Quebec’s Online Gambling Monopoly Under Fire as Province Bleeds Billions

Almost $2B Lost Each Year to Offshore Sites

At the Canadian Gaming Summit held in Toronto this June, experts presented new figures showing that Quebec is losing close to CAD$2 billion (roughly $1.5 billion USD) each year to unregulated online gambling operators. The findings were highlighted during a panel that included representatives from the Quebec Online Gaming Coalition (QOGC), TRM Public Affairs, and Rubicon Strategy.

According to the panel, the province’s current monopoly model—maintained through the state-run operator Loto-Québec—is no longer fit for purpose in the digital age. While over 80% of Ontario’s online gamblers now use legal platforms, just 27% of Quebec players are engaged with the regulated market. The rest are turning to offshore alternatives.

The low participation rate in legal offerings is largely attributed to Quebec’s decision to preserve a government-controlled gambling system. Ariane Gauthier, QOGC spokesperson and longtime political strategist in the province, acknowledged that Loto-Québec plays a symbolic role beyond revenue generation. Many residents see it as a means of reinforcing Quebecois identity and supporting the provincial economy through local control.

However, the data suggests that this model is proving increasingly costly. Gauthier pointed to a slowdown in Loto-Québec’s revenue growth that fails to keep pace with inflation, underscoring the need for a policy rethink.

Coalition Advocates for Coexistence, Not Dismantling

The QOGC, formed in 2023 with backing from international operators such as DraftKings, Flutter, and Betway, is not calling for the abolition of Loto-Québec. Instead, it is advocating for a hybrid model that allows private operators to enter the regulated space alongside the crown corporation.

At the summit, Coalition members challenged some of the narratives promoted by Loto-Québec, including claims that Ontario’s open market has harmed land-based casinos. They argue the opposite is true, presenting data that suggests land-based operations remain viable even under expanded online regulation.

The issue is expected to gain more attention ahead of Quebec’s 2026 provincial election. While the current government, led by the Coalition Avenir Québec, remains committed to the existing model, it is trailing in the polls. Gauthier noted that the QOGC is engaging with all major political parties, anticipating that regulatory reform will eventually become unavoidable.