UK regulator confirms foreign advertising stance
Gambling Commission informs lawyers that operators must have a UK licence in order to advertise in the UK
The UK Gambling Commission has confirmed its stance that operators must be in a possession of an operating licence should they wish to advertise within the UK, potentially casting doubt on a number of major sports sponsorship deals.
The re-affirmation came during a meeting between the Commission and a selection of gaming lawyers held last Friday and comes amid speculation that a number of foreign operators could be prepared to challenge the regulator’s stance on the issue.
The Commission had previously ruled out the suggestion that it would offer ‘advertising only’ licences to operators seeking to advertise in the UK but do not take any business from UK-based customers.
A number of foreign operators with little or no UK customer base have used globally televised UK sporting events in order to advertise their brand to their chosen international markets.
Asia-facing Dafabet recently sponsored the World Snooker Championship, an event which is broadcast around the globe and watched by tens of millions of people in China, while a number of football clubs have held similar sponsorship deals with foreign bookies.
But these partnerships could be in doubt once the new Point of Consumption regime begins on 1 October, with the Commission having confirmed it would “not normally licence” operators without a UK-facing business or those that don’t conduct business operations in the country.
One potential solution thought to under consideration by operators is the use of ‘green screens’ and other technology which could allow operators to place branding around sports stadia visible only to those watching on television and not to those in attendance.
However the Commission has told eGaming Review that use of such technology would be an issue for operators.
“We are aware of green screens but it is up to operators to check whether they are complying with the law when using this technology,” a spokesperson for the Commission said.
The meeting was also used to confirm that the Commission and UK Government has been granted an extension to its deadline to respond to the Gibraltar Betting and Gaming Association’s (GBGA) demand of a review of the Gambling Bill.
The GBGA had previously requested a response by 2 July but has now agreed to extend this deadline until 16 July following a request made by the Commission.