Government action: English football gets regulator

Status: 02/23/2023 08:36 a.m

The UK government has announced the creation of a regulator of English football. The finances should be monitored more closely and clubs should be prevented from participating in a Super League. The Premier League has criticized the plan.

The British Department for Culture, Media and Sport announced the establishment of the authority in a message. The new body will be given extensive powers once it has been set up and will have a say in key issues in the top five leagues of men’s football:

  • Club owner: The examination for owners and board members of the clubs is to be expanded. The sale of stadiums and the relocation of clubs should also require approval from the authority.
  • Finances: Clubs are to go through a new licensing process, the aim being “solid financial business models and good corporate governance” by the clubs. Most recently, FC Bury was forced to relegate, FC Macclesfield was dissolved due to tax debts, and Derby County was relegated to the 3rd division after a point deduction in bankruptcy proceedings.
  • co-determination: Fans should be given the opportunity to participate in the decisions of the clubs. The aim is to prevent owners from changing the colors or logos of the clubs, as happened with Cardiff City, for example.
  • Super League: In England, protests against the Super League 2021, in which six Premier League clubs wanted to take part, were particularly strong. The independent regulator should be given the power to prevent clubs from participating in such leagues in general. The Premier League is currently threatening breakaway clubs with a 35 point deduction in the table.
  • money distribution: If interest groups do not agree, the authority could also influence the distribution of money – for example with the financing of the lower leagues by the Premier League, which is currently disputed.

“Our plans will ensure clubs manage their finances responsibly”said responsible Minister Lucy Frazer. “They will prevent unscrupulous owners from treating clubs as commodities rather than the beloved commons that they are.” A time frame for the establishment of the authority was not mentioned.

Not mentioned for now: human rights issues

The communication did not state whether human rights issues should also be anchored in the review of club takeovers in the future. The sovereign wealth fund from Abu Dhabi bought Manchester City in 2008, and the sovereign wealth fund from Saudi Arabia took over Newcastle United in 2021.

Manchester United may soon get Qatari owners. The problematic human rights situation in these countries has so far played no role in the takeover of the clubs. Human rights organizations such as Amnesty International have criticized this.

Premier League criticizes: “We are becoming a state-regulated industry”

The Premier League expressed restraint. In a statement it saidthe League will carefully review the government’s plan, “after which England will become the first major nation to make football a state-regulated industry”.

Structural restrictions by the authorities are obviously not desired in the league. “It is vital that the regulator does not interfere with our ability to attract investment and increase interest in our game”, it said. One will have to make sure the plans “does not lead to unintended consequences which could reduce the Premier League’s competitiveness”.

Fan alliance: “Proposal addresses our main concerns”

However, the plan is approved by the Football Supporters Association (FSA), a nationwide fan alliance. “We warmly welcome the Government’s historic commitment to establish an independent regulator of English football”said FSA Chief Executive Kevin Miles.

The proposal goes “Clearly speaks to our key concerns around ownership, rogue competitions and sustainability. And of course we support any proposals that offer fans a greater say in the governance of their clubs.”

Parliamentarian Crouch had proposed the authority

Conservative MP Tracey Crouch proposed the authority. After the Super League 2021 was announced and canceled, she led an investigation into the administration of English football and called the establishment of the authority a necessary consequence. She spoke of “a great day for football in our country”.

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