TLDR
- Luiz Inácio Lula da Silva won Brazil’s Oct. 25 election with 51.79% of the vote, defeating Flávio Bolsonaro.
- His government banned online sports betting and casino gaming on Sept. 25 through a provisional measure.
- Flutter Entertainment expects to lose about $70 million in revenue if the ban lasts through the end of 2026.
- Two industry groups have asked Brazil’s Supreme Federal Court to suspend the ban.
- Unauthorized betting domains rose about 181% in the days after the shutdown.
Brazilian President Luiz Inácio Lula da Silva has won a fourth term in office. He received 51.79% of the vote on Oct. 25, defeating Flávio Bolsonaro, who received 48.21%, according to Brazil’s Superior Electoral Court.
The result leaves gambling companies facing more uncertainty. On Sept. 25, Lula’s government banned online sports betting and casino gaming through a provisional measure.
The ban shut down a regulated market that had opened less than two years earlier. Operators are now waiting for Congress and the courts to decide what happens next.
Flutter Reports Expected Losses From Brazil Ban
Flutter Entertainment suspended its Brazilian sports betting and iGaming operations after the September measure. A company spokesperson told Gambling Insider it had no fresh comment on the election result.
In a Sept. 28 statement, Flutter said it was reviewing its options, including a possible appeal. The company said it would keep talking with Brazilian authorities.
Flutter expects to lose about $70 million in revenue and $20 million in adjusted EBITDA if it cannot operate in Brazil for the rest of 2026.
In 2025, Flutter bought a 56% stake in NSX, combining Betnacional with its Betfair Brazil business. The deal involved $674 million in total consideration.
Industry Groups Challenge the Ban
The Brazilian Institute of Responsible Gaming (IBJR) and the National Association of Games and Lotteries (ANJL) launched a campaign called “Banning is not protecting.” Messages appeared on stadium boards and on São Paulo FC and Flamengo shirts during October matches.
IBJR Executive President Carlos Lima said the ban has not ended demand but has weakened consumer safeguards. ANJL President Plínio Lemos Jorge cited more than 30,000 active unauthorized betting sites in Brazil.
Both groups have asked the Supreme Federal Court to suspend the ban. They also want licensed operators allowed to resume business while Congress reviews the measure.
Sérgio Paulino, founder of All Bettors, told Gambling Insider that “gambling in Brazil will suffer immensely.” He said Congress could allow betting again, but with higher taxes, tighter advertising rules and limits on soccer sponsorships.
Paulino suggested taxes could reach 40%, though the government has announced no such rate. His company runs free-to-play prediction games, giving it a commercial interest in alternatives to real-money gambling.
Paulino said some operators could cut jobs or shift focus to Mexico, Argentina, Colombia and Peru. He expects the dispute could continue into 2027 or 2028.
Bet Legal found that unauthorized betting domains rose from 381 on Sept. 25 to 1,071 on Sept. 29, an increase of about 181%. Blask data showed offshore operators’ share of Brazilian gambling search demand rose from 3.4% to 11.3% over a similar period.
By Sept. 29, authorities had requested the removal of 5,209 gambling domains. Telecommunications regulator Anatel ordered 2,387 of them blocked.
H2 Gambling Capital estimates that R$25 billion ($4.8 billion) in yearly spending could move offshore if the ban stays in place. With Lula’s Oct. 25 win confirmed, operators are now waiting to see whether Congress turns the provisional measure into law or the courts step in.
