FCA warns football clubs over 'questionable' sponsorship deals

(Sharecast News) - The Financial Conduct Authority said on Wednesday that it has warned football clubs - mainly in the Premier League - over their sponsorship relationships with a number of unauthorised firms, including crypto businesses and trading platforms.

The watchdog said these unauthorised firms may be breaching UK financial services laws by providing financial services in the UK without authorisation. It cautioned that football fans using these firms risk losing all their money.

The FCA said in a statement that it has written directly to football clubs to warn about their relationships with these firms and remind them of their responsibilities to fans.

The watchdog said it expects every football club to conduct proper due diligence on financial services sponsors before signing, and on an ongoing basis.

Lucy Castledine, director of consumer investments at the FCA, said: "Millions of football fans trust their club's badge. Clubs should not let unauthorised financial firms exploit that loyalty by putting potentially dodgy products in front of millions of fans.

"A logo on a shirt means one thing: that firm paid for it. Fans should always check the firm using our Firm Checker tool before buying a financial product and help us show the red card to those that would risk your money."