Unlicensed gambling companies are on the verge of being banned from sponsoring popular British sports teams, such as those in the Premier League.
If the changes go through, gambling companies must hold a United Kingdom gambling operator’s license to become eligible to sponsor local professional teams.
Key Takeaways
- Unlicensed operators do not have to follow basic consumer protections and regulations.
- The Premier League voluntarily agreed to stop front-of-shirt sponsorships for gambling companies.
- The U.K. also created a taskforce to reduce the prevalence of illegal gambling.
The U.K. government revealed its plans to discuss a potential ban in the upcoming months.
“[The change would] mitigate the risks associated with the illegal market and help eliminate unfair competition for properly regulated firms,” officials said.
Unlicensed operators are not subject to the same regulations as approved operators. Basic consumer protection standards, financial vulnerability checks, responsible advertising standards, security standards and other basic protocols do not exist, exposing consumers to issues such as fraud and identity theft.
Despite their rogue nature, these platforms are not currently prohibited from advertising their brands during the most popular sports events in the country.
“It’s not right that unlicensed gambling operators can sponsor some of our biggest football clubs, raising their profile and potentially drawing fans towards sites that don’t meet our regulatory standards,” said Secretary of State for Culture, Media and Sport of the United Kingdom, Lisa Nandy.
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Changes on the horizon
If the new measures are approved, gambling companies must receive an operator’s license to become eligible to advertise in the Premier League and other popular sports leagues.
Several Premier League clubs currently emblazon the logos of unlicensed operators on official team gear. However, the league already agreed to voluntarily remove all front-of-shirt gambling sponsors at the end of the current season, which will conclude on May 24.
While that spot might not be an option moving forward, gambling spots on shirt sleeves, training gear, and electronic boards will still be available.
“When placing a bet on the big match, fans deserve to know the sites they’re using are properly regulated, with the right protections in place,” said Nandy.
UK takes a stand
In January, the U.K. government launched the Illegal Gambling Taskforce to help crack down on the growing prevalence of illicit operators. The taskforce pooled the resources of Google, Mastercard, Visa, TikTok, and various law enforcement agencies and gaming regulators.
The U.K. Gambling Minister, Baroness Twycross, will lead the taskforce and will focus on preventing illegal operators from advertising on social media, stopping payments to illegal gambling sites, and improving cross-agency collaboration.
