Government Prepares Provisional Measure to Ban Betting, Clubs Fear Sponsorship Loss

After an interview in which he denounced the addiction caused by gambling, President Luiz Inácio Lula da Silva announced that the government is preparing a provisional measure (MP) to ban online games and restrict sports betting. The initiative gained momentum with reports of affected families and pressure from clubs fearing financial losses.

Why the Government Wants to Ban Betting

The president described betting as a disease that induces innocent people to addiction, citing indebtedness and family conflicts as consequences. The measure aims, according to the government, to curb the rise of illegal gambling and gain public support, especially from women, before the elections.

Impact on Club Sponsorships

Clubs such as Flamengo, Corinthians, Palmeiras, and São Paulo hold sponsorship contracts exceeding R$100 million per year with betting companies. The ban could represent a loss of approximately R$1 billion in sponsorships, according to disclosed calculations.

Reaction from Betting Companies and the Media

Companies in the sector argue that the ban would increase illegal gambling and reduce tax revenue. They are also considering legal action against the Provisional Measure. Media outlets that broadcast football matches, such as Globo, have stakes in betting companies and are resisting the measure.

Legal Actions and Legislative Proposals

Following the death of Rafael Borges, 26, a victim of gambling addiction, Congresswoman Dandara Tonantzin (PT-MG) filed Bill 3,613/26, known as PL Rafael, which holds influencers accountable and prohibits the revshare model. The Federal Public Prosecutor's Office opened a criminal investigation against eight betting platforms.

Consequences for State Revenue

As of July this year, the government had collected approximately R$10 billion in taxes from online gambling. The eventual ban could reduce this revenue stream, impacting public accounts.

With information from UOL, Agência Pública.