Luiz Inácio Lula da Silva has been re-elected president of Brazil after defeating Flávio Bolsonaro in the 2026 presidential runoff. This result places the country’s regulated betting market under pressure.
Lula received 51.76% of valid votes, compared with 48.24% for Bolsonaro. The president has supported ending betting operations and signed a provisional measure prohibiting the operation, offering and advertising of fixed-odds betting in Brazil.
Lula’s Government Shifted From Regulation To A Proposed Betting Ban
Sports betting was legalised in December 2018, but regulation was not completed during Jair Bolsonaro’s presidency.
Lula’s government later introduced legislation to regulate sports betting and online casinos. Law No. 14,790 was signed in December 2023, and companies were required to obtain federal authorisation from January 2025. Approved websites were required to use the “.bet.br” domain.
The government changed direction in September 2026. Lula said he would personally end betting platforms before signing Provisional Measure No. 1,394/2026 on 25 September. This new measure covers sports betting and online casino games. It established a deadline for customers to withdraw funds and ordered platforms to cease operations.
Lula justified the decision by referring to household financial problems and the risks associated with compulsive gambling.
Betting Companies And Football Clubs Have Challenged The Measure
The sector responded by seeking legal action and lobbying Congress to amend or overturn the ban. Operators said the measure created legal uncertainty and threatened investments made after the regulated market was introduced.
Brazilian football clubs opposed the end of betting operations because of the financial importance of sponsorship agreements. Leading teams supported keeping the market under stronger oversight and with additional bettor-protection measures. Lula said clubs would need to find alternative sources of funding.
Industry representatives have also warned that customers could move to unlicensed websites if regulated operators are forced to leave. More than 16,600 illegal betting websites had been referred for blocking by Brazil’s Ministry of Justice since the provisional measure was published.
Flávio Bolsonaro Supported Sports Betting But Not Every Gambling Category
Flávio Bolsonaro criticised Lula’s decision and argued that Congress should debate the issue instead of allowing the government to end the market through a provisional measure. On 25 September, he described the ban as “electoral fraud”. He supported banning online casinos but distinguished those products from sports betting.
During the presidential debate, Bolsonaro also called Lula the “father of Tigrinho”, linking the president to the expansion of online casino activity. Lula rejected the criticism and said the game had been created during Jair Bolsonaro’s government.
Congress And The Supreme Court Will Decide The Market’s Next Stage
The provisional measure is already in force but must be approved by Congress to remain permanent. The first key deadline is 23 November 2026. It received 99 parliamentary amendments, including proposals to retain sports betting, create a transition period for football sponsorships and revise the timetable for ending operations.
Furthermore, the next Congress’ composition could complicate Lula’s plans. Bolsonaro’s PL party is expected to hold 121 seats in the Chamber of Deputies and 28 of the 81 Senate seats.
The Supreme Federal Court is also considering challenges from industry associations seeking to suspend the ban. Justice Luiz Fux is handling the cases, although no date has been set for a final ruling.
Lula’s re-election removes the possibility of an immediate policy reversal from the executive branch, but it does not settle the future of Brazil’s betting market. Congress and the Supreme Court can still alter or overturn the provisional measure, while illegal-market growth may weaken the case for a complete prohibition.
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