Brazil opens inquiry to investigate lack of Government control on operators

The Federal Public Ministry (MPF) has opened a new inquiry to investigate the lack of a unified national self-exclusion system for betting platforms in Brazil. 

The probe focuses on the “inexistence of a system for self-exclusion by CPF” that would allow individuals struggling with gambling addiction to voluntarily ban themselves from betting platforms.

Such a mechanism was initially promised by the Government during the discussions surrounding the regulation of Brazil’s betting market. 

However, months after the new framework came into force, no national database or coordinated policy has been implemented to ensure that players who request exclusion are effectively blocked across all licensed operators.

The absence of this tool has raised concerns among regulators and public health advocates, as gambling addiction has increasingly affected low-income segments of the population. 

At the same time, the Federal Government extended the deadline for operators to comply with another key social protection measure: blocking beneficiaries of social welfare programmes from gambling platforms. 

The Ministry of Finance issued a new normative instruction granting operators an additional 30 days to adapt their systems.

The Lula administration has repeatedly stated that its regulatory approach aims to promote responsible gaming and protect vulnerable players, though enforcement has faced delays. 

Meanwhile, the Government continues to pursue fiscal measures targeting the betting industry, including a proposal to increase the tax rate from 12% to 18% on operators’ gross revenue.

Besides this proposal, other lawmakers, including Minister Guilherme Boulos, also urge for new taxation on operators, adding that “Brazil belongs to Brazilians and there will be no amnesty.”

Mark Sullivan

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