Brazil Bans Gambling Ads for Minors and Welfare Betting; Lithuania Follows with Ad Ban

Guard Dog Nov 19, 2024
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In a landmark decision, Brazil's Federal Supreme Court (STF) has enforced an immediate ban on gambling advertisements targeting minors and the use of welfare funds for betting. The ruling, issued by Justice Luiz Fux on November 14, 2024, advances the enforcement of Ordinance No. 1,231/2024, originally scheduled for January 2025.

The court’s decision responds to mounting concerns over gambling's social and financial impact, particularly on vulnerable populations. Reports from Brazil's Central Bank revealed that in August 2024, nearly 20% of Bolsa Família funds — intended to assist low-income families—were spent on online betting platforms.

Key measures under the ruling include:

  • Prohibiting gambling ads directed at children and adolescents.
  • Banning the use of welfare funds, such as Bolsa Família and Benefício de Prestação Continuada, for gambling activities.

Justice Fux highlighted the urgency of addressing these issues, stating that the risk of inaction “must be immediately eliminated” to prevent further harm to vulnerable families. The Ministry of Finance has been tasked with enforcing these measures, ensuring compliance through immediate penalties for violators.

The National Association of Games and Lotteries (ANJL) has expressed support for the welfare fund restrictions, emphasizing their commitment to responsible gaming. "Operators who prioritize honest practices do not condone the use of resources that could harm Brazil’s most vulnerable families," the association stated.

This ruling comes amid broader discussions about the regulation of Brazil’s expanding betting market, which has faced criticism for its impact on socioeconomic stability and public health.

Lithuania Approves Comprehensive Gambling Ad Ban

In a parallel move, Lithuania’s parliament has approved stringent amendments to its Gaming Law, banning most forms of gambling advertising starting in July 2025. The legislation, passed with overwhelming support on November 12, 2024, aims to curb problem gambling and address growing public concerns.

The new law introduces:

  • A ban on gambling promotions across television, radio, and online platforms, with limited exceptions for sports sponsorships and event broadcasts until 2028.
  • Strict limitations on ad frequency, allowing a maximum of three short ads per hour during daytime and two during evening hours for broadcast media.
  • Online ad restrictions capping gambling-related content at 20% of total ad space during the day and 10% in the evening.
  • Prohibition of direct links to gambling operators in advertisements.

Acknowledging the potential economic impact on media outlets, the Lithuanian government has allocated €4 million to its Media Support Fund to help offset revenue losses caused by the restrictions. Public sentiment played a significant role in shaping the legislation, with a majority of Lithuanians favoring stricter gambling controls.

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