The French casino industry in trouble
On Tuesday, March 13th, the employers' association Casinos de France, representing half of the companies in France, organized a congress in Le Touquet. At this event, the association seized the opportunity to raise the alarm, as the situation of casinos in France is currently quite difficult.
10 years in crisis
Since 2008, the big casinos in France have been experiencing more and more difficulties. Among others, the following factors contributed to this:
- the global economic crisis,
- the smoking ban in public places,
- compulsory identity verification at the casino entrance,
- the competition of online gambling websites.
Massive obligatory investments and higher taxes
To get out of this bad situation, the sector had to make massive investments. On average, almost 100 million euros were spent by all concerned every year in order to refresh their offering and to follow the new regulations. At the same time, casinos also suffer from higher taxes and increased CSG (Contribution Sociale Généralisée, Social Security). It is expected that 20 to 30 institutions will be in danger this year.
The smallest casinos are experiencing the greatest difficulties
The gross turnover of the games, which had declined by 25% between 2008 and 2015, is now slowly returning to growth. But this growth affects only half of the casinos and some of them are still not profitable enough. The concern therefore relates to all the others who are stagnating or even turning back. Last year, for example, 83 French casinos registered a decline in sales. In most cases, these were smaller casinos that cannot afford to invest like their larger competitors, and are therefore in great danger.
Will the state now respond to the alarm call of the industry? Only time will tell.