Brazil’s President Luiz Inacio Lula da Silva threatens to ban online betting amid addiction concerns
Brazilian President Luiz Inacio Lula da Silva has vowed to ban online betting if regulation fails to address the growing “addiction” to sports betting, which has become a craze in Brazil since its legalization in 2018.
Lula expressed concerns that betting is devouring household incomes, reducing consumer spending, and bankrupting families, particularly low-income families receiving social security transfers through Brazil’s Bolsa Familia program.
Lula added that it’s unacceptable for families to spend their social security money on bets. His government has already taken steps to regulate the industry, with Brazil’s Secretariat of Prizes and Bets publishing a list of licensed sports betting companies, including major players like Flutter Entertainment, Entain, and Betsson AB.
To curb betting addiction, credit cards will be prohibited for betting under new regulations. However, hundreds of companies failed to meet Brazil’s conditions and were rejected.
The government’s concerns grew after the central bank reported that Bolsa Familia recipients spent 3 billion reais ($550 million) on bets in August alone.
Lula’s words underscore the complexity of the issue: “Everyone knows that the person going to buy bread in the morning will make a small bet using the bread money,” Lula said. “But what I cannot allow is betting to turn into a disease, an addiction, and for people to become dependent on it, because I know people who lost their house and car.”
The Brazilian leader convened a cabinet meeting to discuss banning betting for Bolsa Familia beneficiaries but hasn’t made a decision yet. He acknowledges that banning betting entirely won’t work, citing the persistence of illegal activities like cockfighting and clandestine number betting, known as “jogo do bicho,” which has existed since the 19th century.
