New Media Report Highlights Need for iGaming Regulation Reform in Quebec

Rising gambling addiction among Canadian youth fuels concerns over unregulated online gaming platforms. This issue exposes the need for stricter regulations. Explore Quebec’s gambling issues and proposed reforms. Read the full article now.

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A story recently published in Le Devoir calls attention to a troubling trend. Each year, more young people are affected by gambling addiction.

The report mentions a 16-year-old who began playing online. He turned an $80 stake into a C$1,200 win, and then he started to gamble more often. It all led to the situation when he opened accounts on illegal gambling sites using his brother’s ID.

This media report reveals the need for an Ontario-style gaming regulatory reform in Quebec. Ariane Gauthier, spokesperson for the Quebec Online Gaming Coalition, emphasized this. She revealed that Ontario’s system is stricter, as it prevents minors from playing. Ontario’s system also implements solid standards for responsible gambling in its licensing.
canadian igaming summit

How Gambling Works in Quebec

Only the government-run Loto-Quebec offers legal online gaming in the province. That limits the choices available for players. As a result, many people choose unregulated or illegal sites. Such sites don’t follow safety regulations and can subject users to various risks.

Launched in May 2023, the Quebec Online Gaming Coalition includes such members as:

Betway,
Flutter,
DraftKings,
Games Global,
Entain,
Rush Street Interactive,
Bet99,
Apricot Investment.

Now the group tries to persuade the government to adopt a new licensing system. That would allow private operators to offer regulated iGaming in Quebec, as it is in Ontario. They will follow stringent rules and pay taxes in exchange for licenses.

Quebec Loses Annual Income Due to Unregulated Gambling

Gauthier proposes that the Quebec government implement a regulation prohibiting access for minors. She explained that Loto-Quebec tried to develop its regulations and establish a monopoly online. Yet she added, ‘After all this time, the results speak for themselves, and they fall short.’ She added that the province deserves better and should learn from Ontario’s example.

At the Canadian Gaming Summit in June, Troy Ross of TRM Public Affairs revealed that Quebec loses C$1.97 billion every year. All these losses are due to unregulated gaming sites. At the same time, Alberta and British Columbia suffer losses of C$1.3 billion each. Ontario also forfeits C$757 million, which is lower due to harsh regulations. However, if all of this money flowed through legal channels and was taxed, it would be better for the regional economy.

In fact, Quebec channels only 27% of its online gambling activity into the regulated market, including any legal online casino in Quebec. The remaining 73% occurs on unregulated sites. In comparison, Ontario channels over 80% of its gambling activity into regulated platforms.

Officials Recommend an iGaming Regulation Reform in Quebec

Members of the Quebec Online Gaming Coalition have been urging the province to reform. They have proposed a hybrid model that would help private operators compete alongside Loto-Québec. That model would bring in new tax revenues and increase consumer protection. It would solve the issues of gambling among minors and illegal site use.

Implementing the Ontario licensing system will generate higher revenue for the government. This system requires all operators to pass through an independent regulator for security, fairness, and responsible gaming tools.

After all, iGaming Ontario has generated close to C$230 million in government revenues. Its revenues rose more than 70% the following year. Meanwhile, Loto-Quebec has seen only small revenue gains.