In a sign that it is backing away from a confrontation with the European Commission, Paris has said that it is willing to legalise internet gambling on horse racing and football.
The move would give companies such as Sportingbet, the London-listed online bookmaker, a toehold in the €25 billion (£17.4 billion) annual Gallic gambling market.
Éric Woerth, the Budget Minister, is expected to unveil details of the liberalisation when he meets Charlie McCreevy, the Internal Market Commissioner, this month.
“The Government is not hostile to an opening up of sporting bets on the internet,” Mr Woerth said, signalling a U-turn in French policy.