Expanding the Competition the Sports Betting Market

The draft regulation concerning the Société des loteries du Québec (chapter S-13.1) proposes amendments to the existing framework governing forecast contests and numbers games, specifically focusing on enhancing sports betting options. This initiative is aimed at allowing Loto-Québec to offer sports betting games through its retail outlets that feature return rates exceeding 75%. The motivation behind this change is to align the retail offerings with the more favorable return rates currently available for online sports betting, thereby providing a more competitive landscape for consumers.
As part of the regulatory process, notice has been given in accordance with the Regulations Act (chapter R-18.1), stipulating that the draft regulation will undergo a 45-day period during which it may be reviewed and potentially approved by the Government. This timeframe allows for public input and comments regarding the proposed amendments.
The draft regulation indicates that a preliminary analysis has not identified any significant impacts on businesses, particularly small and medium-sized enterprises. This suggests that the changes are not expected to disrupt the existing market dynamics or adversely affect the financial standing of these businesses. The focus seems to be on enhancing consumer choice and experience without imposing additional burdens on retailers or operators.
The specific amendment to Section 10 of the Regulation respects the forecast contests and numbers games, as outlined in chapter S-13.1, involves the removal of the previous cap of “or more than 75%” on return rates. This adjustment is pivotal as it directly enables Loto-Québec to expand its offerings and potentially attract a broader customer base interested in sports betting.
The draft regulation represents a move by Loto-Québec to modernize and expand its sports betting offerings through retail channels. By increasing the return rates to align with online platforms, the government aims to foster a competitive environment that benefits consumers. The absence of anticipated adverse effects on small and medium-sized businesses further supports the notion that the changes are designed to enhance the gaming landscape in Québec, making it more appealing and engaging for players. Stakeholders and the public are invited to participate in this process by providing comments, ensuring transparency and community involvement in the regulatory adjustments being proposed.
Quebec (Draft) September 13, 2023