Blog

European Commission to examine FDJ monopoly in France

European Fee will examine no matter whether France’s choice to give FDJ special lottery and retail betting rights violates EU law.

The previous state-owned operator La Française des Jeux‘s (FDJ) ongoing monopoly over lottery and retail betting in France will be investigated by the European Commission (EC).

FDJ

The EC will probe regardless of whether the conclusion to give FDJ distinctive rights for lottery and retail betting for 25 many years from the day of its privatisation in 2019.

The operator formerly held the rights indefinitely when it belonged to the authorities. Just after its privatisation through a €1.89bn preliminary community supplying (IPO), it paid out €380m to keep on to take pleasure in rights to provide lotteries and retail betting for 25 a long time.

Two grievances about that offer were being lodged with EC, arguing that it violated European Union rules on unlawful point out aid. EU law prohibits member states from providing precise organizations or sector sectors a current market gain in a way that influences trade.

That involves interventions this kind of as tax fees, but exceptions can be built on a case-by-circumstance foundation, such as for govt-owned monopolies.

The European Gaming and Betting Affiliation (EGBA) has filed a complaint with the European Commission arguing that Germany’s proposed 5.3 per cent tax on online slots and poker turnover constitutes illegal point out help for land-based gaming.

The European Fee explained: “The Commission will verify the conformity of the remuneration with industry conditions and will not exclude not at this phase that the evaluate could present an undue financial gain to the Française des Jeux.

“The opening of an in-depth investigation gives France and all intrigued get-togethers the chance to comment on the measure at difficulty. It does not prejudge in any way the end result of the investigation.”

The FDJ said it would completely cooperate with the European Commission’s investigation.

Read more here…

You really should browse also the news from Listed here.