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Regulatory

São Paulo Governor Tarcísio Calls for End to Betting as Election Nears

Antonina TupikovaBy Antonina Tupikova · Founder, iGaming Times3 min read

Tarcísio de Freitas told a healthcare debate that Brazil must choose between ending betting and being ended by it, framing the country's regulated market as a public-health emergency comparable to tobacco. He is seeking re-election, and he is not the only senior politician to have found the subject.

  • São Paulo governor Tarcísio de Freitas, who is seeking re-election, said during a healthcare debate that "either Brazil ends betting, or betting ends Brazil", calling it a health problem
  • He compared online gambling to the campaign against smoking, argued addiction should be treated as an illness, and called for a national digitised treatment programme
  • Tarcísio claimed 20% of Brazilians' income is committed to gambling, without indicating the source of the figure
  • His remarks echo recent criticism of betting from President Luiz Inácio Lula da Silva, placing the sector inside a national election campaign
  • The National Association of Games and Lotteries expects the industry to be a target during the campaign but believes the pressure will ease afterwards

The Governor of Brazil's Largest State Has Adopted the Prohibition Framing

Tarcísio de Freitas, the governor of São Paulo and a candidate for re-election, has told a healthcare debate that Brazil needs to end betting, becoming the most senior state politician yet to adopt outright prohibitionist language about a market the federal government licensed and taxed only recently.

"Either Brazil ends betting, or betting ends Brazil," Tarcísio said. "We have to understand that this is a health problem."

The remarks were made during the Health Dialogues debate held at the Union of Hospitals, Clinics and Laboratories of São Paulo, known as SindHosp. Tarcísio is considered to have a strong chance of retaining the Palácio dos Bandeirantes, the seat of the São Paulo state government, which gives the intervention weight beyond a campaign soundbite.

His central analogy is tobacco. Tarcísio has repeatedly argued that online gambling now presents a situation similar to the anti-smoking campaigns of previous decades, that addiction should be treated as an illness, and that the state needs to provide specialised care for it. He has called for a robust, accessible and digitised national programme focused on treating gambling addiction.

"We were effective in getting people off tobacco," he said. "And so the question is: will we be able to be effective in freeing people from drugs? The challenges are the same now. Perhaps the challenges now are greater than the challenges of tobacco were in the past."

One Central Statistic, and No Source For It

The governor also linked the growth of betting to rising household debt, stating that 20% of Brazilians' income is committed to gambling. He did not indicate where that figure came from, and no supporting instrument or study was cited alongside it.

That matters, because the number is doing most of the argumentative work. A claim that a fifth of national income is committed to gambling is not a marginal harm statistic; it is a claim of economy-wide capture, and it is the sort of figure that migrates into legislative debate once a governor has said it aloud.

Tarcísio's position does not stand alone. His statement echoes recent speeches by President Luiz Inácio Lula da Silva, who has also criticised betting, which places the sector between senior figures on opposing sides of Brazilian politics during an election year. For a market that only recently completed its transition from tolerated grey activity to licensed and taxed regime, that is an uncomfortable convergence.

The sector's own representatives are braced rather than alarmed. Plínio Lemos Jorge, president of the National Association of Games and Lotteries (ANJL), told iGaming Business that "the industry will have to remain resilient during this period", and said he believed that after the turbulent period the market tends to become less of a target for criticism.

An Unsourced Figure Is a Policy Risk in Its Own Right

The 20% claim should be challenged on the record, and quickly, by whoever is in a position to do so. Not because the underlying concern about gambling-related debt in Brazil is unfounded, but because unsourced statistics of that magnitude are load-bearing: they get repeated in committee, cited in bills, and eventually become the accepted baseline against which any industry counter-evidence looks self-serving. The sector's most effective response is not to dispute that harm exists but to publish credible spend and participation data of its own. An industry that cannot say what share of household income actually flows to betting has ceded the numbers to the people least sympathetic to it.

The Tobacco Analogy Argues for Regulation, Not Prohibition

Tarcísio's comparison is rhetorically strong and analytically awkward for his own conclusion. The campaign against smoking that he cites as a success did not ban tobacco. It taxed it heavily, restricted its advertising, mandated health warnings, banned it from enclosed public spaces and funded cessation services, all while the product remained legal and its supply chain remained visible and accountable. Applied faithfully to betting, that model produces exactly the instruments Brazil has been building: advertising restrictions, mandatory loss warnings, deposit controls and funded treatment. If the tobacco precedent holds, the argument it supports is for a tighter licensed market with a properly funded treatment programme, which is the second half of what the governor called for, rather than an end to betting, which is the first half.

Prohibition Talk Cuts Against the State's Own Fiscal Position

There is a practical tension between ending betting and the reason Brazil licensed it. The regime was built in part to bring an already-large unlicensed market inside a taxable perimeter, and the tax base now exists at both federal and state level. A governor calling for the activity to end is calling for the removal of revenue his own administration collects, and for the return of the demand to operators beyond any Brazilian regulator's reach. That does not make the public-health concern illegitimate. It does mean the serious version of this policy is a harder licensed regime with ringfenced treatment funding, not an exit, and the campaign period will show which version is actually being proposed.

Brazil built its licensed market to move betting somewhere it could be seen. The election will test whether the political class still wants it visible.

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