Football Governance Bill [Lords]

Baggy Shanker Excerpts

2nd reading
Monday 28th April 2025 Commons Chamber

[Baggy Shanker (Derby South) (Lab/Co-op)]

In Derby, our football club is not just a team; it is at the heart of our community, uniting us across generations. Derby and Derby County have a rich footballing heritage, heroes to inspire us and a bright future ahead, but the future has not always looked so bright. In 2021, we entered administration. Fans were left on a constant cliffhanger as administration negotiations dragged on and offered little clarity. We were celebrating that the club had been bought one day, only to find that the promised funds had not arrived the next. Thankfully, local man and fan David Clowes stepped up to ensure that generations of fans to come will be able to enjoy a Saturday afternoon at Pride Park. As he has said,

“We would never want to see another club and its fans suffer in the way Derby did both before and during the period of administration. Anything that can prevent that, including this Bill, should be supported and applauded.”

Up and down the country, from Birmingham to Burnley, fans are rightly proud of their clubs. Despite that fan base, it is not just Derby County facing financial peril: EFL clubs across the country will lose around £450 million this season. This financial instability undermines the clubs that unite our communities, risking the matchday magic for fans. That is why I welcome the Government’s plan to introduce an independent football regulator through this strengthened Bill. It is right that clubs are required to stick to tough financial regulations, and that the independent football regulator will ensure a fair distribution of revenue. Having experienced Derby County’s separation from its stadium, I know it is right that clubs will have to seek approval to sell or relocate from their home ground. This Government recognise that a stadium, such as Pride Park in Derby, is a huge asset to fans.

When interviewed on the opening day of his first season as chairman, David Clowes was asked what he wanted Derby County to stand for. His response was “stability, integrity and progress”, which is exactly what the Bill stands for: stability, integrity and progress, to preserve and protect the game we all love.

Football Governance Bill [ Lords ] (Fifth sitting)

Baggy Shanker Excerpts

Committee stage
Tuesday 10th June 2025 Public Bill Committees

[Mr French]

I will not rehash the debate we have already had on the amendment. We were seeking greater transparency and a greater say for clubs at risk of losing their licence, which, as I have explained, is the ultimate sanction and would cause enormous damage to clubs and the communities in which they operate through job losses, and impact on the game and on fans. I would appreciate the Minister giving more clarity on how this will work in practice. These situations are hypothetical, but realistic, and would have serious consequences for not just the individual clubs, but the leagues and how they operate.

We believe strongly that promotion and relegation should be based on competition on the pitch. However, in the extreme example of a club breaching the licence so significantly that it is revoked, which might more realistically happen at the lower end of the pyramid, we need to have a greater understanding of what that means for relegation. All clubs deserve transparency in that regard. We have seen much speculation in recent years around change of ownership—I will not mention the clubs involved as some of the legal cases are ongoing—what that might mean for relegation and the significant financial consequences it may have for other clubs. It would be greatly appreciated if the Minister provided guidance on that in writing so that all Members can have a greater understanding of how it will work in practice.

[Baggy Shanker (Derby South) (Lab/Co-op)]

Will the Minister say whether a good licensing regime and, if necessary, revocation of licences would prevent clubs from going into full administration—as in the example of Derby County that my hon. Friend the Member for High Peak described—and the knock-on effect of that on supporters, suppliers and the local community? A licensing regime should prevent full administration and be able to deal with problem clubs at a much earlier stage.

[Stephanie Peacock]

My hon. Friend raises an important constituency point. I do not want to comment on particular clubs and predict the action the regulator may or may not take. We hope that the Bill will raise the bar across the board and prevent clubs from getting into difficulty, but I do not want to be drawn on the specifics.

We have been clear that this is not a zero-fail regime. I will endeavour to write to the shadow Minister regarding the complex, but important, hypothetical situation he has proposed.

Football Governance Bill [Lords]

Baggy Shanker Excerpts

Report stage
Tuesday 8th July 2025 Commons Chamber

[Connor Naismith (Crewe and Nantwich) (Lab)]

It is an immense privilege to rise once again to support this important Bill during its passage through Parliament. I want to draw particular attention to amendments 10 and 11, which stand in the name of my hon. Friend the Member for Sheffield South East (Mr Betts). Those amendments would require a club’s home ground to be designated as an asset of community value as part of its operating licence. I welcome the remarks made by the Minister during her opening speech about the safeguards that are already in the Bill to protect home grounds.

A club’s stadium is more than its stands, plastic seats, some turf and the woodwork. It has a spirit; it is part of the club’s identity. It has memories—highs and lows—soaked up in its walls. We must protect these important assets for the communities they mean so much to. In many cases, a club’s stadium is inherently bound up with the place that surrounds it, and can form a link between the sport and the identity of the town or city it sits in. Crewe Alexandra’s home ground, the Mornflake stadium, is named after an iconic historic local milling business and producer of breakfast foods founded in 1675, and is overlooked by the railway lines that gave birth to the town. Similarly, Nantwich Town FC’s stadium sits on the banks of the River Weaver, which literally connects the club to the town centre and beyond.

