(2 weeks ago)
Public Bill CommitteesAs the Bill passed through the other place, we heard a strong case from peers and sporting bodies alike that a small number of our world-class recurrent events could face the same delivery, commercial protection and hosting challenges as itinerant events in the future. The Government have heard and agree with the intent.
Domestic sporting events, as referred to in the Bill, contribute significant economic and social value to the UK. However, the Bill, as currently amended, is too broad in scope, with “domestic appeal” potentially covering the majority of the professional sporting calendar. Without safeguards to ensure that the framework is applied in a proportionate way, the clause risks giving eligibility for protections to an extremely large pool of events and having a disproportionately wide effect on local businesses and communities.
Even restricting the scope of “domestic sporting event” rightly requires clarity on how the Government will extend the provisions to events that currently operate independently of our operational support. That is why we have brought forward this package of Government amendments. Amendment 28 removes the addition of “national” interest; as I have set out, national interest could be deemed to have an extremely broad interpretation such as frequently held seasonal competitions. There are already two framework conditions. The first is that the sporting event must be held wholly or partly in the United Kingdom. The second is that the sporting event must be of significant international interest and be likely to bring social or economic benefits to the UK—or the event must be of “strategic value”, helping us secure other events that meet those criteria.
Government amendments 23 and 30 introduce a third framework condition that must also be met by recurrent events, referred to in the Bill as “domestic sporting events”. Those are defined under Government amendment 25 as
“a sporting event which is of a kind that is regularly held wholly or partly in the United Kingdom”.
The third condition requires organisers of domestic sporting events to apply to the appropriate national authority requesting that the framework be applied. The event organiser must set out evidence that it is appropriate to apply the framework to its event. The Secretary of State or devolved Governments may then consider such events on a case-by-case basis, notably considering such matters as the prominence of the event within its field of sport and the frequency of such events. That is a necessary distinction for a cohort of domestic sporting events that currently are both numerous and run independently of Government.
The independent events are not routinely subject to Government evaluation that could otherwise inform a decision to extend the provisions. The amendment places the responsibility on an event to articulate the case for inclusion and evidence that provisions of the Bill will support their enduring economic and social value. The requirement to make an application was an amendment from the other place, which we have further refined in this way. That allows the Government to ensure that they are satisfied that the application of framework provisions would be appropriate and proportionate.
James Naish (Rushcliffe) (Lab)
The Minister well knows that Trent Bridge is in my constituency of Rushcliffe. What category would an event such as the Ashes fall into? It is an internationally significant event, but it is a roaming event that goes to different locations. Would it fall into a different category?
Any sporting event can apply and must meet the evidence-based threshold. On Royal Assent, we will publish the application process. I am happy to follow up in writing with my hon. Friend, but the event will be able to apply and make a case. That will then be on a case-by-case basis.
A further safeguard to ensure the proportionality of applying these measures is set out in amendment 31, which adds a sunset provision that ensures that regulations applying provisions to recurrent events may not run past five years. That will ensure that no event should benefit from these provisions in perpetuity without adequate assurance that the criteria are still met and that the event still warrants these benefits. That does not limit the potential duration of access to these provisions, but it does introduce points of parliamentary review. When we debate the detail of the framework provisions later in group 12, I will set out additional safeguards that the Government consider necessary to ensure their application to domestic events is workable and proportionate.
I turn to Government amendment 24. After extensive exploration, the Government believe that the Bill’s transport provisions do not and would not offer additional provisions to domestic sporting events. They have clear event ownership and engage with the relevant local authorities on the transport planning required. Existing legislation meets the needs of time-limited events, with powers for local authorities to appropriately accommodate their transport requirements. Extension of the provision would not materially add to the Government’s support of them. We do not exclude this lightly, but we will not pursue legislation that we believe is not materially useful.
Finally, I turn to new clause 14. As the Committee has heard, great care has been taken to ensure that the application of the framework provisions to recurrent events is proportionate and workable. In this context, we are mindful of the potential burden on enforcement authorities who could be called on to carry out enforcement of the advertising and trading offences under the Bill. We have listened to the views of local authorities on that point; that is why new clause 14 introduces a mechanism for enforcement authorities to recover from event organisers the additional costs they have incurred in connection with enforcing the advertising and trading offences for recurrent events.
