The Betting and Gaming Council (BGC) has come out in support of the Government’s decision to begin a period of consultation on ending sports sponsorships with unlicensed gambling operators.
Culture Secretary Lisa Nandy recently confirmed that the Government is looking at introducing new measures to prevent sponsorship arrangements between British sports teams and companies without a UK Gambling Commission licence.
These arrangements are commonplace among Premier League clubs and a BGC spokesperson has backed the move, saying: “The Betting and Gaming Council welcomes the Government’s plan to act to stop Premier League clubs accepting sponsorship from gambling operators that do not hold a UK licence.”
Before the announcement of the Autumn Budget, opponents to the imminent rise of the remote gaming duty rate from 21% to 40% made the case that damaging the profits of the licensed market would strengthen the black market.
The BGC was central in the lobbying for this idea, and the trade association’s spokesperson has asked Nandy and the Department for Culture, Media and Sport to go even further in its measures to counteract this.
The spokesperson added: “At a time when the regulated sector is facing significantly higher taxation and ever-tighter regulation while reducing advertising spend, it is more important than ever that firm action is taken against the growing harmful black market.”
It has become normal to see the names of Asian-facing gambling operators without UK licences on the shirts of Premier League football clubs.
Until last year, many of these were white-labelled in the UK through a company called TGP Europe, which has since wound up its UK operations.
The sponsorships themselves have so far been allowed to continue as long as the sites are not accessible in the UK, though it appears the UK Government and the regulated market, as represented by the BGC, want to put an end to the situation.
Next year, a voluntary commitment to withdraw gambling sponsorships from the front of Premier League team jerseys will come into effect, though there is not yet anything in place to prevent other types of sponsorship.
A Government press release referenced fears that the branding would push UK gamblers towards unlicensed platforms, and the BGC spokesperson noted this risk: “Licensed members of the Betting and Gaming Council are regulated in Britain and follow strict rules on consumer protection, safer gambling and robust financial safeguards. Whereas, the illegal, harmful black-market operators do not. They undermine player protections, avoid taxes, ignore safer gambling standards and put consumers at serious risk.”
They ended by saying: “We support action that protects fans, upholds standards and keeps customers safe within the regulated market.”
There are currently 11 Premier League clubs with gambling companies as their primary front of shirt sponsor
