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Football (Amendment) Bill - Clause 1
23 April 2024
Lead MP
Ashley Dalton
West Lancashire
Lab
Debate Type
Bill Debate
Tags
No tags
Other Contributors: 57
At a Glance
Ashley Dalton raised concerns about football (amendment) bill - clause 1 in the House of Commons. Other MPs contributed to the debate.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Ashley Dalton
Lab
West Lancashire
Asked the Secretary of State to clarify how the Bill will ensure that football clubs effectively engage with fans and prevent fan voices from being ignored, referencing the 2021 fan-led review recommendations.
Questioned whether the regulator could decide to allow a club to move despite fan objections if it believed the decision was best for financial sustainability. Also asked about player welfare standards in relation to corporate governance.
Andrew Slaughter
Lab
Hammersmith and Chiswick
Expressed concern over the inequality between billionaire club owners and fans’ organisations, citing his experience with Queens Park Rangers, Chelsea, and Fulham. Questioned how the Bill would prevent future financial threats to clubs.
Asked if the Bill would ensure that clubs such as Leyton Orient would not be taken over by unsuitable owners who could jeopardize their welfare.
Expressed support for the legislation, noting its necessity and potential to prevent Worcester City from leaving Worcester again. Also questioned whether similar measures could be applied to other sports like rugby union.
Valerie Vaz
Lab
Walsall and Bloxwich
Asked about the regulators' power to intervene if owners are servicing debts in unrelated areas of their companies.
Questioned how competition would be promoted and ensured without regulatory powers over parachute payments, which could distort the pyramid structure.
Asked about precedents for regulation in other areas that consider community ties and fan involvement alongside financial matters.
Valerie Vaz
Lab
Walsall and Bloxwich
Valerie Vaz supports the inclusion of further regulatory measures for the women's game, suggesting a review by the hon. Member for Chatham and Aylesford to ensure its growth is supported appropriately.
Mark Hendrick
Lab Co-op
Preston
Mark Hendrick raises concerns about clause 55(2), which excludes parachute payments from revenue distribution orders by the regulator, and calls for clarification on its implications.
Clive Betts
Lab
Sheffield South East
Clive Betts emphasises the need to clarify how parachute payments are treated in discussions about revenue distribution until the backstop stage, suggesting the current phrasing is confusing.
Luke Evans
Con
Hinckley and Bosworth
Luke Evans questions Labour's approach to risk management in football investments, referencing the failure of Derby County as an example of high-risk investment failing.
Steve Brine
not specified party
Steve Brine asks for clarification on whether the Bill's focus on financial resilience supports FA cup replays, which Bristol Rovers sees as important for club viability.
Andrew Slaughter
Lab
Hammersmith and Chiswick
Andrew Slaughter highlights the community regeneration efforts of clubs like QPR through their Community Trusts, stressing that poor governance undermines these benefits.
Damian Collins
not specified party
Damian Collins notes the clarity in the Bill regarding the regulator's ability to enforce subjective tests on club rules and governance, indicating this as a significant change.
Robin Walker
not specified party
Robin Walker raises concerns about the verification of information provided by potential directors to regulators, suggesting that the regulator must have powers to intervene in cases of misleading information.
Tracey Crouch
Con
Chesham and Amersham
Ms Tracey Crouch argues for the necessity of the Bill in improving football governance. She discusses specific clauses such as defining 'ultimate owners', setting regulatory objectives, establishing a regulator with independence and agility, ensuring proper fan engagement, and protecting club heritage. She also raises concerns about potential overreach by the Premier League and emphasises the importance of clarifying definitions of 'relevant revenue' and 'material change'.
Several Members briefly interjected but their specific contributions are not detailed in the provided text.
Kevin Brennan
Lab
Cardiff West
Welcomes the Bill and highlights its importance for fair competition in football. Argues that Parliament has a history of legislating on football issues, citing his own private Member’s Bill. Emphasises the cultural significance of football in Wales and mentions the success of Cardiff City FC during his tenure. Acknowledges the need for regulation to prevent concentration of resources at the top tier of the game. Supports the regulator's backstop power to ensure fair competition and protect smaller clubs from being wiped out by pyramid payments. Calls on the Government to address players' rights, as currently not covered in the Bill.
