Entain Calls for End to Sponsorship by Unlicensed Bookmakers

Entain’s call for the Independent Football Regulator (IFR) to take action on partnerships with unlicensed betting firms has cranked up the heat in the gambling sponsorship row in English soccer.

Entain Says IFR Can Act Now on Unlicensed Betting Sponsors

The operator, which owns big brands such as Ladbrokes and Coral, submitted its position during the regulator’s latest consultation on licensing rules for clubs across England’s top five divisions. The firm says the IFR already has enough powers under existing provisions to intervene, and no further legislation or regulatory powers are needed.

The crux of the issue is how to interpret rules that prohibit clubs from profiting from criminal activity. For the same reason, Entain believes the ban should be extended to any sponsorship money from companies not holding a domestic license, because UK law considers gambling operators acting in this way to be operating illegally when serving British customers.

The discussion comes after unlicensed operators have been widely exposed in the Premier League. Several clubs, including Everton, Fulham, and Bournemouth, have continued shirt sponsorship deals with betting firms not licensed in the UK this season. Advertising boards inside stadiums have also promoted similar companies, with most clubs having at some point or another had such content, outside of kits.

Shirt Ban Loophole Leaves Door Open for Betting Sponsors

While the league has agreed to ban gambling logos from the front of shirts from next season, the measure is limited in scope. Clubs can still show betting brands in other places, including on sleeves, meaning operators can still be seen outside of UK regulation.

Entain has also pointed to broader risks associated with the issue. The firm points to a strong link between illegal streaming of matches and the promotion of unlicensed bookmakers. A large majority of pirated broadcasts are said to carry advertising for such platforms, raising concerns about possible damage to the league’s lucrative media rights deals worth billions.

The scope of the unregulated gambling market amplifies the urgency of the issue. Industry estimates suggest millions of UK consumers are gambling online with unlicensed operators, generating billions in turnover each year. Analysts have also warned that the absence of safeguards means these operators are preying on vulnerable people, including those who have opted out of regulated gambling services.

There is also increased scrutiny from data showing that minors may also be using these platforms. Meanwhile, new tax increases on licensed gambling operators have sparked fears that the increased costs could inadvertently push more users to unregulated options.