Football Association and Bet365

(Urgent Question): To ask the Secretary of State for Digital, Culture, Media and Sport if he will make a statement on the deal between the Football Association and Bet365.

I will respond on behalf of the Secretary of State to this urgent question.

Recent reports on the streaming of FA cup matches by online bookmakers have rightly caused concern across the House. They relate to a media rights deal agreed by the FA with IMG in early 2017, within which IMG could sell on live footage or clips of certain FA cup matches to commercial partners. Bet365 and six other betting operators acquired those rights from IMG to use from the start of 2018-19 season.

It is right that sporting organisations have the freedom to benefit commercially from their products and negotiate their own broadcasting deals, but football authorities also have an important responsibility to ensure that fans are protected from the risks of problem gambling. Since the deal was agreed, the FA has rightly reviewed its position on commercial relationships with gambling firms. It has ended a commercial partnership with Ladbrokes and announced that it will be reviewing its processes for tendering rights from the 2024-25 season onwards, and it is absolutely correct that it does so.

The Secretary of State and I made our views quite clear yesterday and have done so previously on the wider responsibilities of sport and gambling sectors to their fans, their customers and our wider communities. We therefore welcome the fact that the industry has responded to public concern by introducing a whistle-to-whistle ban on TV advertising during daytime sport, and that the FA introduced a rule last year that prevents players, managers and members of staff in any capacity from deliberately taking part in audio or audio-visual advertising to actively encourage betting.

While many people enjoy gambling as a leisure pursuit, we cannot forget that it carries a high risk of harm and can have a serious impact on individuals, families and communities. All of us—Governments, gambling companies and sporting authorities—need to keep the momentum going so that we can protect vulnerable people from the risk of gambling-related harm.

Problem gambling in the UK is now so endemic that it should be treated as a public health crisis. It causes untold misery to those affected and their families. Too many times, I have sat with men and women who are cursed with an addiction and who are battling mental health issues. Too many times, I have listened to the heart-wrenching grief of a partner, sibling or parent whose loved one has taken their life because the demon became too big to fight. Again and again, I have stood in this Chamber and vocalised my shock, my anger and my utter disgust at the greed and immoral behaviour of the gambling companies. It saddens me that I am having to do it yet again, yet here we are—the first urgent question of the new year.

Three years ago, it appeared that the FA had turned a corner when it ended a £4 million-a-year sponsorship deal with Ladbrokes, distancing itself from the gambling industry—or so we assumed. However, what has come to light in recent days paints a very different picture.

In 2017, the Football Association agreed a streaming deal through sporting rights agency IMG, which will run until 2024. That deal, thought to be worth in the region of £750 million, allows IMG to sell on live footage from cup matches to bookmakers and betting firms around the globe. Gambling companies can then stream matches on their websites and mobile apps, forcing fans to “bet to view” if they want to watch their team.

We already know of some of the UK-based gambling companies who took part in the deal, but there are likely to be many more, both at home and across the world. I dread to think how many people will take the bait and place their first bet as a result of this deal, and how many could spiral into a dark addiction off the back of it. Just last weekend, Bet365 broadcast 32 FA cup matches online, in comparison with only two on terrestrial free-to-air television. To watch the matches on Bet365’s site, fans had to either place a bet before kick-off or open an account with a £5 deposit. Bet365 heavily promoted the matches on social media beforehand, offering tips to lure potential gamblers. Betting odds then accompanied the live footage, tempting viewers to gamble more.

I congratulate the hon. Member, who I know is passionate about this issue and has campaigned very effectively in the House. The Government are also very angry about this arrangement, especially after a weekend when the FA worthily highlighted its Heads Together mental health campaign.

I have spoken at some length to the FA since this broke. The arrangement has been in place for some time; the 2017 contract was a rollover of a deal. The Government have asked the Football Association to look at all avenues to review this element of its broadcasting agreement. This element of the broadcast arrangement is for matches that are not chosen for the FA cup online broadcast or do not kick off at 3 pm on a Saturday, and it does open up the opportunity for plenty of other games to be watched, but we have asked the FA in no uncertain terms to look at the deal and to see what opportunities there are to rescind this particular element. I will be meeting face to face with the FA next week.