Local authorities will be able to require an event organiser to cover the additional costs that it has incurred in exercising functions related to the advertising and trading offences for recurrent events. That includes activities associated with applying the provisions to an event, such as the costs of administering an authorisation process and engagement with local businesses.
My hon. Friend has done my job for me: I was just coming on to that point. The event must also be of strategic value to help us secure other events, but, to answer his specific question: yes, we would anticipate Wimbledon, the Open, Silverstone and the London marathon being the sorts of events that would be protected. I discussed this matter with the hon. Member for Frome and East Somerset last week, and as I outlined in answer to an earlier intervention, a wide range of events can apply, but they must meet an evidential threshold to receive those powers. It is worth noting that they may not want all of the powers in the Bill; they may simply want some of them.
In answer to the shadow Minister’s point about new clause 14, I have outlined the reasons why we included it. There is a balance to be struck, but we do not believe that the burden should fall on British taxpayers.
James Naish
I have a small point that I do not think is covered in this clause, but maybe the Minister can confirm that. For people in my constituency, which has three international venues close by, parking and the cost of parking enforcement are very important. Will the Minister consider support for local authorities that take on that extra burden when major events come to town?
For those itinerant events, there are transport provisions in the Bill, but this group of amendments relates to recurrent events. We have exempted them from the transport provisions, having been in consultation and conversation with both the event organisers and local authorities, because they already have transport plans in place. I absolutely acknowledge that sporting events at any level can cause challenges, particularly with transport—I have seen that in my own area of Barnsley—so perhaps I can pass on my hon. Friend’s comments to the relevant Transport Minister. I hope that I have answered hon. Members’ points.
Amendment 22 agreed to.
Amendments made: 21, in clause 2, page 2, line 11, after “section” insert
“in relation to a sporting event”.
This amendment contains a drafting refinement.
Amendment 23: in clause 2, page 2, line 12, leave out from “if” to end of line 13 and insert
“—
(a) the first and second conditions in section 3 are met, and
(b) in the case of a domestic sporting event, the third condition in that section is also met.”
See the explanatory statement to Amendment 30.
Amendment 24: in clause 2, page 2, line 13, at end insert—
“(3A) Regulations under subsection (2) may not apply the transport provisions to a domestic sporting event.”—(Stephanie Peacock.)
This amendment would mean that the transport provisions cannot be applied to a domestic sporting event.
I will speak first to schedule 1, and then I will speak to the hon. Gentleman’s amendments. Schedule 1 sets out the scope and detail of the ticketing offence and the enforcement measures available. Principally, it sets out the criminal ticketing offence, which will apply only in the part or parts of the United Kingdom that have been specified in the regulations. As this is a devolved area of competence, the Secretary of State can apply the ticketing offence to Wales, Scotland and Northern Ireland only with their consent.
An event ticket is defined as anything that is or claims to be a ticket to the sporting event in question, including any opening or closing ceremonies or connected events, such as official cultural programmes, where those events are specified in regulations.
James Naish
During the 2012 games, there were a considerable number of test events, and also dress rehearsals for the opening and closing ceremonies and warm-up events. Would they be covered by the schedule?
We will set it out in regulations. It depends on what event it is. I anticipate that those examples would be included, but it will be for this House to decide when it debates the regulations for each event.
It will be an offence to sell, offer to sell, expose for sale or advertise that a ticket to an event is available for purchase in certain circumstances. That includes where such activity is carried out in a public place, including a secondary ticketing platform or online marketplace, whether or not there is an intention to make a profit. To prevent abuse, selling an event ticket includes the giving away of such a ticket to someone who pays, or agrees to pay, for other goods or services. That includes event tickets included as part of an offer when purchasing other goods or services.
The penalty levels are designed to ensure that there is a sufficient deterrent to the ticketing offence. A person found guilty of the ticketing offence on summary conviction in England and Wales is subject to an unlimited fine; in Northern Ireland, to a fine of no more than £50,000; and in Scotland, to a fine not exceeding £20,000. On conviction on indictment in Scotland, they would be subject to a fine. The variations in penalty reflect differences in the judicial systems and legal frameworks across the UK. As an alternative to prosecution, enforcement authorities will be able to impose financial penalties without having to go through the courts.
