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Government says it is "encouraged" by the number of applicants for marketing licences

Exclusive: The Department of Culture, Media and Sport has told CN they are “pleased” that the British Olympic Association is reviewing declined licence marketing applications, after CN revealed that almost a fifth of applicants had been rejected.

“We want companies who played crucial roles in the success of London 2012 to be able to promote their involvement in one of the biggest projects this country has delivered,” the spokesman said.

“We are encouraged by the number of suppliers taking advantage of the easing of marketing restrictions post Games, and urge thousands more that are eligible to follow suit.”

Chuka Umunna this week demanded action in parliament after CN revealed that a fifth of Olympic suppliers applying for licences to market their work - including materials and supply giant Aggregate Industries - had been turned down.

The shadow business secretary called for ministers to address the “unsatisfactory” Supplier Recognition, calling CN’s findings “greatly concerning”.

“We want to see this put in place without more delay and ministers must address the ongoing problems that have emerged”, he said.

In January this year, firms were offered a chance to apply to lift the much-resented Olympic marketing licensing ban, allowing companies that worked on the 2012 Games to advertise their work abroad, at trade shows and award ceremonies.

However, as CN reported at the time, the lifting of restrictions does not extend to rivals of suppliers in the worldwide sponsor categories, at the request of the International Olympic Committee.

The DCMS spokesman continued: “The BOA has been clear that in a limited number of categories some companies will be unable to be granted a license to protect the rights of IOC top sponsors that help pay for the Games.”

“But we are pleased that the BOA are willing to reconsider applications from firms who strongly believe they do not breach that licence condition.”

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