The UK government is set to launch a consultation this week to ban unlicensed gambling operators from sponsoring sports teams, following concerns that delays have allowed offshore firms to secure lucrative deals with Premier League clubs.
The government's move aims to protect consumers, particularly vulnerable individuals, from unlicensed gambling operations and prevent the promotion of unregulated betting sites through high-profile sports sponsorships.
The UK government is preparing to launch a crackdown on unlicensed casinos that sponsor British sports teams, particularly football clubs. This initiative follows criticism that a delay in implementing proposed regulations has allowed offshore gambling firms to secure lucrative sponsorship deals with Premier League teams.
The consultation, set to go live this week, aims to address concerns that clubs are entering into new agreements for the upcoming season due to the perceived absence of government action. Stella David, chief executive of Entain, owner of Ladbrokes, had warned the gambling minister, Baroness Twycross, in June about the imminent risk of such deals being finalized.
Her concerns were quickly validated when Everton FC signed a three-year sleeve sponsorship deal with Stake.com, a crypto casino that had previously surrendered its UK operating license amid regulatory scrutiny. The Gambling Commission had already cautioned sports teams and their executives about potential liability for promoting unlicensed gambling businesses. While Stake.com states it does not accept bets in the UK, the law does not prevent unlicensed entities from sponsoring British clubs.
A government spokesperson stated that it is unacceptable for unlicensed operators to sponsor major football clubs, thereby raising their profile and potentially directing fans toward unregulated sites. The forthcoming consultation will gather expert opinions to close this loophole. Stake.com has been involved in controversies, including its branding appearing in videos with explicit content and concerns about its acceptance of cryptocurrency bets in the UK, which it claims to have measures against.
Pick the topics you care about. Get only what matters, on your cadence.