Published On: Thu, Jun 11th, 2026

Illegal Online Gambling Threatens Portugal With €24 Billion Shadow Economy

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Manuel Castro Almeida, Portugal’s economy minister, described Portugal illegal online gambling as “a plague” and warned that the illegal market could match the €24 billion legal online gambling market in value. He emphasized that illegal operations involve “a huge amount of money circulating on online platforms”. The phenomenon grows rapidly, partly because “a sense of impunity has developed regarding all forms of digital fraud”.

Carlos Cabreiro, National Director of the Judicial Police, identified serious risks associated with illegal platforms. These operations use fraudulent schemes for identity theft, financial fraud, and virus dissemination for espionage and file locking. Research shows that 31% of money staked in Portugal flows to unregulated gambling channels.

Enforcement data reveals the scale of regulatory response. During Q1 2025, authorities issued 54 closure notices to illegal operators, flagged 129 websites for blocking by internet service providers, and made five referrals to the Public Prosecutor’s Office. By Q2 2025, enforcement actions reached 208 cases, with 110 website blocking notifications, 97 cease and desist letters, and one criminal referral.

Meanwhile, active online gambling accounts increased 7% to 4.8 million. Ricardo Domingues, chairman of the Portuguese Online Betting and Gambling Association, noted that absorbing demand against illegal operator threats remains the primary concern.

Government Announces Summer Legislation to Update Online Gambling Rules

Parliamentary action accelerated in September 2025 when the Assembly of the Republic forwarded five initiatives from the left-wing ecologist party Livre to committee stage for deliberation. The measures target online gambling advertising curbs, sponsorship bans by influencers and public figures, and mandatory addiction warnings on platforms.

In connection with these proposals, the Socialist Party agreed to a non-binding resolution urging the government to modernize Portugal online gambling framework. New initiatives focus on creating a central self-exclusion system and strengthening regulatory oversight.

Political reactions revealed sharp divisions. The governing PSD accused Livre of ‘ban, ban, ban’ politics without considering constitutional issues, whereas the PS stressed that prohibitionist solutions risk undermining state revenues. Conservative parties Chega, IL and CDS-PP criticized the measures as paternalistic.

The Portuguese Online Betting and Gambling Association defended advertising as “the only way” for consumers to distinguish between licensed and unlicensed operators. APAJO warned restrictions would favor the black market, noting that around 40% of Portuguese online gamblers still use illegal platforms.

Portugal illegal online gambling regulations advanced when authorities launched a centralized self-exclusion portal on 8 April 2026. All licensed operators must query this portal in real time and suppress advertising delivery for excluded individuals.

How Does Illegal Online Gambling Destroy Portuguese Families and Individuals?

Carlos Cabreiro identified illegal online gambling as a force that “destroys many people, many families” while proving “terrible for the economy”. The phenomenon jeopardizes not only economic situations but also people’s lives, hence the need for active prevention and public awareness campaigns.

Survey data reveals troubling patterns among Portuguese gamblers. Research commissioned by the Portuguese Association of Online Gambling found that 56% of gamblers continue betting with both licensed and unlicensed operators. In fact, 6% of gamblers bet exclusively through illegal websites, while 44% use only sites licensed by the regulator. Among consumers who registered in the first half of the year, almost 70% signed up for licensed platforms only.

Security concerns drive consumer choices, as can be seen in the finding that 64% of respondents select licensed platforms because they offer the highest security. Correspondingly, spending patterns show that 62.5% of gamblers allocate less than €50 monthly on legal online games.

APAJO president Gabino Oliveira called for authorities to block payments to unlicensed operators, stating that payment control represents the path forward in combating Portugal illegal online gambling beyond supervision. Campaign objectives focus on providing consumers with more information about the risks of illegal platforms.

About the Author

- iGaming & land based specialist reporter for the global gaming market