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Economics of Gambling in France

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The French betting and gaming industry has a long and complex history. The main French horse race betting operator, Pari Mutuel Urbain (PMU), offers eleven different types of bets. There are more casinos in France than in any other single jurisdiction outside Nevada. The National Lottery, the fifth largest in the world, offered 25 games during 2003.

French Betting and Gaming GGR by Product 2000-2004 (in € millions):

French

Source: Submission to the Enquiry from La Française des Jeux

The gambling expenditure for the past five years in France is presented in the table below. The development of the market over the next five years depends on a very large amount of factors, but overall, the growth is expected to slow down.

French Gambling Market 2000-2004:

  • GGR (in € millions) >>> La Française des Jeux >>> PMU >>> Casinos >>> Total*
  • 2000 >>> 2 671.9 >>> 1 759.9 >>> 1732.0 >>> 6 163.8
  • 2001 >>> 2 835.0 >>> 1 827.3 >>> 1896.0 >>> 6 558.3
  • 2002 >>> 2 962.5 >>> 1 844.8 >>> 2456.0 >>> 7 263.3
  • 2003 >>> 3 085.2 >>> 1 972.0 >>> 2546.0 >>> 7 603.2
  • 2004 >>> 3 392.3 >>> 2 079.4 >>> 2613.0 >>> 8 084.7
  • 2005 >>> 3 554.8 >>> 2 186.9 >>> 2647.0 >>> 8 388.7

Source: Submission to the Enquiry from GIE-PMU

With the exception of the national betting and lottery monopolies, the French Government has sought to block all online gambling transactions. The leading French credit card organisation has taken actions to ensure that all French banks do not facilitate transactions from foreign Internet gaming sites.

The French national monopolies contribute heavily to various charitable organisations each year. The French National Olympic Sport Committee is one of the main beneficiaries of these donations. Its division, the National Foundation for Sports Developments (FNDF), receives 2.9% of lottery and sportsbetting turnover. It further receives 0.01% of horseracing betting turnover (from PMU) and 5% of the TV sport broadcasting proceeds. Over the past five years the contribution sum has been steadily rising.

Gambling Industry Contribution to FNDF 2001-2005 (€ millions):

  • Year >>> 2001 >>> 2002 >>> 2003 >>> 2004 >>> 2005
  • La Française des Jeux >>> 187.5 >>> 226 >>> 217.5 >>> 239.1 >>> 239.5
  • TV broadcasting of lotteries and sports >>> 22.1 >>> 18.1 >>> 21.7 >>> 26.4 >>> 20
  • PMU >>> 1.4 >>> 0.5 >>> 0.5 >>> 0.5 >>> 0.5
  • Total >>> 211 >>> 244.6 >>> 239.7 >>> 266 >>> 260

Source: Submission to the Enquiry from The French National Olympic Sport Committee

© European Union

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