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UK gambling law ‘to ban white label betting brands’ from kit and signage advertising | SportBusiness
The UK government's review of its gambling law is likely to result in an outright ban on sponsorships by so-called ‘white label’ betting brands from overseas markets, particularly in Asia.
www.sportbusiness.com
UK gambling law ‘to ban white label betting brands’ from kit and signage advertising | SportBusiness
The UK government's review of its gambling law is likely to result in an outright ban on sponsorships by so-called ‘white label’ betting brands from overseas markets, particularly in Asia.
www.sportbusiness.com
UK gambling law ‘to ban white label betting brands’ from kit and signage advertising
Matthew GlendinningThe UK government’s review of its gambling law is likely to result in an outright ban on sponsorships by so-called ‘white label’ betting brands from overseas markets, particularly in Asia.
On top of the expected banning of all betting brands from front-of-shirt sponsorships, The Guardian newspaper said the new law is almost certain to prevent foreign betting firms from using sport to advertise in countries where gambling is illegal.
The white label betting system allows these companies to “rent” betting platforms licensed in UK-approved jurisdictions and use football sponsorships, in particular, as an effective way to raise awareness in their target markets.
The report quoted a source familiar with the review, as saying the white label system is a “massive loophole” and they would be “amazed” if it survives.
Closing such a loophole would mean a ban on all TV-visible advertising of these brands, whether on shirts or LED signage, taking the expected shirt advertising ban a step further. It is understood that any ban on gambling company sponsorships would come into force by 2023-24 at the earliest.
Nine Premier League clubs currently have gambling-related shirt sponsors: Brentford (Hollywoodbets), Burnley (Spreadex Sports), Crystal Palace (W88), Leeds United (SBOTOP), Newcastle United (Fun88), Southampton (Sportsbet.io), Watford (Stake.com), West Ham United (Betway) and Wolves (ManBetX).
Meanwhile in the same article, Trevor Birch, the chief executive of the English Football League, expressed his concern that any betting sponsorship ban could have a “substantial impact” on Football League finances.
Six teams in the Championship have front-of-shirt betting sponsors – Birmingham (Boyle Sports), Bristol City (MansionBet), Coventry City (Boyle Sports), Derby County (32Red), Middlesbrough (32Red), and Stoke City (Bet365) – while SkyBet is title sponsor of all three EFL leagues, the Championship, League 1 and League 2. No League 1 or League 2 clubs have betting companies as their main kit sponsor.
Birch was quoted as saying: “We’re concerned because finance and sponsorship from the betting sector is an important part of the financing of the EFL. The figure we would put on it is £40m ($54.8m/€46.7m). If that particular avenue is closed off to us it will have a substantial impact on our finances.”
He added: “It’s also the case that the gambling industry does make an awful lot of money from football. So in some shape or form we think that they should be making some kind of contribution. It could be in a different form to shirt sponsorship.”