Football Governance Bill [Lords]

John Whitby Excerpts

2nd reading
Monday 28th April 2025 Commons Chamber

[John Whitby (Derbyshire Dales) (Lab)]

Football is the beautiful game, and it is truly the world’s game. For a century or so, the game had an ever-changing churn of clubs having periods of success. The game was not totally dominated by money, though money has always been a factor. With the inception of the premier league, quite literally the game changed. I am not being overly critical of the premier league—it has, after all, made the English league the greatest and most watched league in the world.

The money that has flooded in from TV rights and sponsorship has led to many of the world’s greatest players plying their trade in this country, which only adds to the global appeal. But the money, vast as it is, is nearly all in the premier league. The gulf between the bottom of the premier league and the top of the championship is enormous. The prize money for coming last in the premier league is four times greater than the prize money for the winners of the championship, and that is before the over £80 million that each premier league club gets from TV rights. This makes the desperation to reach the top flight greater than ever. Promotion does not just mean competing with the best teams; it now represents financial security.

One of a number of clubs that have fallen foul of too much risk and overstretching themselves in order to reach the promised land of the premier league is my beloved Derby County FC—one of the founding members of the football league, champions of England twice, FA cup winners, and European cup semi-finalists. Sadly, having failed in the championship play-offs four times in six years, Derby could not quite take the final step to financial security. Therefore, its unusual take on amortisation and its questionable way of making money out of its own stadium became much bigger problems. It was the premier league or bust, and for Derby it was very nearly bust.

Derby went into administration, which in itself cost the club about £3 million just for the administrators. Despite the club’s proud history and remarkable fan base, with home gates averaging 28,000, Derby County almost ceased to exist as a result of financial issues, with the club being, according to the current owner David Clowes, just one week away from going out of business. I imagine that most Derby supporters would say that the creation of an independent football regulator would be a good idea. The concept of a regulator comes from the people who make football what it is: the fans. It is, after all, a recommendation from the fan-led review.

The objectives of the IFR are sound: to protect and promote financial stability and financial resilience, and to safeguard our football heritage. Under the Bill, each club will have to submit regular financial plans and regularly consult with fans. Clubs will also have to demonstrate that they have the resources to sustain operations and show that they have the systems in place to manage financial risk. The measures will help ensure that the risks taken by Derby County cannot be taken again.

I welcome clause 46 of the Bill, which will require clubs to get approval IFR before selling their home grounds or using them as security for a loan. Clause 45 will prevent another European super league debacle—a situation where there was no consultation and no real competition, just a licence to print money at the expense of the integrity of the English game. Cardiff fans will no doubt be pleased to see clause 49, which prevents a change of team colours.

While I strongly support the Bill, I want to raise an issue brought to my attention by one of my constituents, former Arsenal and Leeds goalkeeper John Lukic. He has highlighted the growing number of ex-players suffering from CTE, which is a form of dementia caused by repeated heading of the ball. I am encouraged to hear that the Secretary of State will meet with Football Families for Justice. Football can and should do more to look after its former players.

English football has been such a success, bringing joy and occasional pain to so many. I do not want another mass march to save Derby County. I do not want another 21-point deduction. Everyone wants their team to be successful. More than that, everyone wants their team to exist. I urge Members to support the Bill.