As the Brazil Senate progresses new restrictions on betting advertising, the industry has voiced its collective disdain, warning of the consequences it believes will boost the black market.
The Brazil Senate has paved the way for restrictions to include limited sports sponsorships, the introduction of ad watersheds, and the end of celebrity endorsements.
However, amendments were made to Bill 2,985/2023 by Senator Carlos Portinho, most notably removing the initially proposed blanket ban on betting advertising.
The changes adapted will also permit limited sponsorships for sports clubs and stadiums, with a small allocation of media ads in specific time slots.
Udo Seckelmann, head of gambling & crypto at Brazilian law firm Bichara e Motta Advogados, intimated to iGB that the amendments to the bill were essential to stave off a full-blown backlash from Brazil’s gambling sector.
“The initial proposal for a complete ban on gambling advertising was not only disproportionate but also disconnected from the regulatory reality established by Law No. 14.790/2023,” he said.
“A blanket ban would have jeopardised the development of the legal market, driven bettors toward unregulated platforms, and significantly harmed stakeholders such as sports entities, media outlets, and marketing agencies.”
The Brazilian Institute for Responsible Gaming (IBJR) spoke out to express deep concern that the “severe restrictions” would allow the underground, unregulated operators to make gains.
The IBJR added that legal ads helped to inform the public, to signpost to regulated providers that provide a safer gambling environment.
“The proposal weakens communication between legalised betting companies and bettors, compromising the sustainability of a regulated sector committed to responsible gaming, it said in a statement posted on social media
Dire financial consequences for soccer
Given that Brazil is a passionate hotbed of soccer, the changes also have implications for the professional game in the country.
In response to the restrictions passed by the Brazil Senate, more than half of the clubs in the nation’s largest and most well-known league, Serie A, have published a joint statement of opposition to the law.
It underlined their opposition to the restrictions on gambling ads, warning that it could have dire financial consequences for soccer, with smaller clubs braced for the biggest impact.
The clubs described what was viewed as “prohibition disguised as a limitation, estimating that the overall sports sector in the South American nation is set to lose around BRL 1.6 billion ($281m).
A crucial aspect of the amendments for the soccer clubs is that official sponsors of a stadium or a team will be permitted, but this will be limited to one brand for kit partnerships.
Just last month, the global betting operator bet365 announced a sponsorship deal with Allianz Parque, one of the biggest sports stadiums in Brazil, and home to Sao Paulo giants Palmeiras.
Those betting sponsors will also be exempt from the ban on static gambling ads inside stadiums and around the pitch perimeter. Seckelmann warned this will cause legal issues for clubs that have already agreed contracts with providers, with amendments or cancellations to prove costly.
bet365 has announced a strategic sponsorship deal with Allianz Parque, one of the main sports arenas in Brazil and home to Serie A side Palmeiras.
“The visibility and engagement generated by this partnership are important in consolidating our presence in the country" pic.twitter.com/TLIhbe0Lx4
— Waterhouse VC (@WaterhouseVC) May 29, 2025
Our society is sick, says senator
In response to significant criticism, Senator Portinho stressed the changes were essential to address a society that is “addicted to gambling” and an industry that is unable to self-regulate.
“One year after this law was passed, our society is sick, it is completely addicted to betting,” said Portinho.
“Football clubs are addicted to betting. Communication companies are addicted to betting, to advertising, to the money they receive from betting.”
“And with this (gambling) pandemic, it is up to us to impose discipline.”
The senator’s amended bill will introduce a complete ban on betting ads during live sport broadcasts, and they will only be permitted on free access and subscription media platforms between the hours of 7.30 PM and midnight.
Radio ads will only be allowed between 9 AM and 11 AM, and between 5 PM and 7.30 PM.
Image credit: Globo Esporte