Gosport
Welcomes the Bill, emphasises need for a regulator to bring stability to the game. Raises concerns about financial distribution and accountability of irresponsible owners. Calls for more detail on enforcement powers and how clubs will be safeguarded if an unsuitable owner is removed.
Mark Hendrick
Lab Co-op
Preston
Argues for an independent football regulator to ensure financial sustainability and equitable revenue distribution. Raises concerns about the disparity between Premier League clubs and lower league teams, highlighting that grassroots and women's football need more support. Emphasises the importance of a regulator with teeth to oversee club behaviour and intervene when necessary.
Martin Vickers
Con
Brigg and Immingham
Initially hesitant, now supports the Government’s plans for an independent regulator. Acknowledges the need to preserve the pyramid system to protect smaller clubs like Grimsby Town. Highlights the importance of financial stability and governance in football clubs. Supports the inclusion of fan consultation on club image changes.
Rupa Huq
Lab
Ealing Central and Acton
Welcomes the Bill for promoting financial stability and protecting smaller clubs from rogue owners, yet criticises it for not addressing equality, diversity, and inclusion issues. Emphasises the need to protect clubs' collective social and cultural heritage.
Praises the Bill's establishment of an independent regulator to ensure financial sustainability and fair revenue distribution across all levels of the football pyramid. Highlights the importance of protecting community clubs like Accrington Stanley, which serves as a local hub for community engagement.
Matt Rodda
Lab
Reading Central
Welcomes the Bill but highlights the financial mismanagement by Reading FC's owner, Dai Yongge. Argues for better tests and assessments of club finances to prevent similar crises in future. Supports a brighter future for football clubs with improved oversight and protection.
Welcomes the Bill's efforts to enhance fan engagement and address issues like financial mismanagement by reckless owners. Raises concerns about financial distribution, parachute payments, and proposes a survival fund in case of sudden owner withdrawal.
Tim Farron
Lib Dem
Westmorland and Lonsdale
He supports part 3 of the Bill on licensing but is concerned about financial oversight, particularly parachute payments. He proposes an amendment to bring back replays in the FA Cup. He also emphasises the need for redistribution of funds down the pyramid and acknowledges that the current distribution heavily favours higher league clubs. He questions whether the Government have listened to lobbyists or football fans.
Mark Hendrick
Lab Co-op
Preston
He intervened to point out that the Bill explicitly precludes a discussion of parachute payments when it comes to the regulator’s powers, indicating that the Government has avoided addressing this issue.
Erewash
Clarke-Smith supports the establishment of a football regulator due to perceived failures by existing bodies like the Football Association and Premier League. He cites specific examples, such as the scrapping of FA cup replays and the case of Gateshead FC unable to participate in play-offs, illustrating issues with current governance. Clarke-Smith emphasises the need for light-touch regulation that does not place an unfair burden on smaller clubs but also addresses competition issues between leagues. He supports a balanced approach without mission creep or excessive costs.
Jeff Smith
Lab
Manchester Withington
Welcomes the Bill, praising its potential to address the need for reform in football governance. Expresses concern about unsustainable spending by clubs and the financial dominance of the Premier League over EFL clubs. Supports the regulator’s objectives but suggests possible improvements such as addressing financial resilience of the pyramid and including parachute payments within redistribution powers. Emphasises the importance of fan engagement and decision-making powers, advocating for meaningful fan consent in club decisions.
Shaun Bailey
Lab
West Bromwich
Shaun Bailey supports the Football Governance Bill, emphasising its importance for his communities in the Black Country. He highlights the financial precariousness of football clubs like West Bromwich Albion and argues for an independent regulator to ensure sustainability and scrutiny of clubs. Bailey also criticises the inequity within the current football system and the impact on grassroots clubs. He supports the licensing regime introduced by the Bill but calls for detailed secondary legislation to prevent circumvention. Bailey stresses the community impact, citing the work of Albion Foundation in providing positive influences through sport. He advocates against opaque ownership structures that led to previous issues at West Bromwich Albion and asks the Minister to ensure no disparity between clubs up and down the pyramid.
