Police and Islington council are investigating a report of badges being sold outside Arsenal’s Emirates Stadium that read “Keep Calm, Hate the Yids!”.

A Metropolitan Police spokesman said: “A report detailing the sale of the badges was completed. There have been no arrests. Inquiries are continuing.”

A council representative said officials would be sent to inspect what vendors outside the ground are selling.

“We will take action. We will bring them to the panel and they could lose their licence,” she said.

The badges were spotted last weekend by a Jewish Arsenal fan who wished to remain anonymous.

Supporters of Arsenal’s rival club, Tottenham Hotspur, refer to themselves as Yids. Three Spurs fans are currently awaiting prosecution over charges relating to use of the word.