Key Facts

• The statement discusses clauses 28 to 31 of the Football Governance Bill.
• New clause 3 introduces a licensing condition requiring club owners to commit to long-term use of football grounds.
• Amendment 12 seeks to specify an end date for determination periods as soon as is reasonably practicable.
• Clause 32 sets a statutory deadline for determining suitability of new football club owners and directors.
• Determination periods will be established in secondary legislation by the Secretary of State.
• The regulator can extend the determination period if more information is needed.
• The clause places a duty on incumbent owners and officers to notify the regulator about any material change in circumstances that may affect their suitability.
• If an officer becomes subject to criminal or relevant civil proceedings, it constitutes a material change in circumstances requiring notification.
• The Government has responded to the fan-led review's recommendation for staggered reviews by allowing immediate action if there is new cause for concern.
• Caroline Nokes is discussing amendments to Clause 37.
• The amendment seeks to replace 'must' with 'may' regarding the regulator's consideration of foreign and trade policy objectives.
• There are more than 600 agencies under the Department for Culture, Media and Sport.
• Clause 37 requires the regulator to consider determinations from competition organisers and foreign policy.
• The clause has caused concern about undue political interference in club ownership decisions.
• Amendment 1 suggests changing 'must have regard' to 'may have regard'.
• The speaker requests further guidance on how the regulator will be informed of foreign and trade policy objectives.
• Caroline Nokes supports clause 37(3) and (4) of the Football Governance Bill.
• The current Premier League and English Football League owner and director test allows one bankruptcy event.
• Southend United FC has had 19 winding-up petitions in the last 25 years.
• MP Caroline Nokes addresses clauses 38 to 44 of the Football Governance Bill.
• The discussion focuses on disqualification orders and related provisions.
• Clause 38 allows the regulator to disqualify an individual from being an owner or officer at any regulated club if found unsuitable.
• Clauses 39, 40, and 41 detail processes for removing unsuitable owners or officers, prohibiting activities of those individuals, and safeguarding clubs against further damage.
• Clause 42 enables the regulator to appoint interim officers or require redistribution of responsibilities when necessary.
• Clause 44 sets out a process for issuing ownership removal orders with provisions to ensure costs are borne by the unsuitable owner.
• Amendment 21 aims to expand the list of those consulted by the IRC.
• Amendment 22 proposes adding 'and the full impacts of such a decision' after 'prohibited competition'.
• Amendment 13 suggests inserting '(aa) professional football players,' into clause 45.
• Amendment 21 aims to prevent teams from participating in prohibited competitions.
• The European Super League triggered recognition of the need for better regulation in football.
• Players and fans are crucial groups in football, as stated by Ben Wright from the PFA.
• Amendments 21 and 13 aim to include professional football players and club staff in consultations under clause 45.
• The regulator is required to consider views of fans about prohibited competitions, with discretion over other stakeholders.
• The Bill seeks to prevent regulated clubs from entering teams into competitions that the regulator has prohibited.
• Caroline Nokes is discussing Clause 46 and supporting it.
• Amendment 29 would require regulated clubs to consult fans about potential harm to club heritage.
• Nokes supports Clause 48 standing part.
• Troubled Sheffield Wednesday sold Hillsborough to its owner for £38 million profit.
• Reading and Derby both sold their grounds under similar circumstances.
• Wimbledon FC's home was moved to Milton Keynes, renaming the club.
• Tottenham fans benefit from a new state-of-the-art ground.
• Clause 46 and clause 48 lack fan consultation rights.
• Clause 48 of the Football Governance Bill requires regulator approval for a relocation if it does not undermine financial sustainability or cause significant harm to the club's heritage.
• Amendment 29 seeks to ensure that fans are consulted on these issues.
• The Minister argues that existing mechanisms will ensure proper consultation.
• The clause applies to regulated clubs and those unregulated but with a history of regulation within five years.
• Clubs must obtain regulatory approval before selling their home ground or using it as security.
• Regulator approval is required for club-appointed administrators to prevent conflicts of interest.
• Fans' views are an important consideration for the regulator when assessing proposed changes.
• Clause 49 requires a club to establish that a majority of domestic supporters approve any material changes to its badge or predominant home shirt colours.
• The Football Association must approve prior to changing the name under which the team plays.
• The FA considers the view of supporters but may balance wider considerations such as effects on other clubs in the pyramid and local association.
• Smaller clubs feel that regulation must be proportionate.
• Amendment 30 seeks to clarify that the levy should be a percentage of annual revenue.
• The Government identified that Premier League clubs could pay about 80% of the cost, with the six richest clubs taking on 50% of the total cost.
• Amendment 23 will correct a cross-reference in the Bill.
• Clause 54 outlines duties for notifying and consulting the IRC when a relevant league believes or suspects a club has breached rules related to the regulator's regime.
• The clause also requires consultation with the regulator before changing competition rules that are relevant to the regulator’s regime.
• Amendment 31 is proposed to clause 55.
• IFR must ensure that rules further its objectives under section 6 by protecting financial soundness and promoting financial resilience of English football.
• IFR should avoid adverse effects on sporting competitiveness, competitive balance among clubs, and financial investment in English football.
• The Bill states parachute payments are exempt from backstop stage consideration.
• 80% of Premier League's distribution to EFL is in parachute payments.
• Media money goes primarily to 25 clubs.
• The gap between Premier League and EFL revenues has grown from 75% in 1992 to just 6% today.
• Parachute payments have risen from £30 million to £233 million between 2010 and 2020, an eightfold increase.
• The top 25 clubs received 92% of total distributable revenue last season.
• Parachute payments are contractual arrangements made by the Premier League to clubs upon relegation.
• If a club is promoted back up immediately after being relegated, year-two and year-three parachute payments do not go to the Football League but return to the Premier League.
• The regulator's focus is on financial sustainability rather than promoting competition in the Championship.
• Parachute payments are a necessity for sustaining competitive balance between leagues.
• Concern exists over potential wage inflation in the Championship if more money is distributed through parachute payments.
• The Premier League aims to maintain competitiveness but not at the expense of perpetuating a closed league system.
• The regulator can introduce discretionary licence conditions on clubs receiving parachute payments.
• Parachute payments protect clubs from bankruptcy upon relegation.
• Clause 55 sets out an overview of backstop powers and defines relevant revenue as including broadcast revenue.
• Amendment proposed to clause 55 of the Football Governance Bill.
• Question put for the amendment resulted in 6 Ayes and 9 Noes, negating the amendment.
• Clause 55 ordered to stand part of the bill.