Workers' Party introduces bill to completely ban gambling

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Workers' Party introduces bill to completely ban gambling

Federal Deputy Pedro Uczai, leader of the Workers' Party (PT) in the Chamber of Deputies, officially presented Bill No. 1808/2026. This initiative seeks to drastically prohibit the exploitation, offering, promotion, and facilitation of fixed-odds betting throughout the country. The legislative move comes just one week after President Luiz Inácio Lula da Silva publicly expressed his intention to block sportsbooks in Brazil, arguing that the sector is economically suffocating Brazilian families.

The legislative text arrives at a time of great political and social tension, where population indebtedness has become the central focus of the debate. According to recent reports from Serasa, millions of citizens face financial difficulties in 2026. Although experts point out that the main origin of these debts lies in high credit card interest rates and bank overdrafts, the government has focused on the gambling industry as an aggravating factor that drains household incomes, especially for those who depend on social programs.

A total dismantling of the current regulatory framework

The PT's proposal is not a simple reform, but a total repeal of the legal pillars that allowed the market to open. The project aims to annul key provisions of Law No. 13.756/2018 and Law No. 14.790/2023, the latter curiously sanctioned by Lula himself at the end of 2023. The proposed prohibition is absolute: it would affect both in-person and online operations, extending even to companies based abroad that direct their services to the Brazilian public.

The scope of the proposed regulation is extremely broad and covers various verticals of digital entertainment:

This offensive does not stop at operators but targets the entire infrastructure that supports the activity. The bill involves digital platforms, social networks, search engines, cloud hosting services, and app stores. Any entity that contributes to the dissemination or facilitation of these platforms could be considered a participant in an illegal activity under this new regulatory framework.

Technological and financial blocking as a central strategy

To ensure that the prohibition is not merely theoretical, the bill assigns specific technical responsibilities to regulatory bodies. The National Telecommunications Agency (Anatel) would be responsible for coordinating the blocking of domains, IP addresses, and DNS of any website related to betting. In addition, internet providers and search engines would be required to de-index these platforms and retain metadata for a minimum period of five years to facilitate investigations.

Economically, the blow is equally forceful. The Central Bank of Brazil would be tasked with regulating permanent mechanisms to identify and interrupt any flow of money to betting platforms. For its part, the Council for the Control of Financial Activities (COAF) would supervise reports of suspicious transactions linked to this sector. The objective is to financially suffocate the industry, preventing users from making deposits or collecting winnings through the national banking system.

Social justification and consequences for the advertising market

Deputy Uczai's statement of reasons argues that gambling has ceased to be a form of entertainment and has become a mechanism of "predatory extraction" of popular income. The text mentions studies linking gambling expenditure with a reduction in retail consumption and a negative impact on the real economy. It also highlights concern for mental health and the increased demand on the Unified Health System (SUS) for cases related to problem gambling.

The bill also proposes a total ban on advertising and sponsorship. This would affect not only traditional media but also:

The proposed sanctions are severe, with fines that could escalate up to 2 billion reais and prison sentences for operators and intermediaries. In addition, infringing companies would be disqualified from contracting with the public sector for a period of ten years.

The legislative path in an election year

The future of this proposal now depends on Hugo Motta, president of the Chamber of Deputies, who must decide whether to include the project on the voting agenda. Although Motta has been cautious in the past regarding a total ban, pressure from the Executive Branch could change the dynamics of Congress. The PT seems determined to turn this fight into a political banner ahead of the October elections, seeking to connect with public concern about over-indebtedness.

While the iGaming industry in Brazil was preparing for a phase of consolidation and tax collection, this bill represents an existential threat to the largest regulated market in the region. The discussion in Congress will determine whether Brazil continues on the path of controlled regulation or returns to a model of total prohibition that, critics warn, would only strengthen illegal and informal gambling channels.

Tags: Brazil, Brazil betting, Brazil online betting, Brazil betting blocking project, Brazil PT betting blocking