The UK government has opened a consultation on a proposed ban on unlicensed gambling sponsorship in sport, a move that could make entering sponsorship deals with unlicensed operators a criminal offence. The Department for Culture, Media and Sport (DCMS) launched the eight-week consultation, which was initially slated for the spring, amid ongoing calls from licensed operators and stakeholders for tighter controls on unlicensed gambling advertising.
The proposed secondary legislation would target sponsorship agreements between sports entities and gambling operators that do not hold a UK licence. If enacted, such deals would become a criminal offence, significantly tightening the regulatory framework around gambling sponsorship in British sport. The consultation period will allow industry participants, sports bodies, and other interested parties to submit their views before the government finalises its approach.
The UK has long been a leader in gambling regulation, with the Gambling Act 2005 and subsequent updates providing a comprehensive licensing regime. The current consultation reflects a broader trend among regulators globally to scrutinise the relationship between gambling and sport, particularly regarding the exposure of young people to gambling marketing. In recent years, the UK Gambling Commission has intensified its focus on unlicensed operators, including those targeting British consumers from offshore jurisdictions.
This development is significant because it directly addresses a loophole that has allowed unlicensed operators to gain visibility through sports sponsorship, potentially undermining the regulated market. For licensed operators, a ban would level the playing field and reinforce the value of holding a UK licence. For sports organisations, it would require careful due diligence on sponsorship partners to avoid criminal liability.
Industry observers will watch closely for the outcome of the consultation and any subsequent legislation, which could set a precedent for other jurisdictions considering similar measures. The government’s response is expected later this year.