Portinho’s Substitute Bill Seen as Threat to Sports Sector Stability
A coalition of Brazilian football clubs has voiced strong opposition to proposed amendments in Bill No. 2,985/23, warning that its adoption could severely destabilize the country’s sports ecosystem. The controversial draft, introduced on 21 May 2025 by Senator Carlos Portinho, seeks to impose new commercial limitations on betting-related advertising within sports venues—restrictions that many clubs argue equate to a de facto ban.
If passed, clubs estimate the measure could drain over R$1.6 billion (approx. US$310 million) annually from the Brazilian sports industry. Smaller clubs, often operating on thin financial margins, are expected to face disproportionate hardship, as advertising revenue from betting sponsors forms a critical part of their income.
Legal Risks Loom Over Existing Contracts
In their joint statement, the clubs also raised alarm over the legal repercussions of the bill. Many existing contracts with betting operators for stadium signage and promotional rights have terms extending up to three years or more, and abrupt restrictions could spark litigation and financial penalties.
This has prompted widespread support for a counter-amendment submitted by Senator Romário on 23 May 2025. The proposal aims to preserve existing advertising agreements, provided they are consistent with competition and consumer protection laws.
Call for Balanced Regulation and Responsible Gambling
While the clubs have reiterated their support for responsible gambling practices, they argue that blanket bans are ineffective and counterproductive. They point to Italy’s 2018 gambling ad restrictions, which are now being reconsidered, as evidence of the limitations of overly restrictive legislation.
The Romário amendment offers a middle-ground approach, allowing contracts already in place to continue, while giving regulators tools to ensure future deals are conducted fairly and transparently.
Betting Regulation in Brazil: A New Era
Brazil’s regulated betting market officially launched in January 2025, following the government’s approval of the first 71 online operator applications late last year. The rollout is part of a broader effort to formalize Brazil’s rapidly growing betting sector, projected to become one of the largest in Latin America.
Clubs warn that just months into this new regulatory environment, the Portinho bill risks undermining the financial foundations of the sports industry, particularly at a time when it is adjusting to new compliance and operational realities.
