Resentment in South Africa over government’s £42.5m deal with Tottenham
From next season, South Africa will be promoted as a tourist destination on kit branding, interview backdrops and match-day advertising in a three-year agreement, sources at the club confirmed
Tottenham Hotspur have secured a three-year £42.5 million shirt-sleeve sponsorship deal with the South African government — despite the country considering a state of disaster due to record power cuts.
For Spurs, the deal is an improvement on the £10 million per season they earn from their current sleeve sponsor, the online car dealer, Cinch. However, in South Africa, the deal — which is expected to be signed in London this week — has been received with anger and shock.
President Cyril Ramaphosa is considering declaring a state of disaster over record power cuts that are crippling the economy and worsening poverty.
The International Monetary Fund and other analysts have downgraded their forecasts for South Africa this year as homes and businesses are plunged into darkness for up to 12 hours a day.
The IMF blamed the blackouts as it projected the economy will grow 1.2 per cent this year, less than half its growth last year.
However, it was noted that before voting to go ahead with the deal, SA Tourism board members had raised concerns at the risk of Spurs being relegated to a lower division during the contract that expires at the end of the 2026-27 season.
Sleeve sponsors have been permitted in the Premier League since the 2017-18 season. In 2018, President Paul Kagame of Rwanda negotiated a £10 million deal with Arsenal, his favourite club, which was similarly controversial. His budget is almost entirely reliant on overseas aid.
From next season, South Africa will be promoted as a tourist destination on kit branding, interview backdrops and match-day advertising in a three-year agreement, sources at the club confirmed.
SA Tourism, the state’s marketing agency, cited existing deals between Rwanda and Arsenal, and Abu Dhabi’s sponsorship of Manchester City as models to emulate, according to documents published by Daily Maverick news website.
“If SA Tourism does not grab this opportunity, a competing DMO [destination management organisation] will!” stated a presentation by SA Tourism to justify the deal. It said the plan was essential “to break through the noise and reclaim our position in the global travel community” after pandemic travel restrictions battered the tourist sector.
Documents noted that Spurs had links to South Africa via the former players Mbulelo Mabizela, Steven Pienaar, and Bongani Khumalo. The team would also hold training camps in South Africa as part of promoting it as a destination.
