Football Governance Bill [HL] Debate

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Lord Bassam of Brighton

Main Page: Lord Bassam of Brighton (Labour - Life peer)
Lord Moynihan Portrait Lord Moynihan (Con)
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My Lords, Amendment 18 covers the issue of the scope of the Bill, and particularly women’s football. The Clause 2 stand part debate will focus specifically on the concerns that the Delegated Powers and Regulatory Reform Committee has raised for the consideration of your Lordships.

As regards the women’s game, I seek clarification from the Minister. There is, as noble Lords know, a delegated power in the Bill that allows, at any time in the future, the Secretary of State to amend the scope of the Bill and include women’s football. At present, women’s football is not covered, mainly because of the future of women’s football review, which recommended that women’s football be given a chance to self-regulate. However, it noted that the market shares some similar problems with the men’s game, and, given that the policy intent was that the regulator should not regulate women’s clubs—

Lord Bassam of Brighton Portrait Lord Bassam of Brighton (Lab)
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I am mindful of the fact that the noble Baroness, Lady Grey-Thompson, is not here. She and I, and others, have an amendment specifically addressing the issue of the place of women’s football. Would the noble Lord withdraw his amendment this evening so that the noble Baroness could at least be here to take part in that debate? I know it is very close to her heart and I am trying to save us from having two debates.

Lord Moynihan Portrait Lord Moynihan (Con)
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I appreciate that. I will considerably curtail, so I do not need to come back to repeat what I have just said, and simply put a number of very brief questions. Unfortunately, that was not of my doing, as the noble Lord knows, and the powers that be will no doubt look rather more closely at future amendments to make sure that there is no overlap.

I simply ask the Minister one question: what specifically would need to happen for the women’s game to be added into the proposed regulatory framework? I will leave it to the noble Lord, Lord Bassam, and others, to explore in more detail questions surrounding the ownership of clubs, which regard both women’s and men’s participation as equally important, and therefore the fitness of directors tests, et cetera. To assist the process of speeding up matters in your Lordships’ Committee this evening, I will not ask any further questions on that but will leave it to the noble Lord, Lord Bassam, and the noble Baroness, Lady Grey-Thompson, to consider that in greater detail.

I turn to the Delegated Powers and Regulatory Reform Committee, which is absolutely relevant to Clause 2—unless the noble Lord, Lord Bassam, has identified a further group of amendments that we can tie this in to. Clause 2 is really important, because it gives the Secretary of State significant powers through secondary legislation. As the Minister knows, the Delegated Powers and Regulatory Reform Committee is a highly respected Committee in this House, and we have a senior member of that committee present this evening. I declare an interest, having served on that committee.

There was real concern that the meaning of English football as defined in Clause 2 was left unclear in the Bill. We covered that briefly at an earlier stage but, to cut to the point, their comment was:

“The policy intent has always been that”


the clubs in scope of the regulator’s remit

“should currently be the top five leagues of the men’s English football pyramid only”.

Given that, it is somewhat concerning that there is so much scope given to change that in secondary legislation, without the opportunity we would have of considering the benefits, or otherwise, of any significant changes to the Bill, which would be really significant. Therefore, it was not surprising that the Delegated Powers and Regulatory Reform Committee stated:

“The argument that something should not be fixed in primary legislation because it might need changing in future would be an argument against having any primary legislation”.


That is a fairly powerful point for that committee to make in the context of this Bill—indeed, of any Bill brought before your Lordships’ House.

The committee continued:

“The current system of leagues works well. If it were enshrined in primary legislation, it could still work well and, if it ceased to do so, the primary legislation could be amended. Primary legislation is constantly being amended”


to be

“fit for purpose”.

So I very much hope that the Minister will take careful note of the advice offered by that committee. It is very rare that we would ignore that committee or reject the most important recommendation that it has made. It makes a very strong point there. This is an enabling Bill. Clause 2 gives wide-ranging remits to consider the inclusion of women’s football to the Secretary of State—not, by the way, to the regulator. Equally, it is clearly a Bill about the men’s game, which brings forward clear primary legislation on the role of the regulator in the context of the men’s game.

That being the case, I see no reason why this legislation should not be very clear about its purpose and not leave it open to secondary legislation, which gets far less attention in your Lordships’ House. We know that from both sides of the House, whoever has been in Government: it is easy to slip through secondary legislation. We cannot deal with it clause by clause; we either accept it or reject it and we do not have a Committee stage on it.

The two powers vested in the Secretary of State under Clause 2 are of such importance that I very much hope that the Minister will take away the points I have just raised and give further consideration to putting the Bill’s intent clearly within it, rather than leaving it to future secondary legislation. I beg to move.

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Lord Markham Portrait Lord Markham (Con)
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I am scratching my head a bit on this. I am with the noble Lord, Lord Addington, in that I would like to see the women’s game included. However, I accept that there is a debate to be had around that, so there could be an argument for having that as part of secondary legislation. What I do not understand that there could be a debate about is whether the Premier League or the EFL should be included. I do not understand for one moment why you would not have that on the face of the Bill. I do not think any of us would debate for one second the thought of somehow having all these discussions and not including the Premier League or the EFL.

