Football Governance Bill [Lords]

Joe Robertson Excerpts

2nd reading
Monday 28th April 2025 Commons Chamber

[Peter Fortune (Bromley and Biggin Hill) (Con)]

As has been mentioned, only one Football League club is represented by a Conservative MP, and that is the mighty Bromley football club. My efforts to bring about a chant of “You’ve got the only Tory” across opposition stands in league two are ongoing, and I will keep the House informed of how well they proceed.

Hayes Lane, the club’s ground since 1938, stands proudly in my constituency. Bromley FC is a football fan’s dream. We have gone from strength to strength in recent years. Earning promotion to the conference south league in 2006, the club was crowned champion eight years later. We climbed the national league, reaching the FA trophy final in 2018 and earning promotion in 2021, but our rise did not stop there. Bromley faced Ryan Reynolds’s Wrexham at Wembley for a second shot at the FA trophy in 2022. It was an amazing day, and one that I remember well. While we may not have had “Deadpool”, we did have Michael Cheek—Cheeky, the Maradona of Bromley—who secured the silverware with the game’s only goal. I love Michael Cheek, and I congratulate him on being named league two player of the year last night; it is well deserved. Last year, a moment 132 years in the making arrived as Bromley was promoted to the English football league for the first time in its history.

Why is this story relevant? Bromley’s football dream was realised thanks to sound management, private investment and raw talent, not a state regulator, and I congratulate Robin Stanton-Gleaves, Mark Hammond—Hammo—and Andy “Woody” Woodman on all that they have done for the club. As a Ravens fan, when I look at Labour’s supposedly independent football regulator, I have to ask whether it would help Bromley FC or aspiring clubs like it, and in its current state, the answer is a resounding no. When the Bill was first proposed, it was proposed with the right intentions. It would protect cherished community clubs from bad owners, and would prevent a breakaway European super league. However, Labour’s regulator is morphing into a meddling, costly political deadweight for English football, because the regulator will be neither independent nor impartial. This is cronyism at its worst.

[Joe Robertson (Isle of Wight East) (Con)]

My hon. Friend is a football fan. Does he recall hearing any fan group saying, “What we really need is a Labour donor crony regulating the beautiful game”?

[Peter Fortune]

What fans tell me is that they want the money to move more freely through the sport. I shall say more about that in a moment. The cronyism is what we are concerned about. With political leadership, the risk of mission creep is greater. More state intervention would threaten English football’s independence, and UEFA warns that without independence, English clubs could not compete in European leagues. The Government know that their Bill could torpedo English football, and I wonder whether that is why Ministers refuse to publish UEFA’s letter about it.

The regulator will also cost clubs a small fortune. The levy to pay for the new bureaucracy will cost them nearly £100 million, and the regulatory burden will cost them nearly £35 million more, hurting the smallest clubs, such as Bromley, that do not have the staff to handle yet more red tape. For clubs it means higher taxes, more paperwork, and staff working on state demands, rather than football. For fans it will inevitably mean higher ticket prices, especially in view of the new jobs tax that Labour has instigated, and employment red tape. We should be focusing on getting money to the league clubs, not tying their hands with bureaucracy. That is what the clubs need.

Football is about risks and aspirations. Teams win or lose, are promoted or relegated. This is not banking; it is football. While I recognise that smaller clubs need support, a partisan regulator is not the answer. English football’s independence is worth protecting.

[Yuan Yang (Earley and Woodley) (Lab)]

Let me begin by declaring my entry in the Register of Members’ Financial Interests. I think most of us have agreed today that football has a governance problem. Just last Friday, I attended a meeting with Sheffield Members of Parliament and fans of Sheffield Wednesday—fans who are desperate for their owner to sell their club, so that we can share the lessons from Reading football club. We are well aware of the problems of bad ownership at Reading; its stadium is in my constituency. Our club is on the brink of expulsion from the English football league, after its absent owner was disqualified by the EFL more than a month ago. Reading and Sheffield Wednesday are the tip of the iceberg. As we have heard during the debate, and as we have seen over the last few years, there have been crises at Wigan, Derby, Portsmouth, Bury, Bolton, Macclesfield, Southend and beyond. Football definitely has a governance problem. I am heartened that this Labour Government are serious about fixing it, although sadly the same cannot be said for all parties in the House.