I strongly believe that we can and should go further to strengthen the links between clubs and communities, which is why I was delighted recently to join Stuart Price, Trevor Griffiths and Aaron Lewis on the fantastic “Railwaymen” podcast, a dedicated fans’ podcast for Crewe Alexandra FC. We discussed exactly how we might strengthen those links, working together in partnership. I am delighted to be working closely with the podcast and other key stakeholders in the town to commission a mural to the club, which could act as a bridge between the stadium and the town centre. Although it is early days for that project, I extend an early invitation to visit to the Secretary of State and the Minister—who has only just been in my constituency to open a boxing gym, but is always welcome to come back—if we are successful in commissioning that mural.

Finally, it is a great shame that the Conservative party and Reform have thus far joined forces to try to frustrate the progress of this Bill. As the shadow Minister is indicating, Reform Members are once again not even in the Chamber, although I have to say that there are not many Members on the Conservative Benches either. Our game needs an independent football regulator, the Football League needs it, and I believe the Premier League needs it too.

If Opposition Members are in any doubt, I encourage them to read the case for an independent football regulator written by Crewe Alexandra supporter Tom Kural. It sets out in illuminating clarity why this change in the law is needed, and why Members from all parts of the House should be in no doubt that fans in my constituency, and I am sure in theirs, want this change. Before Opposition Members walk through the Lobby tonight, I encourage them to think carefully about what fans like Tom in their constituencies think.

[Baggy Shanker (Derby South) (Lab/Co-op)]

As someone born and raised in Derby, I know how deeply our football club runs through the heart of our city. Derby County is more than just a team; it represents our identity, our pride and the strength of our community. However, like so many in this House, I also know what it feels like when that identity is put at risk. In 2021, Derby County entered administration. The confusion and lack of transparency that followed made it much harder for everybody involved, including those of us working behind the scenes to help secure the club’s future. It was only thanks to the extraordinary actions of local man and lifelong fan, David Clowes, that the club was saved.

One example that highlights the need for stronger oversight is the attempted takeover of Derby County by Chris Kirchner. Despite initial approval, it became clear that Kirchner was not a fit and proper person to run the club. His financial shortcomings and failure to meet deadlines led to the takeover attempt collapsing. Later, Kirchner was convicted of fraud-related charges in the US over his business dealings and sentenced to 20 years in prison. That is why I welcome the Football Governance Bill, which offers the protections that Derby County and so many other clubs across the EFL need.

[Mr Richard Quigley (Isle of Wight West) (Lab)]

While the facial expressions of Opposition Members are worth an intervention all on their own, does my hon. Friend agree that this Bill provides stronger financial oversight and increased fan involvement, promotes equity and inclusion, protects club heritage, and increases transparency and accountability? The reason the Opposition oppose it is because those are alien concepts to them.

[Baggy Shanker]

Absolutely, the faces of Opposition Members say it all. I will talk a little more about the content of the shadow Minister’s speech in a second.

The EFL has needed this Bill, and it wants this Bill. It will establish the independent football regulator, introduce proper financial oversight and finally require clubs to engage seriously with the fans who give the clubs their life. We do not need to look far to see that the problems are ongoing. They are happening in front of our eyes. My own chief of staff is a devoted Sheffield Wednesday fan and is deeply troubled by the instability and uncertainty surrounding her club. Like so many fans, she sees an owner who clearly does not have the resources required to run the club appropriately. I pay tribute to my hon. Friend the Member for Sheffield South East (Mr Betts) for the work he has done and continues to do to stand up for fans and the future of their beloved Sheffield Wednesday.

This Bill is not just a policy proposal, but a vital step towards a fairer and more sustainable future for our national game. Clubs in the EFL will lose around £450 million this season alone. The level of instability is not just damaging, but dangerous. We have already seen what happens when things go wrong, from Bury to Bolton to Reading. The pattern is clear and it cannot be allowed to continue. The EFL wants this Bill. Most clubs across the English leagues support this Bill. Most importantly, fans want this Bill. I genuinely ask why the Conservatives do not.

What makes it even more frustrating is the political opportunism we are seeing. When in government, the Conservative party brought forward an almost identical Bill to the one we are debating today. Now in opposition, they seem prepared to vote against the Bill not because the policy has changed, but because the politics have changed. That is not leadership; that is putting party before the future of our clubs and the communities that they serve.

The truth is that there is more than enough money in English football to sustain the entire pyramid. The problem is how that money is distributed. Last year, 25 clubs received 92% of the game’s revenue, while 67 other clubs were left to fight over the remaining 8%. The new regulator will have the tools to help fix that and to ensure that clubs are run properly, sustainably and in the best interests of the people they represent. This Bill is a chance to safeguard the heritage, the future and the very soul of English football. I support it proudly on behalf of Derby, and I urge colleagues across the House to do the same. Let us protect the game before it is too late.