Canadian Gaming News: Private Operator Coalition Looks to Cut Back Quebec Monopoly

Posted on: January 15, 2025, 10:22h. 

Last updated on: January 15, 2025, 10:45h.

Quebec polls on Wednesday morning show a healthy lead (33%) for the Parti Quebecois party over the governing Coalition Avenir Quebec party (22%), with a long wait to the next provincial election (October 2026). This matters if you are following the progression of online gaming in Canada’s second most populous province.

Despite what’s been talked about in market reports, Loto-Quebec has seen declining iGaming revenues, according to the Quebec Online Gaming Coalition. (Image: Loto-Quebec)

Crown corporation Loto-Québec runs legalized iGaming in the province. Premier Francois Legault indicated a year ago that they are happy with the Loto-Québec monopoly model.

That’s not stopping the Quebec Online Gaming Coalition (QOGC) — an organization of private operators comprised of Betway, Bet99, DraftKings, Entain, Flutter, Games Global, and Rush Street Interactive, partnering with Apricot Investments — from committing to working with the Quebec government and local stakeholders to develop a new regulatory framework for the province.

With Ontario’s regulated market fast approaching its third anniversary in April, and a similar Ontario-style iGaming market about to launch in Alberta, plus the Quebec government dealing with a deep deficit and actively looking for new sources of revenue, the QOGC is getting more aggressive in pushing the province to change course, the lead spokesperson for the coalition tells Casino.org.

Shaping Policy

Ariane Gauthier says while they haven’t had a direct meeting with PQ leadership, the coalition is in touch with all political parties in the province, sending them facts and figures.

We want Quebecers and elected officials to know what is going on, to see the possibility and the opportunity for change,” Gauthier said. “So we are going to keep putting on pressure on the government, on Loto-Québec, advocating for change. For the longer game, we have been talking to all political parties, we are keeping the communication channels open there, to talk about their electoral platforms.

“They would be interested to know that the modernization of the regulatory framework for online gaming in Quebec could lead to an increase of $200-$300-million, interesting when you are building a political program and are wanting to make promises and spend money. There’s money on the table. They can do more for Quebecers and public services if you can get it.”

Quebec Election in 2026

There’s been no concrete feedback from the PQ so far, she adds. Gauthier, a 20-year political communications professional and former public policy advisor to Premier Legault (2018-2022), started her job with the QOGC three months ago.

Gauthier wrote a column in the Montreal Journal last week that laid out the QOGC’s perspective – that Loto-Québec, the only platform where Quebecers can currently go to legally gamble online, has been seeing a decline in terms of its financial performance since 2006.

In a financial statement issued in early December for the first six months of the 2024-2025 fiscal year, Loto-Québec reported a net income of $771 million (the period from April 1 to September 30), a 4.7% year-over-year increase.

Coalition: Loto-Québec’s Declining Revenues

For the full 2023-2024 fiscal year, the crown corporation reported just over $1.5 billion in net income.

Gauthier said the $1.6 billion paid to the government in 2006 is equivalent to around $2.4 billion today, when adjusted for inflation, and that represents a decline.

“Premier Legault wants to boost Quebec’s financial numbers,” she said. “We’re not working against the government. We want to work with the government. A major change like this is always difficult to make. The debate should be how we make changes to create a new system. It’s obvious that online gaming is not going away. Trying to enforce a monopoly … is doomed to fail. Responsible gaming experts are asking for an independent regulator to better protect players.

Study: Most Quebecers Gamble on Private Platforms

Gauthier also cited survey results from Mainstreet Research in 2023 finding that 73% of players in Quebec choose private platforms over Loto-Québec. The research also found that over two-thirds of Quebec players (67%) are in favor of regulated private online gaming operators by setting up a licensing and tax regime like the one in Ontario.

Gauthier said that the QOGC will be releasing another study next month that updates those Mainstreet numbers.

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