It is shameful that the Conservative party, which initially backed the Bill, has spent the past few months delaying its progress. In those months, many Members, including me, have spent our time fighting for the future of our local clubs. Every day is another day on which Reading fans are left in the dark, another day when Reading staff and local businesses are left waiting for late wage payments. I ask Conservative Members: how much longer would you like us to wait? The shadow Secretary of State likes to talk about business and the economic case. I ask him this: when the average club in the championship spends more than 100% of its revenues on wages, and when, according to the non-governmental organisation Fair Game, more than 50 of the top 86 clubs in the country are technically insolvent, with liabilities exceeding their assets, is this a successful market? Is it a functioning market? I would argue that that is not just unfair, but financially unsustainable. As we heard from the hon. Member for Gosport (Dame Caroline Dinenage), self-regulation has not worked, so we need to find a system that works.

[Joe Robertson]

Has the hon. Lady not received a payment of £8,000 from the man whom her own Government want to install as an independent chair of an independent regulator? Does she not accept that that is a major compromise of the independence of that chosen nominee?

[Yuan Yang]

I have already declared my interest, and I do not agree with that intervention. It is for us in this Chamber to decide whether we want a regulator, and whether we want the Bill to be passed. The Leader of the Opposition has said that she believes that any regulator would be a waste of resources. I presume that that means that her party believes that football does not need regulation. It is for the Select Committee—previously chaired by the hon. Member for Gosport, who, in her speech, seemed to support the idea of independent regulation—to scrutinise the appointment of regulators.

Reading is one of the oldest clubs in England. It once prided itself on good governance, and was known for “the Reading way”. Since the current owners took over, we have seen four winding-up petitions and five points deductions. Sadly, the EFL, which tries to support and intervene, has been unable to effect change for our club because it lacks sufficient regulatory powers. This is where the new ownership test, as well as the new licensing regime proposed in the Bill, would have been so helpful. Reading’s crisis was avoidable, and if we had a strong, independent football regulator, we could start to fix football’s governance problems.

--- Later in debate ---

[Rachel Hopkins (Luton South and South Bedfordshire) (Lab)]

Football is more than a business; it is one of our country’s greatest exports and a pillar of local and national identity. Football would be nothing without its fans, and this strengthened Football Governance Bill will put fans firmly back at the centre of the game. For too long, financial instability has meant that loyal fans and whole communities have risked losing their cherished clubs as a result of mismanagement and reckless spending. The previous fan-led review was instigated following three trigger points: the collapse of Bury FC, the coronavirus pandemic, which suspended football, and the European super league. The fan-led review recommended in the light of those events and the structural issues in the pyramid that the Government should establish an independent regulator for football finances.

I am delighted that our Labour Government have reintroduced and improved this Bill without delay to deliver on our commitment to football fans. The Bill’s primary purpose is to ensure that English football is sustainable for the benefit of fans and the local communities that football clubs serve. It will improve the sustainability of club finances, prevent rogue owners and directors, and strengthen the voice of fans. This legislation will protect our football pyramid for future generations. The independent football regulator will have three main objectives: club financial soundness, systemic financial resilience and the safeguarding of club heritage. The proposed regulatory activities are pretty standard—it is a light-touch regulator.

The improvements that our Labour Government have made to the Bill include clubs providing effective engagement with their supporters on changes to ticket prices and any proposals to relocate their grounds. The regulator will be given a remit to include parachute payments to be considered through any backstop mechanism when considering finances across the game. The requirement to consider Government foreign and trade policy has been ditched, which is appropriate, and the regulator will ensure that clubs democratically elect fan representatives for the club to engage with, which is right. We must have that clear commitment to improve equality, diversity and inclusion within the game.

I was therefore gobsmacked when I heard the thoroughly disappointing and embarrassing amendment from the official Opposition in the name of the shadow Culture Secretary, the right hon. Member for Daventry (Stuart Andrew), to decline to give the Bill a Second Reading. As a member of the Bill Committee, he well knows that there was genuine consensus on the Bill. It is fundamentally the same Bill with just a few changes, and I do not understand why he does not support them. As has been mentioned, the former Member for Chatham and Aylesford Dame Tracey Crouch worked so hard on the fan-led review.

[Joe Robertson]

Will the hon. Member give way?

[Rachel Hopkins]

No, I will not; I have only four minutes.

I remind the shadow Secretary of State what he said on that last day of Committee when unfortunately the previous Bill did not make it to wash-up. He said,

“I genuinely think that this is an excellent Bill”

and

“a good Bill to crack on with, because it is important for the future of football and, crucially, for the future of football fans”.––[Official Report, Football Governance Bill Public Bill Committee, 23 April 2024; c. 244.]

By declining to give the Bill a Second Reading, the Conservatives are now opposing greater financial sustainability across the football pyramid, the tackling of rogue owners, greater fan engagement and club heritage protections. It is a disgrace that they are not supporting the Bill, but I support it wholeheartedly.