Football Governance Bill [Lords] Debate
Full Debate: Read Full DebateCalvin Bailey
Main Page: Calvin Bailey (Labour - Leyton and Wanstead)Department Debates - View all Calvin Bailey's debates with the Department for Digital, Culture, Media & Sport
(1 day, 15 hours ago)
Commons ChamberI will start by quoting this historic football match commentary:
“It’s Grimsby giving it away in a very dangerous part of the pitch, for the first time the visitors becoming the architects of their own downfall, it’s tucked in by the substitute Luther Wildin and Stevenage you sense are going up today!”
With apologies to my hon. Friend the Member for Great Grimsby and Cleethorpes (Melanie Onn), that was the moment on 3 May 2023 when the Mighty Boro, Stevenage FC, scored the final goal in a match that sealed their promotion to the EFL league one, where they remain today. Our club, whose colours I am wearing, is part of the lifeblood of the town not just on the pitch, but off it, with the incredible work they do in the community. It is the exemplar of a local football club being a truly community asset.
I speak in favour of the Bill because it is not just about much-needed regulation, but about safeguarding the future of our national sport, ensuring financial stability for clubs across the pyramid and making sure our fans—the people who spend their money, week in and week out, to follow their team across the country—are given a real say in how their clubs are run.
I thank my hon. Friend for giving way. He is telling a very similar story to that of my local club, Leyton Orient. Its fans warmly welcomed the reinvestment from David Gandler, building on the leadership of the chairman, Nigel Travis, who has delivered sustainable growth, promotion to league one, clear championship ambitions and a new stadium, and has strengthened the community with up to £6.7 million in social value. Does my hon. Friend agree with me that all ownership transitions should be like this and should follow this model of fan engagement?
I certainly agree with my hon. Friend. We both represent constituencies with clubs that are good examples of what can be done, but our duty here is to safeguard our clubs and all clubs in this country from future failure. They are not businesses; as I have said, they are community assets.
Last season, 23.7 million people attended matches in EFL competitions, demonstrating the profound connection between these clubs and their local communities. It is not just on the pitch that clubs are contributing to their communities. In the same season, EFL clubs contributed over £1.2 billion of social value through their community programmes, with my local club’s community arm, the Stevenage FC Foundation, alone generating £10.7 million of social value in my constituency and the wider area. In that timeframe, the foundation also delivered 185 training sessions per week, engaging over 15,000 unique participants annually and delivering over 9,000 hours of activity. That is an incredible feat.
However, the financial stability of all clubs across the football pyramid is in a precarious place, with EFL clubs expected to lose around £450 million this season alone. Alongside this, the financial disparity between the premier league and the EFL is stark. In the 2022-23 season, 20 premier league and five EFL clubs with parachute payments received 92% of the distributable revenues, while the remaining 67 professional clubs shared just 8%. This imbalance undermines the systemic sustainability of English football, and I am glad that this Bill proposes change so that a 75%-25% split of combined media revenues between the premier league and the EFL will become the new normal and provide much-needed financial support to EFL clubs.
It is clear that the financial situation in which we find ourselves across the pyramid is untenable, and this has directly led to financial crises in clubs across England. It is beyond belief that the Conservative party, which sat on its hands for most of the past 14 years, claimed in its manifesto that it wanted an independent football regulator, so why on earth do we not have cross-party consensus on this principle?