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Wonga adverts dropped by Football League Wonga adverts dropped by Football League
(about 17 hours later)
Premier and Football League clubs will no longer carry advertising for the high-cost lender Wonga on their websites.Premier and Football League clubs will no longer carry advertising for the high-cost lender Wonga on their websites.
The move follows a campaign by football fans, led by Northampton Town supporter Bob Ward, calling on clubs to stop carrying ads for the lender, which charges 4,214% APR for short-term online loans.The move follows a campaign by football fans, led by Northampton Town supporter Bob Ward, calling on clubs to stop carrying ads for the lender, which charges 4,214% APR for short-term online loans.
More than 80 sides use a website platform carrying advertising negotiated by the league through an internet subsidiary: last season this advertising included promotion of Wonga's loans.More than 80 sides use a website platform carrying advertising negotiated by the league through an internet subsidiary: last season this advertising included promotion of Wonga's loans.
But a league spokesman said: "The Football League's website advertising agreement with Wonga.com concluded at the end of the 2011/12 football season. It is not currently envisaged that this agreement will be extended." He said the short-term deal had run from December 2011.But a league spokesman said: "The Football League's website advertising agreement with Wonga.com concluded at the end of the 2011/12 football season. It is not currently envisaged that this agreement will be extended." He said the short-term deal had run from December 2011.
Wonga is the highest profile of about 200 payday loans firms which are the subject of an investigation by the Office of Fair Trading. High cost – or payday – lenders have attracted criticism from MPs and consumer groups for targeting low-income customers who often end up rolling over their borrowing and accruing huge charges.Wonga is the highest profile of about 200 payday loans firms which are the subject of an investigation by the Office of Fair Trading. High cost – or payday – lenders have attracted criticism from MPs and consumer groups for targeting low-income customers who often end up rolling over their borrowing and accruing huge charges.
In March supporters from 18 different clubs wrote an open letter to the Guardian, calling on their sides to stop carrying Wonga advertising. Ward and Scunthorpe United supporter John Flanagan also tabled a motion to be debated at the Football Supporters Federation AGM in July 2012, asking the League and the FLi not to renew the website contract with Wonga until the payday loans industry was subject to strict controls and a cap on interest rates.In March supporters from 18 different clubs wrote an open letter to the Guardian, calling on their sides to stop carrying Wonga advertising. Ward and Scunthorpe United supporter John Flanagan also tabled a motion to be debated at the Football Supporters Federation AGM in July 2012, asking the League and the FLi not to renew the website contract with Wonga until the payday loans industry was subject to strict controls and a cap on interest rates.
Labour MP Stella Creasy, a fierce campaigner against high cost lenders which she describes as "legal loan sharks", called for people to join the FSF so they could vote at the AGM and "show Wonga the red card".Labour MP Stella Creasy, a fierce campaigner against high cost lenders which she describes as "legal loan sharks", called for people to join the FSF so they could vote at the AGM and "show Wonga the red card".
Ward welcomed the announcement, saying: "Some 12% of the FLi [Football League interactive] website's demographic is under 18 – that means one person in eight being exposed to these revolting adverts is not even an adult. The Football League and Wonga may say this is strictly a business decision but I can't help thinking that in some small way the campaign is responsible for this."Ward welcomed the announcement, saying: "Some 12% of the FLi [Football League interactive] website's demographic is under 18 – that means one person in eight being exposed to these revolting adverts is not even an adult. The Football League and Wonga may say this is strictly a business decision but I can't help thinking that in some small way the campaign is responsible for this."
A spokesperson for Wonga said: "We had a small advertising deal with the Football League which ended at the end of the 2011/2012 football season. We will continue to assess all opportunities and sponsorship deals for next season."A spokesperson for Wonga said: "We had a small advertising deal with the Football League which ended at the end of the 2011/2012 football season. We will continue to assess all opportunities and sponsorship deals for next season."
It is understood that Wonga was disappointed with the new business generated by the FLi website advertising. Credit card provider Capital One, which recently announced its , is expected to start advertising through the FLi website platform in July, although the Football League and Capital One refused to confirm this. It is understood that Wonga was disappointed with the new business generated by the FLi website advertising. Credit card provider Capital One, which recently announced its sponsorship of the League Cup, is expected to start advertising through the FLi website platform in July, although the Football League and Capital One refused to confirm this.
It is not the first time one of Wonga's advertising deals has ended following criticism. In January 2011 Transport for London excluded Wonga and other high cost lenders from its sponsorship deals following bad publicity of Wonga's sponsorship of free travel on New Year's Eve 2010.It is not the first time one of Wonga's advertising deals has ended following criticism. In January 2011 Transport for London excluded Wonga and other high cost lenders from its sponsorship deals following bad publicity of Wonga's sponsorship of free travel on New Year's Eve 2010.
Wonga is a prolific advertiser on TV, radio and the sides of London buses: it also sponsors two football clubs Blackpool and Heart of Midlothian and says it is committed to continuing these relationships. This means it is unlikely to be the last that Wonga hears of Ward and his fellow supporters. "There is still a payday lender involvement with football clubs so the campaign still has legs," he said.Wonga is a prolific advertiser on TV, radio and the sides of London buses: it also sponsors two football clubs Blackpool and Heart of Midlothian and says it is committed to continuing these relationships. This means it is unlikely to be the last that Wonga hears of Ward and his fellow supporters. "There is still a payday lender involvement with football clubs so the campaign still has legs," he said.