Spanish government bans gambling companies as LaLiga shirt sponsors
Seven clubs currently have gambling companies as their shirt sponsor
The Spanish government have issued a letter to all LaLiga clubs, obliging them to terminate all sponsorship contracts with gambling companies.
The ban on gambling sponsorship will also extend to stadium names.
The clubs have been told to cancel any contracts as soon as possible, before next season begins at the very latest.
Seven LaLiga clubs currently have gambling companies as their primary shirt sponsor: Valencia, Levante, Real Betis, Granada, Sevilla, Cadiz and Deportivo Alaves. They will now have to find new sponsors before the 2021/22 season begins.
The majority of Spanish clubs are reported to be furious with the government's decision.
The government's letter explains that gambling "has contributed to normalising an activity which leads to serious health and social risks."
This decision will be a severe blow to the smaller clubs in the league, who are more reliant on commercial deals with gambling companies for a large proportion of their income. Valencia, one of the aforementioned clubs who will have to find a new partner, are already in financial dire straights, which saw them sell numerous key players and bring in no new recruits in the summer.
The likes of Real Madrid and Barcelona are already streets ahead of other Spanish clubs in terms of revenue and do not rely on commercial deals with gambling companies.
Thus far there is no indication that any club who struggles to replace their shirt sponsor before the deadline will be reimbursed by the government.
The Spanish Government has sent a letter to LaLiga clubs, obliging them to terminate all contracts with betting companies🧑⚖️
Clubs have until the 30th of August next year to terminate existing contracts 📆
7⃣ clubs have betting companies as their main shirt sponsor#LLL
— La Liga Lowdown 🧡🇪🇸⚽️ (@LaLigaLowdown) October 28, 2020