São Paulo council advances bet ad curbs, Corinthians keep watch | OneFootball

The proposal that sets new limits on the advertising of betting companies in the city of São Paulo moved forward in the City Council. The bill was approved in its first round this Wednesday in a symbolic vote, with no opposing votes recorded. The discussion directly concerns the capital’s football clubs, which maintain commercial contracts with companies in the sector.

The measure has not yet been definitively approved. Before moving on to possible sanction, the text must go through a second vote in the plenary, the date of which has not yet been set by the council members.

Photo: Gustavo Vasco/Corinthians

Introduced by councilman João Jorge (MDB), the bill establishes that betting companies may not advertise their services at events held by public or private entities in the city, regardless of whether these activities are commercial in nature. The rule would cover events held in both public and private venues.

The restriction would apply to different types of advertising, including signs, banners, and panels installed in stadiums, arenas, and other sports venues. The bill also sets penalties for those who fail to comply with the rules. The proposed penalties start at R$ 50,000 and may go as far as suspending authorization to hold events in the city for up to two years.

The move in the City Council has already triggered a reaction among São Paulo’s main clubs and the Paulista Football Federation (FPF). The institutions have been discussing possible measures in response to the proposal, and last week representatives from Corinthians, Palmeiras, Santos, São Paulo, and Juventus took part in a meeting at the federation’s headquarters to discuss the possible effects of the legislation.

In addition to the clubs and the FPF, betting companies that have contracts with teams and competitions in São Paulo football were also present at the meeting. The goal was to assess the possible impacts of a change in advertising rules for the sports sector.

In Corinthians’ case, the discussion takes on significant financial importance. The club currently has Esportes da Sorte as a sponsor, with the brand placed in the most visible area of the shirt. The deal runs through the end of 2029 and could represent revenue of up to R$ 200 million per season.

One of the clubs’ main concerns is precisely the effect that a possible ban could have on sponsorship revenue. Betting companies have come to occupy a significant space in the sports advertising market, especially in professional football, and a restriction in São Paulo could affect agreements already in place.

The teams are also discussing a possible competitive disadvantage compared with clubs from other states. If advertising by the sector is limited only in the city of São Paulo, teams based there could face greater difficulty in maintaining certain commercial revenues, while competitors from other regions would remain subject to different rules.

At the same time as the municipal discussion, the federal government is considering changes to the rules regulating the sports betting and online gaming market in the country. The possibility involves issuing a Provisional Measure (MP), which could establish new limits on the operation of these activities.

Among the measures under discussion are possible restrictions on certain virtual games and changes to the rules applied to sports betting. The content, however, is still being drafted, so there is no official definition of which activities would actually be affected if the MP is published.

The possible tightening of the rules would also have repercussions for Brazilian football. In recent years, companies in the sector have begun investing significantly in sponsorships of clubs, championships, and other spaces related to the sport. Changes in the legislation could therefore directly affect existing commercial contracts.

If the government publishes a Provisional Measure, the new rules would take effect immediately. Their validity, however, would not be definitive: the National Congress would need to review the text within the deadline established by the Constitution. During the process, lawmakers may change the content submitted by the government or reject the proposal.

This article was translated into English by Artificial Intelligence. You can read the original version in 🇧🇷 here.