President Luiz Inácio Lula da Silva may sign a provisional measure banning online betting on September 25, CNN reported citing official plans.
Lula has made the fight against betting a central campaign plank. On September 18 at an event in Guarulhos, the president said he had decided to 'end betting'. A week later, speaking at the UN General Assembly, he added that Brazil 'will not tolerate' a business model that turns addiction into profit. The first round of elections is scheduled for October 4.
The regulated market launched in 2025. Operators paid BRL 30 million ($5.79 million) each for five-year licences. An early ban raises questions about refunds and compensation for lost revenue. The government is considering refusing to return the fees, arguing that operators 'have already earned plenty', SBT News reported. The Brazilian Institute for Responsible Gaming (IBJR) said the measure could face legal challenges.
Football industry at risk
More than half of the top-division clubs carry betting sponsors as their main backers — 14 teams this week. Investment in clubs exceeds BRL 1 billion ($192.6 million). Last week Corinthians, Flamengo, Palmeiras and other clubs issued a manifesto defending the regulated market, citing multi-year contracts and financial commitments. Lula responded with criticism: Brazilian teams won titles before betting arrived.
The government is discussing support mechanisms for clubs and debt refinancing. The Attorney General's Office and the Ministry of Justice are studying ways to prevent players from moving to illegal platforms. In 2025 the sector delivered BRL 9.95 billion ($1.916 billion) in tax revenue; in 2026, BRL 9.9 billion ($1.908 billion) over eight months.
The provisional measure takes effect immediately but requires Congressional approval within 60 days, with a possible 60-day extension. Parliament may amend or reject the text; operators may challenge it in court.
