Brazilian betting has generated £1.2bn in 2026 taxes so far as political pressure builds

Brazil’s licensed online betting and gaming sector paid R$8.7bn (£1.2bn) in tax between January and July 2026, a number that matters for one simple reason: it gives the government a strong financial incentive to keep the market alive even as politicians talk about restrictions or a possible shutdown.

1. According to the Federal Revenue Service, licensed online Brazilian betting and gaming firms paid R$8.7bn (£1.2bn) between January and July 2026. That was up 76.86% from January-July 2025, when the market had only just launched.
2. The regulated Brazilian betting market opened on 1 January 2025 after Lula approved it in late 2024. Revenue from January-July 2025 was R$4.9bn, while total tax intake for 2025 reached R$9.95bn. Operators are taxed at 12% on gross gaming revenues (GGR).
3. The initial market included 63 licensed companies, both domestic and international, entering in January 2025. According to Blask, Brazil is now the fourth largest betting market in the world by online traffic.
4. Blask’s ranking of the biggest firms in the country puts Kaizen Gaming’s Betano, bet365, Superbet and Entain’s Sportingbet at the top. The thing is, that list is dominated by international operators, not local brands.
5. The political backdrop is getting rougher. President Lula da Silva is weighing whether to pull the plug on the market altogether and has at least an online casino ban in view, while advertising options for operators are being restricted. Flavio Bolsonaro, leader of the right-wing Liberal Party and son of former President Jair Bolsonaro, is also considering betting bans or heavy restrictions in his manifesto for the upcoming October elections.

For PSPs and acquirers, the practical point is straightforward: Brazil is still producing meaningful tax and traffic numbers, but the regulatory direction is clearly not settled. In a market that moved from launch to R$9.95bn in annual tax intake in one year, policy risk now sits right next to volume opportunity.