Commons Sense

House of Commons · Westminster Hall

Football Governance — [Yvonne Fovargue in the Chair]

25 November 2020 · 7 other contributors · 14,059 words

Opened by Clive Efford Lab Eltham and Chislehurst

Responding minister: Nigel Huddleston

Summarised by AI from the official record, so it can contain mistakes.

At a glance

Clive Efford raised concerns about football governance — [yvonne fovargue in the chair] in Westminster Hall. A government minister responded.

Key points

  • Speaker raises concern over wealth inequity in football, citing 1.2 billion spent by Premier League clubs on transfer fees while EFL clubs struggle.
  • Calls for an independent review of football governance involving all stakeholders, including fans and the EFL.
  • Minister confirms government funding of 1.5 billion to the sports sector and commitment to a fan-led review of football governance.

Key requests to Government

The speaker calls for an independent review of football governance involving all stakeholders, including fans and the English Football League. He asks if the Minister has seen the terms of reference for the Premier League's strategic review and if other clubs have a say in its future decisions.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Clive Efford Lab Eltham and Chislehurst

The speaker is concerned about the inequity in wealth distribution within football, with Premier League clubs spending £1.2 billion on transfer fees while English Football League clubs struggle during the crisis. He mentions that too much money goes into players' wages and highlights issues of corruption and bad actors who exploit vulnerable clubs. The Bury debacle exemplifies problems needing stronger governance rules to protect against criminality in football.

Other contributors (7)
  • Alex Chalk Con Cheltenham

    The MP discusses the complexity surrounding Bury Football Club, noting that while there were issues before individuals of concern became involved, the Taylor Review demonstrates that rules need changing to give the EFL power to deal with such situations.

  • Alison McGovern Lab Birkenhead

    The MP discussed the importance of regulation in football, particularly regarding ownership issues and financial stability during the pandemic. She highlighted the need for a fan-led review to address structural problems within the game and ensure clubs' survival through critical times like the current pandemic. Is the Minister able to put the review's terms of reference into the public domain?

  • Christian Wakeford Lab Bury South

    Wakeford expressed concerns over the detrimental effects of certain ownership methods on football clubs and communities, citing Bury's demise as an example. He highlighted the absence of a fit and proper person test for club owners in lower leagues and advocated for fan involvement in governance to ensure their interests are represented. Although I welcome the announcement on tiers 1 and 2, areas such as mine are anticipating going into tier 3. Will the Minister ensure that football can come home for Christmas?

  • Damian Collins Con Folkestone and Hythe

    Mr Collins highlighted the unresolved issues in football governance, emphasizing the need for financial sustainability and community involvement. He criticized the fractured nature of the sport with different sets of rules among the Premier League, Football League, and FA, leading to a lack of accountability and regulation. He proposed the creation of an independent regulator with statutory powers, similar to models in Spain, France, and Germany, to ensure compliance with financial regulations. He highlighted the issue of football clubs being regulated by their peers, leading to a lack of external oversight and accountability. He cited Bury Football Club as an example where such governance failed. I think we are all pleased to hear the Government say that there are conditions under which fans can come back, but does the Minister agree that it could be unfair for clubs without their fans to compete against those with them? What financial compensation will be available?

  • James Daly Con West Lancashire

    The EFL had no interest in protecting the interests of thousands of Bury fans and disregarded the social and economic impact of abandoning the club. Does the hon. Gentleman think there is a strong case for financially powerful and sustainable clubs, such as Manchester United, taking a charitable view with neighbouring clubs that are struggling financially and need direct help? Bury is approximately half an hour from Old Trafford. Daly discussed the impact of losing Bury football club on the local community. He argued for statutory regulation to protect fan interests, especially in light of unsustainable business models and financial mismanagement by club owners.

  • Justin Madders Lab Ellesmere Port and Bromborough

    Madders highlighted the disparity between grassroots football funding and commercial revenue in the Premier League, noting that despite £600 million invested in grassroots over two decades, this is less than one transfer window expense. He also criticised the ownership model at Manchester United, where £1 billion has been extracted by owners since 2005, suggesting such practices should be banned for future reforms. Madders expressed concern over Project Big Picture's preferential voting rights proposal, which he felt would entrench an uneven playing field and pave the way for a European super-league.

  • Zarah Sultana Your Party Coventry South

    Zarah Sultana highlighted the importance of Coventry City Football Club to the community, emphasizing the need for fans to have a greater say in club governance. She cited examples where financial instability and lack of ownership led to the club playing matches outside of Coventry, affecting local fans. Additionally, she expressed concern over the financial impact of the pandemic on the English Football League and called for government support and reforms that prioritise fan involvement.

Government Response

Nigel Huddleston

The Government has provided significant funding to the sports sector since the start of the pandemic, including £1.5 billion in public funds and a £300 million winter survival package. Efforts are being made for the Premier League and EFL to agree on a financial support package for clubs. The Minister is committed to conducting a fan-led review of football governance and will ensure that stakeholders, including fans and women's football representatives, are involved in the process. He also highlighted initiatives to improve diversity and tackle discrimination within football.

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