1) On the operation in France
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a) The Regulation in France
French gambling regulations are based on a very restrictive legal framework.
The founding principle is the general prohibition of games of chance, the law of 21 May 1836, which prohibits all lotteries, and the law n° 83-628 of 12 July 1983, which criminalises the operation of unauthorised gambling in public places.
These texts strengthen control where only specifically authorised exceptions can be legally exploited.
Overall, French legislation remains one of the most restrictive in Europe, with market access strictly reserved for state-controlled or authorized actors and the focus on preventing the liberalization of gambling activities. Gambling is only allowed where the law explicitly allows it, usually under a state monopoly or tightly controlled permissions.
Today, gambling is really controlled, and lotteries are banned.
However, there are exceptions for which an operator may have a game of chance. This prohibition extends to “all operations offered to the public, under any name whatsoever, giving hope of a gain that would be due, even partially, to chance, and for which a financial sacrifice is required of the participants“.
The concept of “financial sacrifice” is established when an advance payment is required, even if a subsequent repayment is possible.
However, there are specific exemptions that allow certain types of gambling.
These licensed games are not considered ordinary commercial activities or services; They are subject to strict regulations aimed at preventing disturbances to public and social order, particularly with regard to the protection of health and minors.
Their exploitation is subject to exclusive rights, authorisations or approvals granted by the State. The State’s gambling policy aims to limit and regulate the supply and consumption of games, as well as to control their operation.
Its main objectives are: to prevent excessive or pathological gambling and to protect minors, by ensuring the integrity, reliability and transparency of gambling operations, preventing fraudulent or criminal activities as well as money laundering and terrorist financing, and ensuring the balanced operation of different types of gambling in order to avoid economic destabilization of the sectors concerned.
Legally licensed gambling operators contribute to these goals by channeling demand into a controlled circuit and preventing the development of illegal offerings.
Permitted gaming activities, as exceptions to the general prohibition, include:
- Casinos may be authorised in certain types of municipalities, such as those classified as seaside, spa or climatic resorts, or in large urban centres that meet certain cultural and demographic criteria. They may also be authorised on commercial passenger vessels flying the French flag.
- The authorisations are temporary, granted by the Interior Minister after municipal approval and on the basis of a detailed charter.
- Casino managers, members of the management committee and all staff working in gaming halls must be of French or EU/EEA nationality, of legal age, enjoy their civil and political rights and be approved by the Minister of the Interior.
- The operation of slot machines, also known as slot machines, is specifically allowed only in casino gaming rooms. (L321-1).
- Traditional lottos, also known as “poules au gibier”, “fusils” or “quines” in French, are also excluded when they are organised by non-operators in a restricted circle for similar causes of general interest, with low stakes (less than 20 euros) and prizes that cannot be redeemed for cash or refundable.
- Games offered at the fairgrounds are also excluded. (L322-3; L322-4)
- The operation of lottery games under exclusive rights is marketed by a single legal entity, under strict control by the State.
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- Licensed lottery games may be based on the principle of profit sharing, where total winnings, set as a percentage of the stakes, are distributed among the winners, or on fixed odds (counterparty), the nature and value of which are fixed or the result of probability calculations.
- They are classified into “draw” games (traditional, successive or additional draws) and “instant” games (instant games, such as scratch cards or games with immediate random results, or additional instant games).
- A single lottery game can combine features from both categories.
- The mathematical expectation of winning for each game or category is regulated by decree, and the sale or export of these lottery games without the prior authorization of the holder of the exclusive rights is prohibited, as well as their sale or resale at a price higher than their issue value. (L322-2)
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b) Administrative prohibitions
An administrative ban may be imposed by the competent authority on persons whose behaviour disturbs public order or the normal conduct of the games, for a maximum period of five years.
Individuals may also voluntarily request a ban, applicable to casinos, online gaming and certain physical terminals, for a period of three years, tacitly renewable.
They are required to prohibit sending commercial communications to players, current or former, who are self-excluded or voluntarily banned.
Most importantly, gambling on credit is prohibited. Operators, their management or employees are prohibited from lending money to players or facilitating player-to-player loans. Advertising for such lending services or linking to such services on online gaming platforms is also prohibited.
Licensed gambling operators are subject to strict regulations.
They must include a warning message about overplaying and a reference to an information and assistance system.
Communication is prohibited in publications, audiovisual services and electronic communications intended for minors, and in cinemas during performances accessible to minors.
It is also forbidden for financial operators or to sponsor events specifically aimed at minors.
Local authorities (representative of the State in the department or prefect of police in Paris) can define perimeters around educational and youth establishments where gambling advertising is prohibited and where the establishment of new gaming points of sale is prohibited.
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c) Sanctions
Violations of these regulations result in heavy penalties.
The exploitation of games prohibited by law is punishable by three years’ imprisonment and a fine of €90,000, increased to seven years’ imprisonment and €200,000 in an organized gang.
Failure to comply with the conditions for authorising legal gambling is punishable by the same penalties.
The issuance or distribution of prohibited gaming media is punishable by a fine of €100,000, which can be quadrupled depending on the advertising expenses related to the illegal exploitation.
The import, manufacture, and exploit of illegal slot machines is punishable by three years in prison and a fine of €90,000, increased in the case of organized crime.
Operators who allow banned people to gamble online or send them commercial communications are liable to a fine of €10,000.
The establishment of a new point of sale in violation of the prohibited perimeters or direct access to terminals with a human intermediary without prior verification of age is punishable by a fine of €100,000.
Violation of the credit ban is punishable by a fine of €150,000. Advertising for a loan or creating a link to such services is punishable by a fine of €75,000. (from L324-1 to L324-3).
