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What the independent regulator could mean for football fans and how it’ll help troubled clubs

A video has emerged sharing what the independent regulator could mean for football fans and how it’ll help troubled clubs.

Earlier this week, the government introduced a “strengthened” football governance bill with the changes to the bill overall improve the mainly sensible plans for an independent regulator of football.

The ability to include parachute payments in considering football finances and distribution – even if only as part of the “last resort” backstop mechanism – is likely to apply greater pressure on the Premier League to agree to a more generous distribution of revenue, and may lead in a more competitive and less skewed Championship competition.

Dropping the previous proposal that the Regulator consider government foreign and trade policy when approving club takeovers is to be welcomed – such a requirement would have opened up a pandora’s box and risked political interreference in football, undermining the key concept of an independent regulator.

Greater ‘fan engagement’ and representation sounds like a good thing, but one always wonders how effective such measures will be.

The regulation of Equality, Diversity and Inclusion in football has been something many have called for, and is an interesting development further demonstrating the special status football appears to be given in our national culture.

It could be heard in the video (below) shared by FanHub: “Whilst protesting their club’s ownership, ‘Sell Before We Dai’ have been vocal regarding the need for the football governance bill, which would include an independent regulator.

“The purpose of an independent regulator will be to stop owners like Dao Young being able to purchase the club in the first instance.

“Also included for supporters is protection from kit colour, badge, and stadium changes without the proper consultation of the club supporters.

“Whilst the bill was reintroduced by the Labour government in July there are still progress to be made on the matter.

“The football governance bill will be really important.

“That at the moment, owners of, you know, they’re they’re not properly vetted in my view. Dai Yongge should never have been able to buy Reading Football Club in the first place.

“Because it should hopefully give more powers to to fans, to clubs from, you know, baron owners and, you know, bring in stuff like, you know, spending caps, etc.

“You know, I think the government and also the the competition organisers like the Premier League and the EFL must be empowered to remove owners like Dai Yongge or at least, you know, do things to, pressure them into selling.

“At the moment, there’s no real, like, safety net, and it feels like any club could fall, any point like Bury have.

“And that’s scary because it can still happen here at Reading.

“I think the EFL, and ultimately the Premier League have got a part to play in all of this as well.

“But without that legislation to push them into making changes, they won’t make the changes.

“So I think it does start with that governance bill.”

Premier League statement on Football Governance Bill publication

Following publication of the Football Governance Bill, the collective challenge now is to ensure an effective model of regulation which can work in practice.

The Premier League recognises that key elements of the Bill can help make the English game stronger, including the principles of strengthened fan engagement, protecting club heritage, preventing breakaway leagues and encouraging responsible ownership.

However, we remain concerned about the regulatory framework. Specifically, we believe rigid banking-style regulation, and the Regulator’s unprecedented and untested powers to intervene in the distribution of the Premier League’s revenues, could have a negative impact on the League’s continued competitiveness, clubs’ investment in world-class talent and, above all, the aspiration that drives our global appeal and growth.

We appreciate the Government’s recognition of the role English football plays in the economy and society, and its commitment to ensure that these reforms provide protections to enable the Premier League’s continued global success. This is fundamental to the sustainability of the entire game, enabling the world-leading £1.6 billion of funding in the last three years to EFL and National League clubs, the grassroots of the game, football communities and women’s and girls’ football.

With our clubs, we will continue to work with Government and Parliamentarians to consider appropriate checks and balances in the legislation to protect the hard-won position of English football, which is globally admired, a vital source of soft power and a driver of economic growth all over the country.

EFL Chair Rick Parry said:

“The EFL welcomes the new Football Governance Bill, and thanks the Secretary of State, Lisa Nandy MP for the genuine commitment and openness she has displayed towards the EFL and its Clubs on this matter since coming into Government. We also appreciate the time which she and her team have taken to consider and understand many of our concerns with the previous iteration of the Bill.

“It has been our long-held view that there is a requirement for Independent Regulation, and we believe the Bill has been framed in a way that will enable the new Regulator to protect and achieve the sustainability of Clubs across the entire football pyramid.

