(6 days, 17 hours ago)
Commons ChamberFootball is not just an important cultural institution in Britain, but one of our great successes and our most successful export. I accept that the Government have only the best of intentions in wanting to set up an independent regulator and I am sure Labour Members genuinely believe this Bill will achieve good things, but I fear they are mistaken.
I fear that the regulator will hinder growth in a sector that should be powering our economy forward instead of being held back by red tape and political interference. The Prime Minister says he wants to reduce the number of quangos yet has set up 41 new ones in his first eight months in office. That is because this Government’s first instinct is always to regulate first and ask questions later. How long will it be until an independent cricket regulator is proposed, and perhaps rugby after that—we could have two, one for union and the other for league?
I believe we should make a different choice: we should accept that the state already does too many things in our country and does many of those things not very well. I believe that we should limit the role of the state to a smaller number of areas and demand that it performs those roles better.
This Bill threatens the future health of English football. Labour’s changes to the remit of the regulator will impose a significant regulatory burden, which will be felt particularly harshly by lower league clubs. The ultimate cost will be borne by the fans. Ticket prices, already rising on average by 7% this season, will rise further. Compliance costs for clubs are estimated at £35 million; that is money that could be spent on football instead of compliance. Is that really a good use of money?
The operational costs of the regulator are estimated to be £97.9 million, all funded through a new levy. Small clubs will struggle under the burden. What the Government are saying is that they want to take £130 million out of the game and spend it on administration. That means that the cost of Labour will yet again be felt by working people, despite what the Government claim.
I am fully aware that it was a Conservative Government who launched the fan-led review into football governance chaired by Dame Tracey Crouch. That review made targeted recommendations for an independent regulator, focused solely on financial stability and protecting club heritage. The previous Football Governance Bill, introduced last year, tried to strike that careful balance. While I would have had questions about that Bill, I have even more significant concerns about this one. That is because Labour’s version is a different beast. It has expanded the regulator’s remit to cover parachute payments, solidarity payments, fan engagement mandates, new spending controls, and unnecessary diversity, equality and inclusion reporting.
This Bill will take £130 million out of football and spend it on administration. It will expand the role of the state into a sector that is commercially successful and where that intervention is unnecessary. It is more Government at a time when we need less, and that is why I shall oppose this Bill tonight.
Order. As hon. Members can see, a number of Members still wish to speak, so the time limit will be reduced to three minutes after the next speaker, Jon Pearce.
(2 months ago)
Commons ChamberI am sure that there are one or two good parts to this Finance Bill, but the hon. Gentleman was elected on a manifesto pledge to increase spending by £11 billion, and that was fully costed, yet this Finance Bill increases spending by £70 billion. I just wonder why he and his hon. Friends did not have the courage to put that before the British people at the election.
Small and medium-sized enterprises and the hard-working entrepreneurs who run them are the backbone of our economy, and they are the victims of this Finance Bill. In constituencies such as Bridgwater, where SMEs are key to local prosperity, the Government have imposed a huge national insurance hike that will make it more expensive to employ people. This rise, which breaks Labour’s manifesto commitment not to raise national insurance, will cost SMEs £732 more per year for every employee earning £20,000. This tax on jobs will stifle growth and lead to higher unemployment. The rise in national insurance is especially damaging to those in the healthcare sector, and the proposed amendments will help to assess the damage that that causes. Last week, representatives from the social care—
Order. In the interests of complete impartiality, I want to make sure that all Members are aware that they have to speak to the amendments as proposed in this Finance Bill, not any other amendments that they might wish had been proposed.
I am grateful for your guidance, Madam Deputy Speaker.
People in the social care sector in Bridgwater were particularly concerned that the national insurance contributions rise had not been subject to an assessment. Assessing the damage that it and the other tax rises will do is therefore critical to the successful implementation of this Finance Bill.