Betting firms could be banned from sponsoring UK soccer shirts amid law review

UK government could ban foreign betting firms from advertising on English and Scottish soccer teams’ shirts and pitchside hoardings, with ministers wanting to close the “loophole” as part of a gambling law reform.

The proposed changes are part of government plans to reduce gambling’s hold on the game, reports The Guardian, and ministers finalizing reforms to gambling laws are expected to unveil their proposal “within weeks.”

Although yet not confirmed, an outright ban on betting company logos sponsoring soccer shirts is now a strong possibility. Moreover, the previously cited news source claims ministers are also considering taking aim at the “white label” system by which overseas betting companies, mainly from Asian countries, strike lucrative sponsorship deals with teams.

The firms gain access to soccer by partnering with small companies holding a British gambling license. “White label” firms are often based in jurisdictions such as Malta or Isle of Man and rent their licenses to overseas brands, which can then market themselves via shirts to fans in countries where gambling is illegal.

Concerns have been raised about lack of transparency over ownership of the companies displayed on the shirts of soccer clubs, and how they operate. Banning white labels would stop these firms from advertising not only on shirts but on pitchside hoardings, which often display betting promotions in a variety of languages.

The possibility of also banning UK-based firms from the front of soccer shirts is allegedly being considered, amid concern about the impact on children and vulnerable people: recent research shows that gambling logos appear up to 700 times throughout a soccer match.

Trevor Birch, chief executive of the English Football League, sponsored by SkyBet, described the potential ban on advertising as “concerning.” Nine Premier League clubs currently have a gambling company on their shirts, as well as another six in the Championship, in deals worth a combined estimate of £100 million, according to Mirror.

“We’re concerned because finance and sponsorship from the betting sector is an important part of the financing of the EFL,” said Birch. “If that particular avenue is closed off to us it will have a substantial impact on our finances.”

Moreover, all but one Premier League club and 15 Championship sides partner with betting firms in some way, although these deals could be allowed to continue in order to protect the finances of poorer clubs and the lower leagues. Reformers could strike a middle ground, with front-of-shirt bans delivering a bold statement, while allowing other types of deals to continue.

The current gaming review was launched by the Department for Digital, Culture, Media and Sports (DCMS) in December 2020, in a revision of the 2005 Gambling Act, which was introduced before the iGaming explosion.

The review is set to determine gambling legislation fir for the digital age and revise gambling-related harms and addiction. The government’s policy document outlining future legislation is due to come out at the end of 2021 or early in 2022, and will then be followed by a three-month consultation period before the bill goes to Parliament.