(4 years ago)
Commons ChamberMy hon. Friend is right, because the challenge is that the loans need to be repaid. The expectation has been that they need to start being repaid next year. Well, we are not through the covid crisis yet. We still do not have the supporters back in the grounds and there are still huge financial pressures on our clubs. It is simply not realistic, and not good for the sport or our communities, to insist on those loans being paid back. The point that she makes about grants is exactly one of the things that I want the Government to consider.
I am grateful to my right hon. Friend for securing today’s debate. York City Knights have worked so hard to climb to third in the championship and should be entering the new York community stadium, but without the finances behind them and without being able to open their ground to fans, they may never enter the stadium. Will the Minister seriously look not only at moving loans to grants, but sufficiency in those grants?
My hon. Friend is exactly right, because nobody could have expected what was going to happen with covid, but we cannot let it do huge long-term damage to such crucial community sports and the work they do in the communities.
The bills still have to be paid this year. The crowds are not there, but millions of pounds in ticket revenues have been lost—about £2 million a week, including Super League and RFL. All the clubs have made huge savings. They have drawn down rainy day funds and money that they had put by. Staff and players have taken pay cuts. Contractors have gone. Incredibly reluctantly, jobs have been cut. They have drawn on furlough and other support and whatever they can.
In the summer, the clubs got the matches up and running, even though the supporters could not be there, and that has brought great joy to fans being able to watch the matches again, but also considerable costs, because the clubs could not use furlough for the staff who were back even though they were not getting the income from the tickets to pay for them. They pay out thousands of pounds every single week on getting players and other staff tested for covid. When a club gets a positive test—Castleford has just had a run on them—it then has to do another round of tests as well. Castleford Tigers has been spending over £20,000 extra a month, just to get those covid tests done to try to keep the game as safe as possible. The same applies across all our clubs.
The fans have been incredible. So many season ticket holders who were offered refunds said the club should keep the money this year. In an area like ours, where people feel under considerable financial pressure, that is a really big deal and shows their commitment to supporting the club. Hundreds of thousands of pounds has been lost by every club—from bars, events, corporate hospitality and things such as bonfire nights and beer festivals.