The Australian bookmaker is set to withdraw from the UK in the next month after an investigation by the Gambling Commission “into a widely viewed video displaying the Stake-branded logo, which was distributed on a social media platform and featured an adult actress outside Nottingham Trent University”.
A Stake spokesperson said: “Stake has made a strategic decision in mutual agreement with TGP Europe to exit white-label agreements and focus on securing local licenses through our in-house platform and operations, building upon our growth in key regulated markets such as our recent expansions into Italy and Brazil.”
Since the start of the 2022-23 season, Stake has been Everton's main shirt sponsor, in a deal thought to be worth about £10M annually but now the Gambling Commission has said it will write to Everton - and two other football clubs with unlicensed sponsors to warn them of the risks of promoting unlawful gambling websites.
The Toffees could face penalties or even imprisonment if they fail to conduct adequate due diligence to "assure the Commission consumers cannot transact with the sites from Great Britain by any means". The Gambling Commission released a statement on the matter just hours before Everton face Liverpool in the final Merseyside derby at Goodison Park.
"The Commission will be writing to Everton – along with two other football clubs with unlicensed sponsors - warning of the risks of promoting unlawful gambling websites.
"The Commission will seek assurance from the clubs that they have carried out due diligence on their white label partners and that consumers in Great Britain cannot transact with the unlicensed sites.
"Clubs will be asked to demonstrate that they have assurance that any steps to geo-block the sites are effective, recognising that some blocking can be easily by-passed by use of tools such as a Virtual Private Network.
"Clubs will be expected to carry out sufficient due diligence to assure the Commission that consumers cannot transact with the sites from Great Britain by any means. The Commission will also be taking steps to independently verify effective measures are in place."
"The letter will warn that club officers may be liable to prosecution and, if convicted, face a fine, imprisonment or both if they promote unlicensed gambling businesses that transact with consumers in Great Britain."
"When an operator leaves the British gambling market we expect an orderly closure of its website to consumers in Great Britain and this includes providing consumers with clear information on how to obtain their funds. If a customer has questions concerning their account they should contact the operator via its website."