Brazil Sports Commission approves new restrictions on betting ads
An amended bill aimed at regulating sports betting advertisements is set to proceed to the Senate Plenary following approval from the Brazil Sports Commission.
On Wednesday, the commission greenlit Bill 2,985/2023, introducing significant restrictions on betting advertisements in Brazil.
Senator Carlos Portinho provided a favorable report on the bill and modified its provisions to eliminate a complete ban on betting advertising, allowing for more balanced regulations.
Although the Communication and Digital Law Committee (CCDD) would typically conduct the final vote, its delay in establishment means the bill will advance directly to the Senate Plenary. Should it secure approval there, it will subsequently be sent to the Chamber of Deputies.
Proposed Restrictions on Betting Advertisements in Brazil
Under the revised bill, betting advertisements during live sporting broadcasts will be prohibited. Additionally, the engagement of celebrities—including athletes, artists, and influencers—in these ads will not be permitted. A notable exception allows for former athletes who have retired for at least five years to participate in promotional efforts.
The regulations permit advertising on traditional and digital platforms—including open and subscription television, streaming services, social media, and online spaces—strictly between the hours of 7:30 PM and midnight. All other times will see a ban on such advertisements.
Radio advertisements will have a narrower window, allowing betting operators to promote their services only between 9:00 AM and 11:00 AM, and again from 5:00 PM to 7:30 PM.
Printed media advertising will be completely banned. Likewise, static or electronic displays related to fixed-odds betting will be restricted in stadiums and sports venues, unless the operator is an official sponsor of the event or holds the naming rights to the venue. Additionally, sponsorship of team kits will be limited to one advertiser per team.
All advertising must include mandated warnings that state, “Gambling causes addiction and harm to you and your family.”
However, operators are permitted to target authenticated users over the age of 18 on social media and other online platforms, ensuring that users have the option to easily opt out of receiving gambling-related advertisements.
Furthermore, brands can be displayed in announcements promoting sporting events between 9 PM and 6 AM, provided they do not include invitations, incentives, or promises of winnings related to betting.
The Rationale Behind These Advertising Restrictions
Senator Portinho argues that these restrictions are crucial due to the gambling sector’s apparent failure to regulate itself effectively. This predicament arises from the introduction of Normative Ordinance No 1,231 in July 2024 by the Secretariat of Prizes and Bets (SPA).
“One year after this law was enacted, our society is grappling with a significant addiction to betting,” Portinho remarked. “Football clubs are intertwined with this betting culture. Media companies are equally reliant on the revenue generated from these advertisements.”
He stressed the importance of instilling discipline within the sector, particularly in light of the ongoing pandemic, which has exacerbated gambling-related issues.
Portinho referenced concerns expressed in a letter by various football clubs, voicing their apprehension over the potential repercussions of heightened advertising restrictions. However, he firmly believes that the general Brazilian populace supports the newly proposed measures, describing some football clubs as “complicit in an epidemic that harms families.”
While Portinho initially favored a complete ban on advertising, he modified the bill to mitigate legal uncertainties while still adhering to previous laws governing the online sector.
Senator Styvenson Valentim, the originator of the initial bill, concurred with the amendments, stating, “Your vote was balanced. While it wasn’t my original desire, it aligns with our objectives to some extent. This offers the market a chance to adapt, while simultaneously providing a warning to the public regarding the inherent dangers associated with gambling.”