“It is also pleasing that the State of the Game report, which will provide the objective and independent basis for the new Regulator’s work, will be delivered within 18 months. We look forward, in collaboration with our Clubs, to making a significant contribution to this important piece of work.

“Alongside the issue of financial reform, the EFL also recognises the key and leading role it has to play across other areas the Bill addresses, including the role of fan consultation, heritage protection and the commitments made to Equality, Diversity and Inclusion.

“As the Bill now begins its passage through Parliament, we will first take time to scrutinise its full detail and implications for Clubs across the pyramid, including the key issue around the Regulator’s backstop powers in respect of financial redistribution, while at the same time continuing to offer our support and insight to MPs and Peers.

“The EFL’s core purpose is to safeguard the sustainability of our Clubs for future generations of supporters, and the social value they deliver in the communities they serve. We know how much our Clubs matter, but too many face or have faced financial trauma due to their over-reliance on owner funding and overstretching in their attempts to bridge growing financial gaps.

“We have always been clear throughout this process that our intention is not to harm or hinder the strength of the Premier League, and the value which it generates for the wider pyramid, including the EFL and our competitions. Rather, this is about creating a framework for a sustainable and competitive pyramid which fosters sporting jeopardy without financial catastrophe, underpinned by better regulation and fairer redistribution.”

Henry Winter said via Twitter: “Hugely significant step forward in the fight to protect the game: Independent Football Regulator to be given even more powers. A “strengthened” Football Governance Bill, being introduced in the House of Lords on Thursday, will see major changes to the previous draft, including consulting fans on ticket pricing; parachute payments to be included in Regulator’s remit “so it will have full oversight to tackle financial sustainability across the football pyramid”; and significantly and sensibly, given controversy over Newcastle and the Saudis, the requirement “to consider government foreign policy dropped to cement regulator’s full independence” .

“As well as implementing a club licensing regime to monitor club finances, the Regulator will have “a backstop measure to mediate a fair financial distribution down the Leagues should the Premier League and EFL not be able to come to an agreement”.

“This “backstop” measure designed to focus Premier League club minds and get the “new deal” with the EFL done. It’s also a measure, along with the discarded “foreign policy consideration”, that the Regulator’s critics will claim could trigger Fifa concerns on Government interference.”

Bill delayed by Election but now will be voted through with enhanced powers. “For too long, financial instability has meant loyal fans and whole communities have risked losing their cherished clubs as a result of mismanagement and reckless spending,” says Culture Secretary Lisa Nandy. “This Bill seeks to properly redress the balance, putting fans back at the heart of the game, taking on rogue owners and crucially helping to put clubs up and down the country on a sound financial footing.”

Bill welcomed by fans. Kevin Miles @WeAreTheFSA says “the regulator has the potential to protect our historic community clubs and stop them being run into the ground by bad owners, rebalance the game’s finances, protect the heritage of all clubs, give supporters a bigger say in the running of the game and block any domestic clubs from joining a breakaway European Super League.”

Dame Tracey Crouch got the ball rolling on the Regulator with her well-received Fan Led Review of Football. “I’m grateful the Government is taking action to protect football from the threats of rogue owners and breakaway competitions,” she says.

Gary Neville, a powerful supporter of Crouch’s review, says “now more than ever we need an independent regulator to act as a guardian for our game, to make sure that clubs and their fans are protected for the long term. Football is too important in this country to be left solely in the hands of individual owners to design its future. We’ve seen inequality across the game grow but now independent regulation can act as a catalyst to create a thriving and sustainable game for future generations.”

The Football Governance Bill, which has added commitments on Equality, Diversity and Inclusion, has been given a cautious welcome by the Black Footballers Partnership. “Black former players get fewer chances at management, get promoted more slowly (if at all), their progress stalls sooner, and they get fired quicker than their non-black counterparts – and none of this is related to their performance,” says BFP. Its executive director, Delroy Corinaldi, adds, “We trust the Bill will recognise that the men’s and women’s games face different challenges in getting minority players on the pitch, an acute problem for the women’s game, but share a lack of progress for black former players climbing the ladder into management.”

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