Carphone Warehouse chief executive Charles Dunstone said: 'Our concern has rapidly mounted about the broadcast behaviour of individuals within the Big Brother house. We are totally against all forms of racism and bullying and this behaviour is entirely at odds with the brand values of Carphone Warehouse. As a result, we feel that as long as this continues we are unable to associate our brand with the programme.
'We had already made it clear to Channel 4 that, were this to continue, we would have to consider our position. Nothing we saw last night gave us any comfort. Accordingly, we have instructed Channel 4 to remove our sponsorship name and branding with immediate effect.'
The retailer has sponsored Big Brother since 2004, for an estimated£3 million a year. However, TV watchdog Ofcom has received a record 14,500 complaints about the treatment of Bollywood star Shilpa Shetty.
The allegations centre around housemates Jade Goody, Danielle Lloyd and Jo O'Meara, who have been accused of bullying Shetty and making racist taunts.
According to reports, The Perfume Shop has also announced that it will be suspending sales of Jade Goody's perfume, called Shh - Jade Goody, while she remains in the Big Brother house.
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