The UK Gambling Commission (UKGC) has warned Nottingham Forest and Crystal Palace about the clubs’ relationship with shirt sponsor Kaiyun Sports.
This situation arises from the fact that the betting website is not licensed to operate in the UK. It had previously been licenced under a ‘white label’ agreement with Isle of Man-based TGP Europe, which seems to no longer be in effect.
The UKGC, the UK regulatory body for gambling, has confirmed that Kaiyun Sports has never held a direct licence. With the firm no longer covered under a white label deal either, any sports deals go against a long-standing principle around betting partnerships, reaffirmed in a code of conduct published this Wednesday.
The code states: “Where a gambling-related agreement provides consumers in the UK with facilities for gambling, competitions and clubs should only enter into agreements where the gambling company is licensed by the Gambling Commission or captured as part of a ‘white label partnership’.”
The two Premier League clubs could also face issues if the betting website becomes accessible to UK consumers.
A UKGC spokesperson told Insider Sport: “We have made it clear to Nottingham Forest and Crystal Palace that a sports body engaging in sponsorship arrangements with an unlicensed remote operator may be liable for the offence of advertising unlawful gambling (under section 330 of the Gambling Act 2005) if the remote gambling activity isn’t blocked to consumers in Great Britain.
“We’re of the view that the best way for sports bodies to protect themselves against this risk is to ensure that they only promote gambling operators licensed by us.”
What is Kaiyun Sports?
Kaiyun Sports is an Asian sportsbook, which has partnered with a number of Premier League clubs. The club has active partnerships with Crystal Palace and Nottingham Forest, with its logo featuring on the front of the latter’s jerseys.
As noted, Kaiyun Sports was allowed to sponsor these clubs through TGP Europe’s white label, but it is now listed as “inactive” by the Gambling Commission because the company no longer appears on TGP Europe’s website.
However, TGP Europe still has a presence in the league. Other companies under its banner, such as SBOTOP (Fulham), Stake.com (Everton), bj88 (Bournemouth), and DEBET (Wolverhampton Wanderers), hold sponsorships with Premier League clubs. These companies operate under the “white label” banner and thus comply with the league’s code of conduct.
The Premier League’s relationship with gambling
Data from ClickOut Media‘s Sportscasting.com reveals that Premier League clubs had more betting and gaming sponsors than any other top five European league last season.
Notably, Luton Town was the only one of the 20 clubs that did not partner with either a betting or crypto company last year. The team was relegated from the Premier League at the end of last season, having only been promoted the year prior.
The monetary gain that stands to be made by partnering with gambling companies cannot be understated. The League has also been more active in enforcing its Profit and Sustainability Rules (PSR) of late, meaning there is more pressure on clubs to ensure steady revenue.
With under a month to go before the start of the 2024/25 season, a long list of clubs have already announced deals with betting operators, and a lot of them have included record-breaking investments.
For instance, Crystal Palace announced a record partnership with NET88 to make the Philippine-based online casino the men’s official front-of-shirt sponsor for the 2024/25 season.
Most recently, Bournemouth named Asian gambling company bj88 as its front-of-shirt partner for the next two seasons, which was also a record-breaking deal.
Earlier this year, supporters saw Newcastle United, Wolverhampton Wanderers, and Tottenham Hotspur sign various betting partnerships.
With an impending ban on front-of-shirt deals coming into force after the 2026/27 season, clubs and bookmakers seem to be capitalising on such deals whilst the opportunity remains.
In addition to this observation and the forthcoming ban, some supporters are growing tired of betting sponsorships. This can be seen in online backlashes seen among segments of some supporters.
However, clubs also need to compete and give fans success on the pitch. Revenue is essential to this, and the betting industry has – as has been noted above – long been a steady source of income for English football.
ClickOut Media analyst Neil Roarty believes it’s a bit naive to expect businesses not to operate like, well, businesses.
He said: “For fans, football is a whole host of things: nostalgia, emotion, fun, a past-time, a passion. But for the clubs themselves, it’s all of that plus the livelihood of hundreds of people.
“Football, like all other professional sports, isn’t just a game – it’s a business. And like most businesses, they need to make money.
“While I can understand the concerns around gambling advertisers from supporters, many clubs have already taken steps to avoid the more harmful aspects.”
“Most football fans simply want the shirt to look great and the brand on the front of it is a secondary consideration.”
Although this opinion may be true to some extent, it is again important to note the fan backlash seen on social media against partnerships some fans see as immoral.
Last month, Bundesliga giant Borussia Dortmund signed a deal with Rheinmetall AG, a German automotive and arms manufacturer, three days before its Champions League final. This controversial deal led travelling fans of the club to protest against the deal with banners at the match.
In many people’s view, a bookmaker is not as morally problematic as a weapons manufacturer, although the rhetoric of certain gambling reform campaign groups suggests they may disagree.
What’s next?
Looking forward, the introduction of the revamped code of conduct and new rules being introduced to decrease the visibility of gambling sponsorships is a welcome development for a lot of football supporters.
However, there is a feeling – backed up by data – that the Premier League’s relationship with the gambling industry is intensifying and far from over.
It will no doubt be on the minds of the new Labour government, which is overseeing both the final implementation of the Gambling Act review started under its Conservative predecessor, as well as a commitment to overhauling the governance of football.