Football Governance Bill [Lords]

James Wild Excerpts

Monday 28th April 2025 Commons Chamber

[Lisa Nandy]

I am grateful to my hon. Friend not only for putting this issue on the record, but for raising it with me privately on a number of occasions—I know how committed she is. May I associate myself with her words about good football club owners? We firmly believe that this Bill will provide the clarity and certainty that allows good owners to invest without being outbid or having to compete with people who mean our clubs ill. I, too, have an extremely good owner at Wigan Athletic. We are fortunate to have him, and we know how important such owners are.

[James Wild (North West Norfolk) (Con)]

During covid, non-league clubs took DCMS sport survival loans, but their repayment now threatens the viability of some. Will the Secretary of State assure fans that she will do all she can to assist them? As my local club, King’s Lynn Town, are in active discussions with Sport England about their loan, will she or the Sports Minister agree to meet me to discuss that?

[Lisa Nandy]

I am grateful to the hon. Gentleman for raising that issue, which affects many clubs around the country. The Department continues to engage regularly with fans and sporting governing bodies that are facing difficulties—not just in football, but across the board. We are working constructively to help support them, and I would be delighted to provide him with a further update on the individual case that he mentions.

We are determined to meet our commitments and promises to fans. We have improved the Bill explicitly to require clubs to provide effective engagement with their supporters, and to consult fans on changes to ticket prices and on any proposals to relocate their home ground.

--- Later in debate ---

[James Wild (North West Norfolk) (Con)]

I declare an interest as a supporter of Norwich City and King’s Lynn Town.

Other Members have referred to the success of the premier league and the fact that the EFL is one of the best attended in Europe. Football, we should take it as read, is a success story. I want to focus on the risks posed to the game by the Bill and regulation. Indeed, even the Government concede that the new regime and distribution provisions in particular are unique and unprecedented. The objectives of sustainability, preventing breakaway competitions, safeguarding heritage and strengthening engagement are supported by fans, but much of that is already happening under the existing rules of the FA, the Premier League and the EFL.

My concern—the one I expressed in the previous Parliament when we debated a similar Bill—is that it will lead to overreach and over-regulation. We have heard bids already from across other parts of the House to load burdens on football, including protecting car parks. The Prime Minister has said on regulation:

“the key test…Is this going to make our economy more dynamic? Is this going to…unlock investment?”

Yet he is creating a new regulator that will take £100 million out of the game, including for smaller clubs, and regulatory scope and costs will inexorably increase. The task of the regulator is already vast. It will have to approve business plans for 116 clubs as part of licensing. Applying such banking-style regulation to a sport is inappropriate.

The provisions on revenues of course attract a lot of attention. Let us be clear here: the Government are taking powers through the backstop to mandate the division of commercial revenues. These are unprecedented powers that will cause significant regulatory and investment uncertainty. There is a voluntary agreement at the moment, which is essential to the health of the game and to get funds flowing through the pyramid. The backstop, which is meant to be a last resort, is now the frontstop. The EFL has been very clear that it is waiting for the provisions to come into force and it will not agree to anything until then. The Government have made the situation worse by including the parachute payments, which will prevent clubs that want to invest when they get promoted and take a risk so they can compete from doing so, which will weaken the competitiveness of the game.

Then there is the untried binding final offer arbitration model. Rather than considering the proposals put forward by the Premier League and EFL to determine which is the best approach—it may be a compromise between the two—we have a Russian roulette approach where the regulator has to pick one or the other. Lord Birt put forward an amendment in the other place to introduce an approach based on commercial arbitration instead of that model, which incentivises gaming. The Secretary of State had some warm words for what Lord Birt had done in the other place. I would be grateful if the Minister, in winding up, can clarify whether the Government are still talking to Lord Birt and other legal experts in the other place, with the intention of changing the flawed backstop model.

To conclude, the Bill would introduce unprecedented regulation of our national game. There are clear risks, through excessive regulation the Bill will introduce, to the very elements that make football the great success it is. That is why I will be opposing the Bill. The Government and the Prime Minister will be rightly held responsible if they get it wrong and undermine football.