Luke Evans
Con
Hinckley and Bosworth
[INTERVENTION] Luke Evans suggests a reconsideration mechanism where the Government can bounce decisions back to the regulator if they believe it has got something wrong, emphasising the need for balance between independent football governance and compliance with UEFA and FIFA rules.
[INTERVENTION] Rehman Chishti supports smaller clubs in his constituency such as Gillingham FC, advocating for Government intervention to ensure that the FA takes into account the needs of these smaller community-focused football clubs.
The measure is necessary but insufficient; the regulator needs more power and ambition. Football should be treated as more important than a business, with local communities at its heart. He criticised foreign ownership of Premier League teams, calling for fan ownership to protect clubs from foreign states. Emphasised the importance of lower division supporters getting replays against top clubs. Urged for an end to foreign investment in football clubs and supported the removal of Manchester United's owners.
Jim Shannon
DUP
Strangford
[Intervention] Commended George Galloway, stating that the Bill would be beneficial for all clubs and fans. Urged for Northern Ireland to also benefit from the guidelines in the Bill.
[Intervention] Agreed with George Galloway's point about regulated investment in smaller clubs enabling them to progress, rather than relying on foreign sovereign wealth funds.
James Sunderland
Con
Bracknell
Supports the Football Governance Bill, which seeks to establish an independent football regulator and protect the sustainability of English football. Emphasises the importance of light-touch regulation that balances protection against potential harm with maintaining the attractiveness of the game. Highlights examples of clubs that have faced difficulties due to poor governance and commends Reading FC fans for their support through challenging times. Advocates for strong regulatory measures, including banning unsuitable owners from being directors or by HMRC, addressing welfare provision for players, and expanding the Bill's scope to include national leagues and the women’s game.
Mike Amesbury
Lab
Weaver Vale
Welcomes the Second Reading of the Football Governance Bill, emphasising the need for an independent football regulator to address issues like unfit owners and poor governance. Mentions examples such as Bury FC, Bolton Wanderers, Derby County, and Reading FC. Argues against sovereign wealth funds owning English clubs due to human rights concerns. Supports sustainable financial plans with fan involvement.
Chris Green
Con
Heywood and Middleton
Supports the Football Governance Bill, highlighting its importance for the sport's sustainability. Expresses concern over parachute payments that may distort competition in football. Emphasises the need for an independent football regulator with strong powers to ensure financial stability throughout the pyramid.
Clive Betts
Lab
Sheffield South East
Supports regulation to ensure the Premier League's resources benefit the entire football pyramid. Criticises the current distribution of funds, where 25 clubs get 92% and others only 8%. Advocates for giving the regulator upfront decision-making power over resource distribution. Calls for wider consultation including fans, players, and grassroots. Expresses concern about the lack of fan consultation on ground changes. Highlights the importance of preserving football heritage like FA cup replays.
Intervened to stress the importance of competent club management, citing the example of Derby County's financial troubles despite having substantial funds initially. Raised concerns about post-acquisition management challenges.
Damian Collins
Con
Romford
Collins highlights concerns over past cases of clubs entering administration due to lack of intervention and oversight. He points out flaws in current governance, including inadequate checks on potential owners and transparency issues with investment funds. Collins argues for a regulator that can enforce competition rules and protect club heritage while ensuring financial sustainability.
Warrington North
Welcomes the establishment of the independent football regulator but calls for strengthening it to better protect players and staff, enhance financial sustainability oversight, ensure fair distribution of wealth, and increase transparency. She highlights concerns about the cost of tickets, lack of rigour in fit and proper persons tests, and issues with VAR and FA Cup regulations. Emphasises the need for consultation with players through existing mechanisms such as the Professional Football Negotiating and Consultative Committee.
