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In recent years, there has been a growing concern about the impact of gambling sponsorship and advertising in professional football. Many have argued that their presence is normalising gambling and contributing to a rise in problem gambling. In response, there have been calls for stricter regulations on gambling advertising and sponsorship in football.
This blog will explore changes in legislation, implications for current clubs, and options available to those wishing to withdraw from their agreements. If you’re looking for advice on terminating a contract, contact our team via 0203 007 5500 or [email protected].
Changes in legislation on betting advertising in football.
In the UK, the legislation that has had the most significant impact on betting advertising in football is the Gambling Act 2005. This act regulates all forms of gambling, including betting, and introduced several measures to protect consumers from the harms of gambling. One of these measures was the introduction of a licensing system for all gambling operators.
In addition, there have been several other pieces of legislation that have impacted betting advertising in football. In 2018, the UK government introduced a ban on betting advertising during live sports events, including football matches. This ban covers all forms of media, including television, radio, and online platforms. The government justified the ban as a means of protecting young people from exposure to gambling advertising. It’s thought this will help to prevent problem gambling developing.
Furthermore, the UK government launched a review of the Gambling Act 2005 in 2019 to consider the future use of gambling sponsorship and advertising in professional football. The UK government, alongside Premier League clubs, confirmed they had reached an agreement to remove betting sponsorships, effective from the 2026/27 season.
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The impact on Premier League teams sponsored by betting companies.
The Premier League is one of the most lucrative football leagues in the world, with millions of fans globally. Current Premier League betting sponsors include West Ham United, Aston Villa, and Everton. These teams have, to date, benefitted from significant revenue generated from these sponsorship deals.
The change in legislation on betting advertising during live sports events will mean that these teams can no longer display their betting sponsors’ logos during matches. This will be a significant blow to these teams, as they rely heavily on sponsorship deals to generate revenue. The impact of the ban will however be universal, with all Premier League teams set to lose millions of pounds in revenue.
In other professional leagues, namely the SkyBet Championship, League 1 and League 2, will be required to make arrangements that follow in the footsteps of the Premier League.
Options available to organisations looking to terminate agreements with betting companies.
As a result of these changes, the football clubs that currently have sponsorship deals with betting companies will need to obtain revenue elsewhere. Before they can do so, however, they must initially terminate any current deals with gambling companies.
Organisations that are looking to terminate agreements and deals with betting companies have several options available to them. The first option is to negotiate a termination agreement with the betting company.
This would involve the two parties agreeing to terminate the contract early, with the betting company compensating the organisation for any loss of revenue. This option can be costly, as the betting company is likely to demand a significant amount of compensation.
Another option available to organisations is to seek legal advice on terminating the contract. If the contract includes a clause that allows termination for breaches of contract, the organisation may be able to terminate the contract without incurring any penalties. However, if there is no such clause, the organisation may need to prove that the betting company has breached the contract in some way.
Organisations that wish to protect their own interests and prepare for any eventuality will benefit from a legal professional being involved in the drafting of any agreements with other businesses. Namely, that the organisation is protected with a termination clause should the parties decide to part ways whilst the agreement is still in effect.
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The future of betting advertising in football.
The changes in legislation on betting advertising in football will have a significant impact on the football industry, with many organisations and teams having to adapt to the new regulations. The future of betting advertising in football remains uncertain, with some experts predicting further restrictions on betting advertising in the future.
However, organisations that are looking to terminate agreements and deals with betting companies have several options available to them. It’s unclear how these changes will affect the football industry, and whether there will be further restrictions in the future.
If you are looking to enter into an agreement with another business, or looking to terminate an already existing contract, we can help. Contact our team via 0203 007 5500 or [email protected].
How can Britton and Time Solicitors help?
We know how confusing and stressful legal contracts can be. That’s why our initial consultations with our commercial law solicitors offer you:
- Unlimited time to go through the details of your case and ask any questions you may have
- An overview of your legal standpoint and your available options
- A precise time and fee estimate for your case
To arrange your initial consultation with one of our solicitors, simply call us on 020 3007 5500.
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