Malta’s lucrative online gambling industry, which over the past five years witnessed hundreds of foreign companies opening shop on the island, will benefit directly from the opening of the French market announced yesterday by the European Commission.

Malta has been lobbying Brussels for years to enforce a European Court decision declaring illegal restrictions imposed by France on foreign online operators.

Malta-based companies were not allowed to offer their gambling services in France because the country’s law restricted the market to two operators. However, following challenges before the European Court of Justice even by Malta-based companies, the Commission started infringement procedures against Paris, demanding the laws be changed to allow for open competition.

“This is a very important development for the future of Malta’s online gaming industry,” an official of an online gaming agency based in Malta said yesterday.

“We have argued for a long time that online gaming companies cannot be restricted in other EU jurisdictions and we hope the decision by France will now be followed by other EU member states still restricting us from penetrating their markets,” the official said.

The European Commission is handling similar issues with Denmark, Finland, Greece, Hungary, the Netherlands and Sweden and is insisting with them to change their restrictive rules. A number of Maltese companies have instituted legal procedures against these member states.

The Commission yesterday announced it had closed infringement procedures against France as it was satisfied French citizens would have access to a wider choice of duly authorised online gambling services as a result of the changes to the law.

Maltese gambling operators can now apply for French licences and offer their services there. Nevertheless, gambling continues to be safeguarded to protect vulnerable consumers and prevent gambling addiction and criminal activities.