A recent study conducted by the French gambling regulator l’Autorité Nationale des Jeux (ANJ), in collaboration with PwC, has revealed startling insights into the illegal gambling market in France. According to their research, the market could be worth up to €1.5 billion annually, representing more than 10% of the total wage across the country annually.

Scope of Illegal Online Gambling

The study identified 510 illegal websites generating significant traffic, with just 21 of these websites accounting for 60% of all illegal gambling traffic. These findings suggest that the gross gaming revenue (GGR) generated by illegal gambling activities ranges from €748 million to €1.5 billion, making up 5% to 11% of France’s total gambling market, which hit a record €12.9 billion in 2022.

High-Risk Gamblers Dominate Illegal Market

Alarmingly, the study found that 79% of the GGR from the illegal online gambling market comes from high-risk gamblers. The main attractions for these players are the lack of wagering limits, the absence of identity checks, higher winning expectations, and a broader range of games. Half of the illegal gambling websites identified are owned by companies registered in Curaçao.

ANJ’s Study Methodology and Goals

The study was conducted between January and March 2023 and involved a web panel of over 11,000 participants. The goal was to measure the scale of illegal online gambling in France and better understand player behavior and consumption patterns.

ANJ’s Response and Action Plan

The ANJ has expressed concerns about the scale and risks associated with illegal gambling, advocating for more rigorous measures to combat it. In response, ANJ has blocked over 300 websites in the past year and is planning further actions. These include reporting to authorities for legal action against operators based in Curaçao or Cyprus, warning software publishers and hosting providers, and taking measures against payment service providers facilitating transactions for illegal operators.

Enhancing Cooperation and Public Awareness

ANJ seeks to enhance information exchange and best practices with European counterparts through the GREF. Additionally, there are plans to raise public awareness about the dangers of illegal gambling.

French Gambling Market’s Record Year

Despite the challenge of illegal gambling, France’s gambling market achieved a record GGR of €12.9 billion in 2022, a 20% increase year-on-year. Online gambling contributed €2.17 billion to this figure, with online sports betting, poker, and horse racing bets being significant contributors.

Uncovering the Extent of Illegal Gambling in France

The findings from the ANJ study highlight a significant challenge in the French gambling industry, with illegal activities accounting for a substantial portion of the market. As the ANJ implements its comprehensive action plan, it will focus on curbing illegal gambling activities while continuing to grow the legal market responsibly.