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September was marked by major regulatory shifts and enforcement actions across key iGaming markets, with governments stepping up efforts to reshape licensed betting and tackle illegal activity. Brazil’s decision to ban licensed online betting, alongside major crackdowns in Türkiye and Germany, highlighted the growing regulatory pressure facing operators.
At the same time, market data showed continued growth in established jurisdictions, while emerging business models faced closer scrutiny. The UK reported strong growth in online casino revenue, while Polymarket’s push for financial services classification in Europe underscored the evolving regulatory debate around prediction markets.
Here’s a look at the biggest iGaming developments from September.
President Lula has issued a provisional measure banning licensed online betting in Brazil, less than two years after the market was regulated.
Bettors must withdraw their balances by 5 October, while operators will have to return remaining funds through partner banks under a government-set timetable;
The government plans to introduce criminal penalties of up to six years in prison for those operating or promoting sports betting;
Industry bodies warn the ban could cost billions in tax revenue and jobs while pushing bettors towards the illegal market, and licensed operators are expected to challenge the measure in court.
The UK’s gross gambling yield (GGY) reached £17.5bn between April 2025 and March 2026, marking a 4.4% year-on-year increase, according to the Gambling Commission.
Remote casino, betting, and bingo GGY increased 6.9% to £8.3bn, with online casino GGY rising 14.8% to £5.7bn and slots accounting for £4.8bn;
Land-based gambling GGY rose 1.1% to £4.9bn, while the number of licensed betting shops fell 3.6% to 5,617;
The Gambling Survey for Great Britain found that 49% of adults had gambled in the previous four weeks, with lottery draws remaining the most popular activity.
Turkish authorities have launched a coordinated operation targeting illegal betting networks across eight provinces, following investigations into financial transactions involving 177 suspects.
Cybercrime and anti-smuggling units conducted raids across Adıyaman, Konya, Manisa, Muğla, Tekirdağ, Siirt, Muş, and Çorum;
The authorities highlighted the role of digital payments and cryptocurrencies in facilitating illegal betting and money laundering;
Authorities said 548,420 illegal betting websites were blocked between 2006 and 2025, including around 84,000 sites in 2025 alone.
German authorities have raided a suspected illegal gambling network linked to more than €5.8bn in wagers. The case has renewed scrutiny of Germany’s black market and licensing framework.
More than 100 officers searched 11 premises, with authorities freezing bank accounts and imposing an asset restraint order worth around €82m;
DSWV and DOCV argue that the scale of the operation raises questions about whether Germany’s official estimates accurately reflect the size of the illegal gambling market;
Industry groups are calling for tougher enforcement and a nationwide licensing framework for online casino games as Germany reviews its gambling legislation.
Polymarket is lobbying European regulators to be classified as a financial services company rather than a gambling operator, in a move that could help the platform access European markets.
Polymarket is engaging with regulators in the UK and EU to argue that its contracts should fall under MiFID financial markets rules;
The push comes as European gambling regulators increase scrutiny of prediction markets, with several countries restricting Polymarket and other platforms;
ESMA classifies certain prediction market contracts as financial instruments, while the UK distinguishes between financial and non-financial event contracts.
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