Premier League To Put Stop On Deals with Unlicensed Betting Operators

The Premier League are set to implement new legislation to stop clubs from teaming up with unlicensed gambling operators. In 2023, a fresh ruling came in, and from next season, outfits must remove gambling sponsorships from the front of their shirts.

However, that hasn’t been anything to stop gambling companies from advertising on shirt sleeves. And now the Premier League has set their sights on stopping rogue operators, who don’t have a recognised UK license, seeping into the game.

Circumventing the rules

As things stand, several clubs have struck deals with unlicensed gambling operators. This includes Fulham, Wolves, Bournemouth, and Burnley, who originally carried out business partnerships through TGP Europe, which ran a so-called white-label business model.

Through this method, this provided a UK license for other gambling companies. However, TGP Europe exited the UK market last year. The United Kingdom Gambling Commission (UKGC) insisted TGP Europe would have to pay a £3.3 million penalty and make significant changes to continue trading here.

It is believed the clubs that have seemingly circumvented the rules aren’t acting unlawfully in maintaining these sponsorship arrangements. This is as long as these gambling operators aren’t made accessible to UK consumers.

Government runs out of patience

The rise of black market activities has been a prevalent concern for the UKGC, and on Boxing Day last year, it is believed £100 million could have been wagered illegally. And ministers are increasingly concerned that the branding of rogue sites could drive fans towards them.

Now, the Department for Culture, Media & Sport (DCMS) will carry out a consultation in the spring to try to eradicate such sponsorship deals with Premier League clubs. The Culture secretary Lisa Nandy confirmed the development, insisting now is the time to take action.

She said:

“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.

“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.”

BGC lends its support

The Betting and Gaming Council (BGC) have been one of the most vocal critics of black market gambling, which has contributed over £6 billion to the economy. Its CEO, Grainne Hurst, has reiterated fears that customers will be “exposed to greater risks”, and they’ve come to the government’s support over the sponsorship initiative.

In a statement posted on LinkedIn, the trade body said:

“Licensed members of the Betting and Gaming Council follow strict rules on consumer protection, safer gambling and financial safeguards. Unlicensed operators don’t — fuelling the harmful black market and putting consumers at risk.

“We support action that protects fans, upholds standards and ensures football sponsorship is built on responsibility and proper regulation.”

The long-term impact

As far as the regulated betting industry is concerned, this will feel like a big win for the established players and a PR success. Of course, the gambling industry is going through a raft of changes, and the hike in Remote Gaming Duty (RGD) is naturally a blow.

In terms of keeping black market operators at play, this can only be perceived as a good thing. Fiona Palmer, the chief executive of GamStop, which supports people with online gambling problems, echoed the thoughts of the BGC.

She said:

“Any move to prevent unlicensed gambling operators from gaining visibility through Premier League sponsorships is a positive step for consumer protection.”