I will freely admit that I am not very well versed in this, but my understanding is that, if it was mentioned on the face of the Bill, that does something about the hybrid nature of the Bill and would mean there are greater consultations and involvements that we would have to have—maybe some other noble Lords can help me out here—with those bodies that are impacted by the Bill. If that is the case, and if it is absolutely obvious to everyone here that of course the Premier League and the EFL are going to be involved in this, and probably some others as well—maybe the noble Lord can help me with this in a minute—I think there are consequences from not having it on the face of the Bill. That means it is not getting the proper involvement that you would expect, having the Premier League and other impacted bodies such as the EFL as part of this.

Again, all of this is an education for me and I think my noble friend Lord Goodman might be about to stand up to help me on this. But, if not, maybe the Minister could answer that, because it seems so obvious to everyone here that of course it is going to include the Premier League and the EFL. Why would you not have that on the face of the Bill?

Lord Bassam of Brighton Portrait Lord Bassam of Brighton (Lab)
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My Lords, I rise to speak to my amendment about the inclusion of the National Leagues North and South. I accept that my amendment is defective; I think the Committee on Statutory Instruments has declared it as such. However, I will use this opportunity to raise the question of where down the pyramid the regulatory process should stop.

Some of the teams in the National League North and National League South are quite substantial. Scunthorpe United is quite a big club and has a turnover somewhere in the region of £5 million to £6 million a year. Torquay United has a turnover of probably £2 million or £3 million a year. Even Maidstone, another former league club, has a turnover of between £2 million and £3 million a year. These are small but substantial businesses. They probably employ no more than 10 or a dozen staff—Scunthorpe probably employs more than that, looking at its accounts—but we expect other parts of the business world to be regulated by health and safety or environmental legislation, by financial conduct rules and regulations, and so on.

It is not smart to leave those two leagues out of consideration, because one of the things we should worry about is predatory ownership. We have seen some of that in the past, to the detriment of clubs in the lower leagues. The Bill is about making sure that the clubs in the lower leagues are properly protected. We have heard a lot from noble Lords on the Opposition Benches about the Premier League and how they believe that the regulatory regime may be damaging to the Premier League, but it is the plight of clubs lower down the pyramid that has sparked the most concern over the years and has been the motor for both major political parties to seek a football regulator.

I make that point because at some stage, we will need to have the National League North and National League South clubs in the regulatory framework. It seems odd to regulate one of the National League’s divisions, but not the other two. I wonder about the cliff-edge effect of having clubs coming up from both those leagues into a system of regulation. That does not necessarily seem to be the right way to do things; it would be better if they were all captured by the same framework.

The Minister made the point at Second Reading that regulation would be appropriate at each level of the pyramid—that has to be right—and that teams in the National League do not require the same degree of regulation as teams in the upper leagues. That is a sensible and proportionate way of looking at things. These clubs are already used to regulation; they are regulated by other regulators.

There is a case that we need at an early stage in the life of the regulator—I accept it may not be now—to have a report, or perhaps a section in the “state of the game” report, that looks at this issue. There may well be some unintended consequences and some cliff-edge issues, and if we do not get regulation right for these clubs, which could be vulnerable to predatory takeovers, some of them may well suffer as a consequence. None of us in the Committee wants to see that happen—I certainly do not, based on my experience as a Brighton & Hove Albion Football Club fan in the 1990s, when we were nearly destroyed by a predatory takeover. We very nearly went out of the league and out of business, and it took us a decade to recover our position.

Lord Goodman of Wycombe Portrait Lord Goodman of Wycombe (Con)
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My Lords, I will follow my noble friends Lord Moynihan and Lord Markham in their references to the Delegated Legislation Committee.

I hesitate to disagree with anything my noble friend Lord Moynihan says in any way, but he described me as a senior member of the committee, and I am afraid that this is not accurate. I am, in fact, the most junior member of the committee, having arrived only very recently, but certainly in time to consider this Bill. When I joined the committee, I found that it was very worked up about the rise in secondary legislation, as it set out in its key document, Democracy Denied?, published in 2021—I will come to the significance of that date in a moment. It criticised the use of Henry VIII powers, disguised legislation and skeleton legislation, saying:

“The abuse of delegated powers is in effect an abuse of Parliament and an abuse of democracy, and this report will, we hope, be a prompt to strengthen Parliament in the coming years”.


I find myself in an awkward position here with my own Front Bench, because in 2021 a Conservative Government were in office. The committee clearly feels that this tendency for skeleton legislation, Henry VIII powers and so on has carried on from 2021 to the present.

My noble friend Lord Moynihan will remember that at Second Reading, he drew attention, as I did, to Clause 92(3), which states:

“The Secretary of State may by regulations amend …the definition of ‘football season’”


and

“the definition of ‘serious criminal conduct’”.

Such is the exquisite moderation of the committee that we did not follow that matter up in the report, but we did concentrate on the issue, raised by my noble friend Lord Moynihan, of the leagues not named in the Bill. He has read out the relevant sections of the report, and I have no intention of reading them out again.

However, I reinforce the closing point made by my noble friend Lord Markham and put it to the Minister in the form of a question. Can she confirm or deny that if the leagues in the pyramid were to be named in the Bill, the Bill would therefore become hybrid? She is nodding, and she will doubtless amplify on that nod when she responds to the debate, but that is a very important point. If that is the case, did the Government refer to that in their discussions with the committee clerks when they were drawing up the report?