As ticketing offences are not confined to the UK, we must be able to deter ticket touts acting outside our borders. That is why a UK national, an individual habitually resident in the UK, a body incorporated under UK law or a partnership in Scotland can commit an offence whether or not they are in the UK, or a part of the UK where the offence has been applied. It is also an offence for a non-UK person to carry out ticketing activity in the course of business outside of the UK, or in any part of the UK where the offence has not been applied, provided that the UK connection condition is met. That is crucial to ensure we can take action against activity that affects UK interests. Someone has a UK connection if they have a place of business or carry out business in the UK, or if they direct their activity to people in the UK. Enforcement authorities will have the power to impose a financial penalty of up to £20,000 as an alternative to prosecution. While the level of penalties is at the discretion of the enforcement authority, they can be of no more than £20,000. The process for imposing a financial penalty is clearly laid out: there will be the right to appeal to a first-tier tribunal, and penalties may be recovered through existing civil procedures.
Government amendment 56 addresses a drafting omission by providing that the Bill’s reference to the sale of an event ticket also includes reference to giving an event ticket as a prize, which is the long-standing intention of the provision and ensures that we can satisfy our hosting commitments. It prevents businesses from looking to gain exposure by giving away event tickets as prizes, unless they are authorised to do so—for example, they could be an official sponsor. Ultimately, the amendment will ensure that large businesses cannot exploit their considerable reach and public profile to benefit commercially from the interest and excitement surrounding an event to which they have made no contribution.
Government amendments 57 to 60 ensure that, in England, Wales and Northern Ireland, a financial penalty imposed by an enforcement authority for a ticket touting offence can be recovered without having to seek an order from the county court. This provides flexibility to accommodate different arrangements for the recovery of unpaid financial penalties, and it makes it clear that such penalties are treated as if they were payable under an order of the county court. This approach aligns with recent legislation, such as the Employment Rights Act 2025, and reduces the potential administrative burden for the enforcement authorities associated with the recovery of unpaid financial penalties.
Amendment 12, tabled by the hon. Member for Old Bexley and Sidcup, seeks to create a defence for the ticket touting offence that mirrors the provision in the Birmingham Commonwealth Games Act 2020. However, the position in this Bill is different, and that matters. Under the 2020 Act, someone could publicly sell a ticket at face value, provided that they were not acting as a business. As a result, to avoid committing an offence, someone advertising a ticket on behalf of another person had to determine whether the ticket was being sold above face value or in the course of business. A person could avoid liability if they did not know, and had no reason to know, that the ticket was being sold in the course of business for profit.
That may sound reasonable in theory, but in practice it created difficulty. If that defence was raised, enforcement authorities had to prove that the person advertising the ticket knew, or ought to have known, that it was being sold commercially or for profit. That introduced uncertainty, complexity and a clear opportunity for evasion. Under this Bill, the rule is clear. It applies to all public resale activity, including resale on online platforms. If a ticket is to be resold publicly, it must be authorised by the event owner or organiser.
Amendment 3, which was also tabled by the hon. Member for Old Bexley and Sidcup, would require any person authorised to carry out ticketing activities to establish a mechanism for tickets to be transferred or resold. The Bill already gives us the ability to place conditions on those who sell or authorise the sale of tickets. That power could be used to include a requirement to provide an authorised resale platform, so the Bill already gives us the means to secure the outcome that the amendment seeks. We will seek assurances from event organisers at the outset that there will be an official resale platform, so that people who can no longer attend can resell tickets legally and safely.
I also want to reassure the hon. Member for Old Bexley and Sidcup that we are not currently aware of any major itinerant sporting event organisers that do not operate an official ticketing resale platform. Regardless, the Bill ensures that fans can transfer spare tickets to friends, families and associates at face value, or advertise them through private social media channels. For those reasons, I commend Government amendments 56 to 60 to the Committee, and I kindly ask the hon. Member not to press amendments 3 and 12 to a vote.
