The UK Financial Conduct Authority (FCA) has issued a warning to football clubs not to put their fans’ cash at risk by signing sponsorship deals with financial firms that are not allowed to operate in the UK.

According to the FCA, a number of unauthorised firms, including crypto businesses and trading platforms, are using sponsorship to target unwitting football fans.

These unauthorised firms may be breaching UK financial services laws by providing financial services in the UK without authorisation. Fans using these firms risk losing all their money.

The FCA has written directly to football clubs, mainly in the Premier League, to warn about their relationships with these firms and remind them of their responsibilities to fans.

It doesn’t matter how prominent the branding is, which club it sponsors or how professional the app looks. If the sponsoring firm provides financial services and is not on the FCA Firm Checker, it is not regulated, and you will likely have no protection if things go wrong.

The FCA expects every UK football club to conduct proper due diligence on financial services sponsors before signing, and on an ongoing basis. Where the FCA has already identified concerns, it has spoken directly to the club. Where action is needed, the regulator will take it.

The Authority is engaging with the Government and external partners like the Premier League and the Independent Football Regulator to tackle this across the sport.

Sports Minister Stephanie Peacock said:

“Sponsorship deals play a vital part in sustaining our football pyramid, but fans deserve to know that the companies associated with their clubs are responsible, accountable and safe to use.”