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Government prepares online casino ban in Brazil

Our write-up of a story first reported by G3 Newswire

Government prepares online casino ban in Brazil

Brazil's government is drafting a provisional measure that would ban online casino games. President Luiz Inácio Lula da Silva plans to discuss the proposal after returning from the UN General Assembly, with 23 September set as the key date for negotiations.

Reuters reported the measure would target online casinos but spare sports betting and club sponsorship deals. Most of the country's 188 licensed operators offer both products, so a casino ban would hit revenue hard. The Treasury collected nearly R$10 billion in licensing fees and taxes from the sector in 2025.

Lula has publicly pressed for tougher action. On 18 September he said he personally wants to stop betting in Brazil, though the government continues to weigh legal and economic consequences. Folha de S.Paulo reported on 21 September that Lula made the crackdown a centrepiece of his campaign.

Industry representatives warn casinos generate about three-quarters of sector revenue. A ban could trigger lawsuits, compensation claims and a drop in tax receipts. Licensed operators have become major commercial partners for sports clubs, and their ability to fund sponsorships would be at risk.

Meanwhile, the Senate's science and technology committee is advancing legislation to restrict advertising, sponsorship and promotions in betting. The Secretariat for Prizes and Betting recently published decree №2750, tightening control over financial transactions by unlicensed operators.

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