The French government is set to introduce a substantial increase in gambling taxes starting in July 2025. The move, which impacts both online and retail gaming, is poised to reshape the country’s gambling landscape and could have wide-ranging effects on operators and players alike. This tax hike comes as the French government grapples with a complex economic landscape, seeking to bolster public finances amids pressure to reduce the budget deficit.

A Significant Tax Increase Across All Gambling Sectors

The French government is set to introduce a substantial increase in gambling taxes starting in July 2025. The move, which impacts both online and retail gaming, is poised to reshape the country’s gambling landscape and could have wide-ranging effects on operators and players alike.

Under the new taxation framework:

• Lotto and EuroMillions: The public levy will rise from 68% to 69% of gross gaming revenue (PBJ), with the social contribution (CSG) increasing from 6.2% to 7.2%.
• Other lottery draw games and instant-win games: Taxes will increase from 55.5% to 56.5%, with the CSG rising to 7.2%.
• Retail sports betting: The levy will go up from 41.1% to 42.1%, with a CSG increase from 6.6% to 7.6%.
• Online sports betting: A major jump will see taxes rise from 54.9% to 59.3%, with the CSG climbing from 10.6% to 15%.
• Online poker: The most dramatic change, with the public levy soaring from 0.2% of wagers to 10% of gross gaming revenue.
• Horse race betting (online): No changes in social taxes, but the levy on operators will increase from 52.3% to 52.9%, with an annual adjustment determined by decree.
• New advertising tax: Gambling operators will also face a 15% tax on advertising and promotional expenditures, a move intended to curb aggressive marketing tactics.

A Market in Flux: Operators Brace for Impact

This sweeping tax reform marks one of the most significant regulatory shifts in France’s gambling industry in recent years. While the government justifies the move as a means to bolster public revenue—especially for social security—industry stakeholders warn of unintended consequences.

Nicolas Beraud, Betclic’s CEO, during the Gaming in France Conference in Barcelona, shared his concerns of a new tax hikes for french operators, arguing that few of them are really profitable in the current one. It appears that the government did not listen to their concerns.

What This Means for the Industry

1. Pressure on operators
   Online betting platforms, in particular, will bear the brunt of these hikes, with some facing tax rates nearing 60%. Such an increase could force smaller operators out of the market, leaving space for illegal ones.

2. Impact on playersWith the new tax on advertising – that might target sponsorship as welcome bonuses’, lowering new players interest in registering on legal platforms.

A New Era for French Gambling?

France’s gambling industry is entering a period of transformation, with regulatory pressures mounting and ongoing discussions with online casino legalization.

The new tax policy will test the resilience of operators and could reshape consumer behavior. As July 2025 approaches, all eyes will be on how the market reacts—and whether this fiscal bet by the government pays off.

FDJ already announced that they estimates a €90M impact on their EBITDA for FY2025 due to this tax hike.