I congratulate the hon. Member for Swansea East (Carolyn Harris) on securing this urgent question. I welcome the Minister’s comments following the Prime Minister’s earlier call for this unacceptable deal to be scrapped. It is unacceptable because it goes in completely the wrong direction; it is the gamblification of sport. It seriously damages the reputation of both the Football Association and IMG. Does the Minister agree that the FA should return, as soon as possible, to working to reduce the links between football and gambling, and that it should do away with this deal and avoid the proven risks of relentless online marketing, particularly on young men?

My hon. Friend is right. I have spoken with him about his constituency concerns about this issue. It is absolutely right that the Football Association and all sporting bodies who, rightly, have links with sponsors across all sectors need to be very mindful of the impacts that such deals have on vulnerable people. We have made that very clear to the FA. As I said earlier to the hon. Member for Swansea East, the FA is looking into how it can alter the arrangements under that deal in the shortest order.

Thank you for granting this important urgent question, Mr Speaker. I am grateful to my hon. Friend the Member for Swansea East (Carolyn Harris) for asking it. Many people are outraged that gambling firm Bet365 has won the rights to broadcast FA cup matches exclusively through its website and applications, because we are all too aware of the devastating impact that gambling can have on lives. At the heart of this issue is the cynical way Bet365 hooks people into placing bets and gambling during matches, almost grooming people into becoming gamblers.

We know the link between gambling, mental health and suicide is real. My constituent Kay Wadsworth’s only daughter Kimberly took her own life when she was in the grip of gambling addiction. Her death destroyed her family and brought unimaginable heartache. Think of the hundreds like Kimberly out there who might enjoy football, but find their lives ruined by addiction.

Yesterday the Secretary of State made strong statements, and even Gary Lineker and the Prime Minister agreed that the FA should reconsider. Has the Prime Minister spoken to the FA in the last 24 hours? Will the FA listen to the wishes of the Prime Minister?

Bet365 has stated that those who wished to watch matches did not need to gamble, but they did need to deposit money into an account, which meant that viewers were bombarded with live odds throughout the match. What protections have been put in place for gambling addicts? Is the Minister aware of any assessment that the FA made on the potential impact the deal could have on vulnerable people and the health of viewers? When was the Department first made aware of the deal by the FA, and what was the Department’s response? Was it deemed acceptable or not? Will the Minister commit to write to all our sporting governing bodies and those who sell the rights to sport so that we do not end up in this situation with another sport?

It feels as though most of the House is united on this issue. The Queen’s Speech made a commitment to review the Gambling Act 2005. Will the Minister update us on when that review will begin?

I welcome the shadow Secretary of State to her place. The arrangement through IMG is not solely with Bet365, as six other gambling companies have rights to the broadcasts. I have spoken to the Football Association and the Prime Minister has made his views clear. The hon. Lady will be pleased to hear that I have received several commitments from the Football Association: it will not renew the deal when it comes up and it is also looking at all options to see if the current deal can be restricted.

I urge all other sporting bodies to look at their broadcast agreements. My understanding is that similar agreements are in place across all sports, not just football in this country. It is a global arrangement. The Olympics, FIFA and the Premier League do not have such broadcasting arrangements, but just about every other sporting body does. I urge all those bodies to ensure that they review their broadcast deals urgently.

I congratulate the hon. Member for Swansea East (Carolyn Harris) on securing the urgent question, and I know that my hon. Friend the Member for Gloucester (Richard Graham) tabled a similar urgent question, showing the cross-party concern on the issue.

The deal with Bet365 is distasteful, naive and a long way short of what good governance of sport, especially football, should look like. But it also contradicts previous FA decisions dissociating itself, as the sport’s regulator, from betting companies. Those decisions recognised public concern about gambling in football and dovetailed nicely with the FA’s mental health work. I encourage the Minister not to listen too closely to the FA’s defence on the issue and claims that any renegotiation of the deal will have an impact on grassroots sport. That is something that the FA has regularly claimed in the past, but it is important that it reviews the deal now, to protect people involved in football. Does the Minister agree that that needs to be done urgently if the FA is to regain respect for its previous moral position on the issue of gambling?

As the House knows, my hon. Friend has done an incredible amount over the years and she is passionate about this subject. It is fair to say that the arrangements for cutting the stakes on fixed odds betting terminals and tightening the requirements on age and identity verification to protect customers have a lot to do with her work in the House.

