Rules on betting sponsors explained as Wolves plans revealed

The British government is consulting on whether to ban gambling firms that do not hold a licence in the UK, in a move that could impact a number of Premier League clubs.

The move, if approved, aims to protect consumers from the potential harms posed by companies which are not regulated in the UK. A consultation on it is set to be launched this spring.

Last year, Wolves, Bournemouth, Fulham, Newcastle and Burnley were all warned by the Gambling Commission over their relationship with TGP Europe.

All five clubs are sponsored by betting websites run by the firm - with Wolves sponsored by DEBET - despite TGP Europe surrendering it's British licence after an investigation found it failed to 'carry out sufficient checks on business partners' and breached 'anti-money laundering rules'.

Wolves and the other clubs were sent a letter warning that they 'may be liable to prosecution', although they have not currently been breaking the law with their sponsorship arrangements.

Since then, DEBET have regained their UK licence under Risq Capital Ltd and are listed on the Gambling Commission website as having an active licence.

The Premier League has also voluntarily agreed to cease all front-of-shirt sponsorship for gambling companies from the end of this season, although that rule will not be in place for the Football League.

As a result, when Wolves' expected relegation to the Championship is confirmed, they will not be forced to stop using gambling sponsors on the front of their shirts next season, while DEBET regaining their UK licence means that any government crackdown will not impact Wolves' relationship with the gambling website.

Wolves will be free to use DEBET or any other gambling sponsor on the front of their shirt, the shirt sleeves or in any other sponsorship opportunity next season, provided they adhere to the EFL's  'Code of Conduct for Gambling Related Agreements'.

However, it is understood that Wolves' contract with DEBET is coming to an end in the summer and they are likely to name a new sponsor.

The EFL'S code of conduct requires clubs to limit the reach of gambling sponsorship to those under 18 and 'those at risk of gambling related harm'.

It also urges clubs to promote those sponsors in a 'socially responsible way' with education and awareness as part of marketing activities, asks for commercial incoming to be reinvested into 'infrastructure and programmes that serve football fans and communities', while also stating that 'gambling sponsorship must not compromise the integrity of football competitions nor harm the welfare of those participants who take part in them'.

On the latest government plans, Culture Minister Lisa Nandy said: “When placing a bet on the big match, fans deserve to know the sites they’re using are properly regulated, with the right protections in place.

“It’s not right that unlicensed gambling operators can sponsor some of our biggest football clubs, raising their profile and potentially drawing fans towards sites that don’t meet our regulatory standards.”