Betting firm SportPesa has indicated that it will withdraw all its sponsorships on Kenyan clubs and unions from January 1.

This has been confirmed by the firm's CEO Ronald Karauri on Friday in a tweet citing new tax bill coming into effect on January 1st 2018 which recommends that tax on betting, lotteries and gaming activities should be at 35 per cent.

It will be a blow to Kenyan Premier League clubs Gor Mahia and AFC Leopards who have been sponsored by the company.

It will also affect National Super League side Nakuru AllStars and Football Kenya Federation. Kenya Rugby Union, Boxing Association of Kenya and grassroots super eight leagues and tournaments will also be dealt a big blow by the exit.