Draft Statutory Guidance on the Meaning of “Significant Influence or Control”

Lord Watson of Invergowrie Excerpts

Tuesday 2nd December 2025 Lords Chamber

[Lord Watson of Invergowrie (Lab)]

My Lords, my noble friend Lady Debbonaire said that the Bill originated as a Tory proposal when she was a shadow Minister. I do not think she had joined your Lordships’ House a year ago when we were going through this Bill and had the marvellous sight of the noble Lord, Lord Parkinson, who had moved the Bill for the Tory party prior to the election, turning handstands to say why it was not suitable, why we really did not need it and why all sorts of changes had to be introduced before it could make any progress—the text for, “We don’t really want it to make any progress at all”. I understand that that was not always personal on the part of the noble Lord, Lord Parkinson, and that there were forces behind him, shall we say. In many cases, they were influenced by connections with Premier League football clubs.

I say to the noble Lord, Lord Moynihan, whom I hugely respect, particularly in sporting matters—I am loath even to question his motives—that I wonder why he is doing this. Is it not rerunning some of our debates a year ago, when there was opposition to the Bill per se? I am not suggesting that he is acting on behalf of anyone else—he is well capable of speaking for himself—but it seems to me that, when he gave the Leeds United example, that was personal. He unpicked the layers, almost like an onion, of who controls the club, and I understand why there were questions there: but that seems to be more about Leeds United than about the Bill and this guidance.

I cannot understand why the noble Lord thinks the guidance is unclear. Paragraph 2.7 talks about

“significant influence or control … For example, absolute decision or veto rights”

relating to eight examples. It is quite clear. We can look too closely at what “significant influence or control” actually means: it is usually quite clear, and those involved know whether they have that. The noble Lord, Lord Moynihan, talked about effectively turning people away from football because of the test they will have to meet. I suggest that, if people are not prepared to be open and transparent about what they are doing and perhaps why they are doing it, they will not be any loss to football, because there is more to that than just the financial terms.

I will make one last point. The noble Lord cited his own football club, which I think I am right in saying was not a Premier League club at this time last year, when the Bill was going through. But it seemed that the main thrust was about Premier League clubs, rather than EFL clubs. If we are declaring our interests, I declare that I am a proud part-owner and season ticket holder at AFC Wimbledon, further down the pyramid. The noble Lord said, “We didn’t think the guidance was about existing owners; it was about new owners hoping to come into the game”. Well, I did not get that impression when we had the discussions a year ago. Look at the clubs at level 2—Reading, Cardiff City and Sheffield Wednesday, which he mentioned—which could not get rid of owners who were really dragging those clubs down. It is not just about the Premier League; it is about clubs at a lower level that may have aspirations to get to the Premier League. There are more mundane examples than the high-fliers that hope to be the Arsenals of this world. So, again, like my noble friend Lord Hunt, I am not sure what the noble Lord, Lord Moynihan, is seeking to achieve, other than to undermine the force of the Act.

[Lord Addington (LD)]

My Lords, when I saw that we were going to pray against the Bill, I thought, “Oh, this is interesting”, because I know that the noble Lord, Lord Moynihan, is good at this. He casts the fly across the water and drags it out to see what will rise and bite. Well, this trout is biting—not at the fly but at the line. The Bill is going through and we will have precedent and case law very quickly on how this is operating. We will have to let the regulator get on with it.

I agree with the noble Lord on one point: the ownership of these national bodies is incredibly complicated. The noble Lord, Lord Watson, has just mentioned it. If you think this is complicated, look down the chain. The origins of many of these institutions go back to the Victorian period, and they have been through many evolutions, changes and traumatic experiences along the way, wrapped around them. There is a great mess about these institutions, which is why they get into so much trouble and why we need the regulator.

You will have to have a series of general terms, which will be defined by experience, case law and the attitude of the regulators. I hope the current regulator is a success. Let us face it, the regulator has not exactly arrived to universal fanfare, but I hope it is a success and we set a precedent for how this should be done, because we need that. It is too complicated to get the definitions and clarity the noble Lord seeks here. I know he opposed the regulation of this sport and is worried about other bits. I happen to disagree with him on this; I may agree with him on something else tomorrow, but on this I disagree with him. We should let the regulator get on with it and observe. We have other things coming in the “state of the game” report, and the Government cannot look away from this. We have to make sure that it happens independently. I hope that we just let the regulator get on with it because, let us face it, we have talked about this enough.