UK to crack down on unlicensed casinos sponsoring football teams
The UK government is preparing to crack down on unlicensed casinos sponsoring British sports teams, with the Department for Culture, Media and Sport set to launch a consultation this week. The move follows criticism that a delay to the proposals — stalled since February — allowed offshore gambling firms to strike lucrative deals with Premier League clubs, most notably Everton's three-year sleeve sponsorship agreement with the crypto casino Stake.com. The consultation will seek expert views on closing a legal loophole that currently permits unlicensed operators to sponsor clubs even though they cannot be licensed to take bets in Britain.
The warning proved timely: Entain chief executive Stella David, whose firm owns Ladbrokes, wrote to gambling minister Baroness Twycross in early June urging swift action, and Everton signed with Stake.com within weeks, disregarding Gambling Commission guidance. Stake effectively surrendered its British licence last year amid a regulatory review and says it does not take bets in the UK, though the commission has warned that clubs and executives could face prosecution for promoting unlicensed firms transacting with British consumers. Critics have urged Andy Burnham, a lifelong Everton fan and vocal gambling critic, to condemn the deal, while David cautioned that clubs might treat government inaction as a "green light" and that some unlicensed casinos illegally take UK bets.
In short
- UK to consult this week on banning unlicensed casino football sponsorships.
- Everton's Stake.com deal went ahead during a government delay.
- Clubs risk prosecution for promoting unlicensed gambling firms.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
These unlicensed operators deliberately exploit a regulatory loophole to circumvent UK gambling protections and acquire British customers without meeting consumer safeguards that licensed operators must satisfy. Evidence indicates some likely take bets from UK consumers illegally, creating legal liability for clubs and executives under the Gambling Act. Closing this sponsorship loophole is therefore essential to prevent regulatory circumvention and protect vulnerable consumers from unregulated operators.
The case against
Banning sponsorships by legally-operating entities at the time of signing creates problematic commercial restrictions and sets a poor precedent. More proportionate enforcement would target the genuine illegality—unlicensed operators actually taking UK bets—rather than preventing legal sponsorship relationships. Rigorous prosecution of actual violations of gambling law is more effective and fairer than preemptively restricting commercial freedom based on regulatory concerns that existing laws should address.
Explained simply
Unlicensed casinos are gambling operators that cannot legally take bets in Britain, yet currently face no restrictions on sponsoring British sports teams. This creates a peculiar situation where companies banned from operating in the UK can still provide sponsorship money to football clubs, potentially promoting themselves to British fans who cannot legally use their services.
The government has identified this as a legal loophole that needs closing. A consultation will explore how to stop unlicensed gambling firms from sponsoring football teams, particularly following recent deals such as the online casino Stake.com's sponsorship agreement with Everton. Critics worry that allowing such sponsorships effectively promotes unlicensed gambling to British consumers and undermines the country's gambling regulations.
The issue has taken on urgency because the government's original proposals were delayed earlier this year, giving offshore gambling operators time to strike lucrative sponsorship deals with clubs before new rules could be introduced. There is concern that without swift action, more clubs will follow Everton's example.
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