established budget. The ongoing political instability, exacerbated by President Macron's decision to call early elections, adds another layer of difficulty. 

The next parliamentary elections are slated for July 2025, but a potential confidence vote could arise sooner if opposition parties garner enough support, which could force Macron to form yet another government in a short span. 

On the regulatory front, the future of online casinos in France remains a work in progress. Working groups are expected to continue their discussions, focusing on crucial aspects such as consumer protection, public health implications of legalisation, and the potential economic impact of online casinos on traditional land-based venues. 

However, until a new budget is ratified, uncertainty will continue to loom over the French gambling market. The industry is watching closely, as the outcomes of these discussions and the political landscape will have lasting effects on its trajectory in 2025 and beyond.