Newcastle United could be dealt huge financial blow following Government review
Newcastle United could be one of eight top flight clubs to be dealt a big financial blow after a Government review into gambling reform.
Newcastle announced a long-term deal with gambling firm FUN88 earlier this year, having first agreed a deal in 2017 to target brand growth and recognition in the Asian market.
The Magpies managing director Lee Charnley had praised the the new long term deal which intended to engage supports and boost the clubs reach.
However, the partnership between Newcastle and Fun88 could be under threat as the Government opened a review on Tuesday which is expected to scrutinise sponsorship agreements with gambling firms.
This review could end up costing Newcastle as well as follow Premier League clubs Manchester United, Leeds United and West Ham United up to £70m.
This review comes following the House of Lords Select Committee’s recommendation that gambling firms should be banned from shirt sponsorship by 2023. The same committee also called for no gambling advertisements in or around sports grounds and venues.
Oliver Dowden, the Secretary of State for Digital, Culture, Media and Sport spoke ahead of the review and said: “Whilst millions gamble responsibly, the Gambling Act is an analogue law in a digital age.
“From an era of having a flutter in a high street bookmaker, casino, racecourse or seaside pier, the industry has evolved at breakneck speed.
“This comprehensive review will ensure we are tackling problem gambling in all its forms to protect children and vulnerable people. It will also help those who enjoy placing a bet to do so safely.”