James Naish
The Minister will be acutely aware that for a lot of athletes, sponsorship is a key form of income. How will that type of sponsorship be covered in the regulations?
Perhaps I could write to my hon. Friend on that point, or perhaps come back to him later in Committee.
The ambition of the Bill is to establish an effective legislative environment for sporting events held in the UK, but as I said on Second Reading, I am equally clear that we must protect small businesses. Government amendments 45, 48, 61 and 62 help to do so by addressing the impact on those who are already permitted to advertise in a restricted zone. That means that authorising decisions are required to take into account whether an applicant is already permitted to advertise. That is an important safeguard.
We are acutely aware of the practical effect that these restrictions could have, especially for advertising space owned by a small business such as an independent local newsagent. That is why a decision to authorise is required to take into account whether an applicant is a small business or microbusiness. A microbusiness is defined as one with fewer than 10 staff, and a small business as one with at least 10 but fewer than 50 staff. That definition is widely used and provides a clear and consistent basis for decision making.
(2 weeks ago)
Public Bill CommitteesClause 17 and schedule 5 work together to provide a practical transport framework for major sporting events where extra co-ordination is needed. The basic point is straightforward: major sporting events can place real pressure on local roads and transport networks, and those impacts do not stop at local authority boundaries.
Schedule 5 provides the framework for dealing with such impacts, allowing transport plans to be prepared, reviewed and revised, where needed, and it provides for temporary road traffic measures to support the safe and effective operation of an event. That framework is practical and proportionate. It requires consultation with the relevant authorities, including local traffic authorities, local authorities and the police so that local knowledge is built from the start. The powers are also temporary and time-limited. They are there to deal with a specific transport impact of a major sporting event, not to create a permanent change in how local roads are managed.
Clause 17 complements that framework; it recognises that some events will affect more than one local traffic authority area, and that effective traffic management may therefore require authorities to work across boundaries. The clause allows regulations applying schedule 5 to designate one or more local traffic authorities for the purpose of paragraph 3. In practice, that ensures that the temporary traffic arrangements can operate in a joined-up way where an event affects more than one area. However, I will be clear about the safeguard: a local traffic authority may be designated only with its consent. This is not about taking powers away from local authorities, or about overriding them; it is about enabling co-operation on an agreed basis, where that is needed to manage the real-world impacts of major sporting events.
James Naish (Rushcliffe) (Lab)
When one authority consents, but a neighbouring authority does not—I have the River Trent as a genuine administrative boundary between Nottingham city and Nottinghamshire county council—what are the provisions? In that scenario, the county might say yes, but the city no. If that is not clear, will the Minister consider the matter further?
My hon. Friend makes a fair point. Whenever we plan major sporting events, we want to do it with consultation and in collaboration. We would have that ongoing conversation. I will come on to outline the reserve backstop power if that simply cannot happen. He provided a hypothetical, which is hard to comment on—I can speak to him in slower time outside Committee—but we have a backstop power if we cannot get agreement.
Schedule 5 contains a reserve backstop power for the Secretary of State. That exists for a straightforward reason: if essential temporary traffic measures are needed for an event, and a local traffic authority has been asked to act but has failed to do so within the period set out in the schedule, there must be a way to ensure that the measures will still be put in place. The backstop is not the normal way of working; it is a fall-back to protect delivery where necessary. Taken together, schedule 5 provides the framework, and the clause helps that framework work properly across local boundaries. They are practical and proportionate provisions, with consultation, consent and clear limits built in.
(1 year, 4 months ago)
Public Bill Committees
The Chair
I am afraid I reneged on my duty to call Mr Naish. I think I was too interested in the point about Hull City.
James Naish
It is an honour to serve under your chairmanship, Mr Turner. I want to place it on the record that the Notts County supporters’ trust got in touch with me over the weekend, and it is very much sympathetic to new clause 10. The trust was set up in 2003 to save the club when it was in administration, and it has played an important role in saving the club from being wound up. It fully supports any improvements in supporter representation, and its representatives specifically noted that they would like to see at least one independent supporter director on the board of all professional clubs, which measure would push in the same type of direction as the new clause. I recognise what the Minister has just said, but I thank the supporters’ trust for getting in touch. I also recognise that, where trusts are in existence, they are doing excellent things for their clubs.
