TLDR
- President Lula called for a ban on online betting during an International Women’s Day address
- Industry leaders called the comments “disrespectful” and warned of a black market surge
- Lula’s own government regulated online betting in December 2023, launching January 2025
- Legal experts say a ban would require new legislation and broad political support
- The Women in Gaming association criticized both the timing and substance of the remarks
Brazil’s President Luiz Inácio Lula da Silva has sparked a backlash from the licensed gambling industry after calling for a nationwide ban on online betting.
Lula made the comments during a televised address on Sunday, March 8, marking International Women’s Day. He described gambling addiction as a “tragedy” and said the financial burden falls on families, particularly women.
“It’s the money for food, rent and children’s school that disappears on the cell phone screen,” Lula said.
He called on the government, Congress, and the judiciary to work together to stop what he called “digital casinos” from destroying homes.
The comments drew immediate criticism from industry figures and legal experts, who pointed out that it was Lula’s own government that regulated online betting in the first place.
Brazil’s online gambling market was regulated under Law No. 14,790/2023, signed during Lula’s presidency in December 2023. The licensed market went live on January 1, 2025, with regulations that included player protections and a national self-exclusion scheme.
Ramiro Atucha, founder and CEO of Atucha Strategic Advisory, told iGB the comments were “disrespectful” to investors and could damage confidence in the market.
He warned that a ban would simply push players toward unregulated operators. “All the problems they are listing are to do with unregulated operators, not with regulated operators,” Atucha said.
Industry Warns of Black Market Risk
Udo Seckelmann, Partner for Gambling at Bichara e Motta Advogados, said Lula showed a “misunderstanding” of how the sector works.
He noted that offshore and unlicensed operators had been active in Brazil for years before regulation was introduced. “Prohibition would not eliminate the market — it would simply push it back into the shadows,” Seckelmann said.
Both Atucha and Seckelmann agreed a ban was unlikely to happen. Seckelmann said reversing the current system would require a new legislative process and broad political support, “which currently seems unlikely.”
Atucha added that stopping tax collection and facing lawsuits would set a damaging precedent for any company considering investing in Brazil.
Women in Gaming Criticize the Timing
The Association of Women in the Gaming Industry (AMIG) said the comments caused “surprise and concern,” and criticized Lula’s apparent disregard for women working in the gambling sector.
AMIG said using International Women’s Day to threaten a measure that could harm working women in the industry was “not acceptable under any circumstances.”
This is not the first time Lula’s government has moved against the sector it helped create. Finance Minister Fernando Haddad said in July last year that he would vote to ban gambling if a bill came forward.
The government also attempted to raise the operator tax rate from 12% to 18% to help close a budget gap, though that effort failed. A smaller gradual tax increase was approved in late 2025, with rates rising to 15% from 2028.
The gambling regulator, the Secretariat of Prizes and Bets, sits within Haddad’s Ministry of Finance.
