France's government has rejected the European Commission's final warning, that it should abolish discriminatory betting laws, and pledged to defend its position in the EU high court. The country's Finance Ministry issued a statement saying that the "restrictions existing in the exploitation of gambling and betting comply with the conditions posed by the European Court of Justice."

The French government argued that public interest was more important than competition rules, and justified national restrictions on gambling. Earlier in the week, the EU Commission gave France and Sweden two months to end limits on sports gambling services or face a high court challenge from the executive arm of the Union.

EU to issue final gambling restriction warnings - 26/06/07

The European Commission will issue final warnings to France and Sweden over their restrictions on sports gambling this week, before taking them to the European Court of Justice according to sources cited in news agency Agence France-Presse. Greece will receive its first formal warning from the Commission at the same time the report added.

If unresolved, the countries will join fellow EU member states Austria, Denmark, Finland, Germany, Hungary, Italy and the Netherlands, who are also facing Europe's highest court over similar restrictions.