It is absolutely right that the FA act urgently on the matter. From our conversation this morning, it is fair to say that the FA is more than embarrassed by the situation. We will make it very clear when we have a face-to-face meeting early next week what steps we expect it to take next.

The deal between the English FA and IMG/Bet365 —and, indeed, six other bookmakers—is, as the Minister has outlined, to be regretted. It shows the danger of selling media rights to third parties without correct oversight of the process. Gambling addiction is on the rise in the UK, so every gateway to gambling and the problems it creates needs to be scrutinised intensely. Online gambling in particular has experienced a huge increase in activity, with more than one third of the EU’s online betting taking place in the UK. There has been progress through measures to address fixed odds betting terminals in the past year—with the hon. Member for Chatham and Aylesford (Tracey Crouch), who asked the previous question, at the heart of that move. Do the Government intend to pursue similar proactive measures before the FA’s next media rights review?

A tiny percentage of live football is now available on terrestrial TV. Does the Minister agree that ensuring that more football, and more sport generally, is broadcast on free-to-access television would remove potentially dangerous gambling gateways such as this one?

Yes, I do. The hon. Gentleman is correct: we would like to see far more live sport on terrestrial television. However, it is worth pointing out that the games we are discussing are one of three tranches of games. They are not FA cup games that kick off at 3 o’clock on a Saturday. They are not games that are chosen by the broadcasters for live broadcast. As the competition goes on, there will be fewer games. However, that is largely irrelevant. Let me deal with the issue at hand. It is worth pointing out that, as I have mentioned previously, it is an issue across all sports. We want to do all we can to ensure that there is more sport on terrestrial TV, but we have to be mindful of the fact that the rights holders can conduct their commercial deals themselves. However, they have to be responsible. The hon. Gentleman will know that our manifesto said that we would review the Gambling Act 2005. I am glad that the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Faversham and Mid Kent (Helen Whately), who is responsible for gambling, is in her place and I am sure that we will come to the House in future to clarify when that review will take place.

I congratulate my hon. Friend the Member for Swansea East (Carolyn Harris) on obtaining the urgent question. In a sense, it does not really matter what the FA says to explain. The evidence is clear. The all-party parliamentary group on gambling-related harm conducted a series of inquiries with the chief executives of several gambling companies. The biggest area of risk is their drive to get more and more people into VIP rooms, where they give them incentives, such as tickets for football matches. What we are discussing is all part of that. The biggest abuse takes place in that process, whereby companies drive people who gamble a lot into higher levels of gambling because that is where their profits lie. It is not good enough for the FA to say, “Well, we didn’t really mean this and we’ll review it.” The Government give the FA financial assistance. I urge my hon. Friend, as Minister for Sport, to tell the FA that unless it moves on the matter pretty damn quickly, we will review its financial support.

My right hon. Friend has a long history of campaigning on this issue, and he is absolutely correct. On his first point, the Gambling Commission is looking into the matter. As for the financial assistance the Government give the Football Association, I understand the Football Foundation receives about £18 million, and my right hon. Friend will be aware of our manifesto commitment to £500 million for grassroots football. I assure him that that will be on my agenda when I meet the FA next week.

The betting companies know there is a problem already, because they have undertaken not to advertise during live football matches, but of course that has not yet been implemented. Does the Minister share my concern that if this development is not nipped in the bud we might reach a position where people can watch sport only if they have placed a bet?

I am confident that that will not happen. The hon. Gentleman is correct about the commitment to the ban on in-game advertising, and it is important that we look at the data on that. It has only just kicked in, but we should welcome the fact that the industry has stepped up and introduced that measure. I assure him that we will monitor it extremely carefully.

Does my hon. Friend agree that we should work with banks as well as betting companies to ensure that the sort of behaviour that suggests that someone is developing a gambling addition is spotted? I raise that because Bet365 is a major, well respected and responsible employer in my constituency, employing several thousand people. We need to get the balance right in how we tackle this issue and who we talk to, and recognise that there are other issues at stake.

My hon. Friend and new colleague is correct. Bet365 is a significant employer in her area and it is right that it takes its responsibilities very seriously. I urge her to seek a meeting with the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Faversham and Mid Kent (Helen Whately), who is responsible for gambling and who I know will be interested in furthering that discussion.