Portugal’s MPs at the São Bento Palace are currently considering a more stringent approach to gambling advertising. This comes after the left-wing ecologist party Livre pushed for five new proposals last week aimed at tightening restrictions on gambling promotions. These proposals, now set for further discussion in committee, include limiting online gambling advertisements, banning gambling sponsorships in sports, and enforcing the inclusion of addiction warnings on gambling-related content.
One particularly controversial idea — banning the sale of scratch cards in healthcare facilities — did not advance to the next stage of discussions. Meanwhile, the Socialist Party is advocating for a comprehensive update to Portugal’s gambling regulations. Their suggestions include a national self-exclusion program, enhanced oversight of gambling operators, and the strategic use of gambling tax revenue to boost tourism in less developed regions.
Despite support from several left-leaning parties like PCP, BE, and PAN, the governing PSD party has expressed reservations. They labeled Livre’s approach as “overly simplistic,” cautioning that some measures might present constitutional issues or negatively impact state revenue. The PSD’s skepticism highlights the ongoing struggle between maintaining necessary regulatory oversight and ensuring economic benefits from the gambling industry.
The Portuguese Online Betting and Gambling Association (APAJO) has also weighed in, warning against the potential dangers of overly restrictive advertising measures. According to APAJO, advertising is crucial for consumer protection, as it allows consumers to differentiate between licensed and unlicensed operators. “Advertising is the only real advantage that licensed operators have over illegal ones. And it’s the only way for Portuguese consumers to distinguish between the licensed and the unlicensed, the safe and the unsafe,” noted Ricardo Domingues, APAJO president.
Domingues cautioned that limiting advertising could inadvertently drive players towards unregulated, illegal websites. He cited Italy as a cautionary example where the gambling ad ban is under review due to its adverse effects. With approximately 40% of online gamblers using illegal platforms unknowingly, the APAJO president argued that the current trajectory is problematic.
Given that Portugal’s gambling market operates under dual regulatory systems, there are concerns about its overall effectiveness. While regulatory frameworks exist, the market has shown signs of deceleration. Online gambling revenue saw its first decline in three years during the first quarter of this year. Although it reached EUR 284.7 million ($334.5 million), a 9% increase compared to the previous year, it marked a 12% drop from the record EUR 323 million ($379.5 million) reported at the end of 2024. Both online casino and sports betting revenues saw quarter-over-quarter declines, suggesting a plateau in market growth.
In contrast, some industry experts argue that the current proposals could lead to a more sustainable and socially responsible gambling environment. Proponents of stricter regulations believe that by limiting aggressive advertising and sponsorships, the industry can mitigate the risks of gambling addiction and protect vulnerable populations, including youths and those prone to addictive behaviors. “Creating a balanced approach is crucial,” some say, as it ensures that the economic benefits of gambling do not come at the expense of public health and safety.
As discussions continue, the Portuguese government faces the challenge of balancing economic interests with consumer protection. While the gambling industry contributes significantly to the economy, the social costs associated with gambling addiction and the potential proliferation of unlicensed operators remain pressing concerns. The coming months will be telling, as policymakers deliberate on how to steer the industry towards a future that prioritizes both prosperity and responsibility.
