Brazil’s Sports Committee in the Chamber of Deputies has approved a bill designed to prevent the blocking or diversion of revenues from lotteries and sports betting that are earmarked for the Ministry of Sport. The text was broadened by the committee’s rapporteur, Deputy Luciano Vieira, to also cover fixed-odds betting operators, reflecting the sector’s growing role in sports financing.

The aim is straightforward: keep legally assigned funds flowing to the Ministry of Sport so it can plan and execute programs without unexpected budget holds or reallocations.

What the Bill Does

1. Safeguards earmarked revenues: Money legally destined for the Ministry of Sport from lotteries and sports betting cannot be blocked or redirected to other uses.
2. Includes fixed-odds betting: The approved version clarifies that revenues from fixed-odds betting companies fall under the same protections.
3. Supports planning and continuity: By protecting predictable cash flows, the bill is meant to help the Ministry carry out long-term projects and community programs without interruption.

Why the Scope Was Expanded

Brazil’s betting ecosystem has evolved quickly, and fixed-odds betting has become a key source of sponsorship and tax revenue tied to sport. Extending the protections ensures all major betting-related inflows that are legally allocated to the Ministry receive the same treatment, closing potential loopholes and improving budget reliability.

Emphasis on Transparency

Officials from the Ministry of Sport and the Ministry of Finance have underlined the need for clear reporting and allocation rules. This is especially relevant as Brazilian football depends heavily on sponsorships from betting companies. Stronger oversight is intended to ensure funds reach the right sports bodies while also acknowledging and managing the social impacts associated with betting.

Context: Recent Allocation Changes

Recently, federal authorities redirected a portion of lottery and betting tax revenue to healthcare programs. That move highlighted how different public priorities compete for the same pool of funds. The newly approved bill for sport focuses on protecting the share that is already, by law, assigned to the Ministry of Sport, so it cannot be frozen or repurposed once allocated.

Legislative Next Steps

The proposal now advances to:

1. the Finance and Taxation Committee,
2. the Constitution and Justice Committee.

If it passes those stages, the bill proceeds to the Federal Senate for further debate. Only after Senate approval and presidential sanction would it become law.

What It Means for Key Stakeholders

1. Ministry of Sport: More predictable funding for infrastructure, youth development, training programs, and community initiatives.
2. Sports confederations and clubs: Improved certainty around public resources tied to sport, supporting medium- and long-term planning.
3. Betting operators: Clearer expectations on how earmarked payments are treated, with a stronger emphasis on compliance and reporting.
4. Sponsors: A more transparent environment that can reduce reputational risk and encourage better-structured partnerships with sports entities.

Key Takeaways

1. Brazil’s Sports Committee approved a bill to protect lottery and sports-betting revenues for the Ministry of Sport.
2. The text explicitly includes fixed-odds betting operators to reflect market realities.
3. Authorities are prioritizing transparency and oversight as football’s reliance on betting sponsorships increases.
4. The bill now goes to Finance & Taxation, then Constitution & Justice, before heading to the Senate.