My hon. Friend is a strong advocate for his constituency, and I am pleased that he has been able to represent his local fan trust. The Bill will require fan engagement at all clubs with the adequate and effective means in place to deliver the licensing requirement. The regime does allow for a bespoke approach to be taken at each club, based on what is best in each club’s specific circumstances. A supporter director was considered by the fan-led review and support for the concept was mixed. The review concluded that
“a fan director rarely delivers on fan expectations.”
Clubs are welcome to introduce any additional engagement strategy that they think will be of benefit to them and their fanbases. Many clubs have already responded to the fan-led review, made decisions to push themselves beyond the recommendations, and implemented fan engagement strategies that they think will work best for their club. I am grateful to my hon. Friend for making that case.
(1 year, 4 months ago)
Public Bill CommitteesI think that it is an issue for the leagues, but I will happily write to the hon. Gentleman. I will check that point, but I am pretty confident that it would be left to the leagues. It is similar to what they deal with now. I will write to the hon. Members for Spelthorne and for Old Bexley and Sidcup further to their points, because it is helpful to get clarity in writing. Where there are league rules, they are for the leagues to enforce, but I will add further detail in writing, if that is helpful.
I would like to move on to the final point, about the requirement for clubs to adequately and effectively consult and consider the views of fans when making decisions relating to certain specified matters. Those relevant matters are listed in the Bill and cover key “off pitch” decisions, which the fan-led review highlighted as important to fans across specified leagues. The Government have made it explicit that that will include ticket pricing, as mentioned already, which is an issue of importance for many fans.
The threshold requirement is designed to work in tandem with the fan consultation mandatory licence condition. Through that condition, all clubs must regularly consult with a representative group of supporters to discuss the relevant matters listed in the Bill. That must be in place by the time a club is granted a provisional licence. Appropriate fan engagement will look different at every club and will partly be based on the size and complexity of the club’s fanbase, as I touched on in my earlier contribution.
James Naish
This point is slightly tangential, but it is related to fan engagement. England are playing Senegal in Nottingham later today. With the support of the FA, we have run a competition for primary and secondary school children to design a new England shirt. Would the Minister be happy to congratulate Albie, Dylan, Joshua and Mikey on their contributions?
The Chair
Order. That is not slightly tangential; it is very tangential. Just a brief answer, Minister, and then we must return to the schedule.
(1 year, 4 months ago)
Public Bill CommitteesI thank the hon. Member for Wokingham for tabling new clause 15 and the hon. Member for Newbury for speaking to it, but it is already open to anyone, including all those listed in the new clause, to share relevant information with the regulator. That is in addition to the existing requirements on clubs, owners and officers, which the new clause unnecessarily duplicates.
I assure the Committee that the regulator will take credible reports about unsuitable owners or officers very seriously, whether they come from a whistleblower inside the industry or any other source. We do not need to create a separate obligation in the Bill for individuals to report information to the regulator. In fact, new clause 15 would place regulatory obligations on new individuals and organisations, thereby extending the effect of the regulator’s regime. It would take things a step further and create a duty—beyond the relevant owner, officer or club—for club employees, competition organisers, supporters trusts, the FSA and Fair Game to notify the regulator. As matters stand, anyone including owners, officers, club employees, competition organisers, the Football Supporters’ Association, trusts and supporters can notify the regulator if they have information regarding an individual’s suitability to be an owner or an officer. There is no need for any specific legislative provision to enable that. As the regulator will only regulate clubs, owners, officers and competition organisers, we believe that it would not be appropriate to obligate other persons to report any changes to the regulator. The new clause would extend the scope of the regulator.
The key point is that we do not think that that should be a duty. It is of course open to all those whom I have listed, and indeed any others, to approach the regulator, which as I say will take any reports seriously.
James Naish (Rushcliffe) (Lab)
I thank the Minister for the clarification, which I hope is helpful to the hon. Member for Newbury. In essence, is she saying that it is important for regulators to create an atmosphere of confidence, where individuals who have that type of information can share it with the regulator directly, irrespective of new clause 15?