James Wild
Con
North West Norfolk
Supports the Bill's objectives of financial soundness and safeguarding football heritage. Advocates for a light-touch regulator that avoids excessive intervention, emphasising that football is competitive and should not be reduced to technical analysis. Emphasises the need for proportionate regulation that does not impose undue costs on clubs, especially smaller ones. He supports clause 55 which allows parachute payments for promoted clubs. Encourages allowing clubs to convert loans into shares held by supporters' trusts.
Navendu Mishra
Lab
Stockport
Congratulates Stockport County FC on its recent success and encourages support for local football clubs. Supports reform of football governance to ensure a fair distribution of revenues, especially in light of EFL clubs losing £471 million during 2022-23 season. Calls for urgent implementation of an independent regulator to prevent further club collapses due to financial mismanagement.
Robin Millar
Con
Chelmsford
Supports the Bill despite initial reluctance. Emphasises the importance of putting fans' voices at the heart of football, mentioning local examples like Bangor City FC and Llandudno FC. Argues that community ties, sustainability, and ethical governance are essential and align with Conservative values.
Toby Perkins
Lab
Chesterfield
Welcomes the Bill, stressing the need for a regulator to ensure football’s sustainability. Highlights the unique position of football clubs as institutions deeply rooted in their communities but also subject to business risks. Cites examples from Chesterfield FC and other local teams to illustrate the impact of poor governance on club stability.
Peter Gibson
Con
Darlington
Supports fan-owned clubs, citing Darlington FC as an example. Argues that community ownership enhances financial sustainability and transparency. Emphasises the importance of putting fans first and protecting smaller clubs from inequality in TV income distribution.
Clive Efford
Lab
Eltham and Chislehurst
Critiques the Bill for not going far enough in empowering fans. Raises concerns about parachute payments, stating that they create an uneven playing field. Emphasises the need to give the regulator step-in rights and address issues of asset ownership.
James Daly
Con
Bury
Supports robust regulation to prevent situations like Bury FC's collapse. Criticises current fit and proper person tests, advocating for stricter financial sustainability requirements before club ownership approval.
Ian Byrne
Lab
Liverpool West Derby
Byrne argues that football supporters are too often an afterthought and that there is a criminal lack of investment in grassroots football. He raises concerns about significant ticket price increases amid the cost-of-living crisis, which threatens the loyalty and financial stability of working-class fans. Byrne supports the inclusion of fan engagement structures within the Bill as it reflects the actions of Liverpool’s fan-led model.
Firth welcomes the Bill, particularly highlighting its necessity for clubs like Southend United to have protection from unscrupulous owners. She emphasises the need for a mechanism to reward good owners and supporters’ trusts for their contributions to the community. Firth also calls for the regulator's power to mediate in matters beyond financial issues and advocates for preserving FA cup replays.
Rachel Hopkins
Lab
Luton South
Hopkins supports the creation of a new independent football regulator to protect and promote the sustainability of English football. She raises concerns about past mismanagement in Luton Town, including financial instability due to poor business practices by previous club owners. Hopkins highlights the need for fair financial distribution between the Premier League and lower divisions to ensure sustainability. She also emphasises the importance of engaging with fans and ensuring that a person with a conflict of interest cannot be on the expert panel board.
Roger Gale
Con
Herne Bay
Gale's speech is brief and introduces the Front-Bench speakers, indicating he does not provide extensive arguments or position on this specific clause.
Barnsley South
Supports the Football Governance Bill, highlighting its importance in ensuring financial sustainability and integrity within English football. Emphasises the need for fan involvement and stringent testing of club owners' credentials. Discusses issues such as unauthorized entry to matches, FA Cup replays, and the challenges faced by grassroots clubs. Questions the Minister about the strength of measures for fans within the Bill and the regulator's powers to ensure sustainability throughout the football pyramid.
Tracey Crouch
Lab
Chatham and Aylesford
Asked an intervention about clause 55, which includes international broadcast income as part of the relevant revenue for redistribution. She sought clarification on whether this interpretation was correct and if it had been discussed with the Premier League.
Clive Betts
Lab
Sheffield South East
Requested an intervention, likely to ask a follow-up question or seek clarification on points raised earlier. No specific argument provided in the given text.
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