Any non-compliant commercial communication is punishable by a fine of €100,000, which can be quadrupled depending on advertising expenses.
Individuals found guilty of these offences are subject to additional penalties, such as loss of civil rights, confiscation of property, prohibition from exercising a profession and permanent or temporary closure of their establishment.
Legal people may also be subject to heavy fines and prohibitions from exercising a profession, up to and including the withdrawal of their authorisation or approval.
2) The operation in the United Kingdom
The law governing gambling in the United Kingdom was reformed in 2005. The reform introduces a vast authorisation regime for almost all gambling activities.
Its three fundamental objectives: preventing crime, ensuring fairness and protecting the vulnerable, form the basis of regulatory discretion.
The UK National Lottery is subject to a separate regime introduced by the 1993 Act, with a single operator selected by tender and subject to strict rules for the distribution of revenues.
In particular, the National Lottery allocates significant funds to “good causes”, thus underlining its social function for charitable purposes.
Casinos are categorized into regional, large and small categories, with numerical and structural limits to ensure oversight.
Slot machines are classified by risk levels, with low-risk machines allowed in pub bars and family centres under more relaxed controls.
The legal recognition of spread betting as a financial activity, regulated by the Financial Services Authority (FSA), is unique to the UK, which expands the betting landscape beyond traditional gambling standards.
The UK upholds a liberalised and competitive gaming environment, anchored in a strong regulatory structure focused on transparency, integrity and social responsibility.
Licences are widely granted, and commercial operators are free to innovate, especially in areas such as fixed odds betting and spread betting.
3) The operation in Italy
Italian gambling legislation is based on a monopolistic model, supported by the Penal Code, which generally prohibits the private operation of games of chance.
The central authority in charge of this sector is the Agenzia delle Dogane e dei Monopoli (ADM). Specifically, the Gaming Control Office within the Gaming “Directorate” plays a direct role in enforcing the regulations and maintaining the dealer list.
This dual system allows for private participation while maintaining public control, particularly over the collection of bets and the design of games.
Casinos are limited to thirty historically authorized establishments located in border regions and operated by companies with majority public participation.
Lotteries, including the “SuperEnalotto” and the “Lotto”, are managed under exclusive concessions granted by the State.
Local lotteries are allowed under strict thresholds. Slots, although widespread, must meet technical and gaming criteria to avoid being classified as illicit gambling.
Italy stands out by allowing the widespread installation of slot machines in hospitality establishments, subject to regulation.
The core of the current regulatory framework is Legislative Decree No. 41 of 25 March 2024, which entered into force on 4 April 2024.
This decree is the main regulatory source for public games authorised in Italy. Its main objective is the reorganization of the gaming sector, with a particular focus on remote gaming (giochi a distanza).
It should be noted that the regulation of casinos is expressly excluded from this decree and therefore remains governed by the previous provisions.
In addition, the provisions relating to public games collected by a physical network are expected in a subsequent legislative decree, after the agreement between the State, the regions and the local authorities.
The reorganization of the gaming sector, as provided for in Article 15 of Law No. 111 of 9 August 2023, is based on several fundamental principles.
These include the introduction of technical and regulatory measures for the protection of players, such as the reduction of betting and winning limits, the continuous training of operators, and the strengthening of self-exclusion mechanisms, including through the establishment of a national register.
The law also provides for territorial planning of physical playgrounds, guaranteeing predictable distances from sensitive sites, and encouraging consultation between the State, the regions and local authorities.
In tax matters, the decree stipulates that the elements related to the triggering events, the taxpayers and the maximum amounts of taxation are subject to ordinary law.
It also requires prior approval from the ADM for the minimum content of contracts between dealers and their outlets.
The aim is to ensure transparent and uniform rules nationwide in terms of permits, authorisations and controls, while at the same time allowing the participation of municipalities in the planning of the physical gaming offer.
Permits issued outside the planned territorial areas are prohibited and considered null and void by operation of law.
The ADM actively enforces these regulations, especially in the fight against illegal online gambling services.
The Gaming Control Office of the Gaming Directorate issues orders to internet connectivity service providers to block access to unauthorized gaming sites.
These orders, based in particular on Article 102, paragraph 1, of Decree-Law No. 104 of 14 August 2020, require the redirection of traffic from illegal sites to a specific IP address, within a set time limit, such as 13 June 2025 for newly identified sites.
An updated list of these blocked sites is publicly available on ADM’s institutional portal.
For concessionaires, in particular those who operate public games on sports or horse racing, the ADM supervises the electronic transmission of data relating to the transfer of the rights assigned, via the functionalities available in the reserved area of the ADM website.
While remote gaming dealers may have physical locations for strictly ancillary services, these locations may neither offer remote gaming nor manage the resulting gains.
4) Our conclusions
IN CONCLUSION, France, the United Kingdom, and Italy have very different ways of managing lotteries and gambling.
In France, the system is very strict: gambling is forbidden except for exceptions well supervised by the State, to protect public order and vulnerable people.
The UK has a more open approach, but with clear rules to ensure transparency and limit risk, including through a national charity lottery.
Italy combines a public monopoly and private concessions, with tight state control and a recent reform to better organize the sector.
So, it’s evident that the easiest to install a business based in gambling might be the UK.
Med venlig hilsen / Kind regards
Cabinet Nicolas BRAHIN
Advokatfirma i NICE, Lawyers in NIC
Camilla Nissen MICHELIS
Assistante – Traductrice
1, Rue Louis Gassin – 06300 NICE (FRANCE)
Tel : +33 493 830 876 / Fax : +33 493 181 437
