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Dangers to English football 'very real', says chair of fan-led review into game

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Posted

 

Not seen this posted.

 

 

https://www.bbc.co.uk/sport/football/57929695

 

The dangers facing English league clubs are "very real", with key aspects of the nation's game "at genuine risk", says the chair of a fan-led review commissioned by the government.

Former sports minister Tracey Crouch has written to Culture Secretary Oliver Dowden to propose a series of measures.

This includes an independent regulator to "protect the future of our game".

The review has heard over 100 hours of evidence from fans, the Football Association and clubs at all levels.

"The evidence has been clear that football clubs are not ordinary businesses," wrote Crouch. "They play a critical social, civic and cultural role in their local communities.

"They need to be protected - sometimes from their owners who are, after all, simply the current custodians of a community asset.

"Key aspects of our national game are at genuine risk. The short-lived threat of the European Super League jeopardised the future of the English football pyramid.

"While that threat has receded - for now - the dangers facing many clubs across the country are very real with their futures precarious and dependent in most cases on the willingness and continuing ability of owners to fund significant losses."

The measures proposed by Crouch include:

  • A new independent regulator to address issues that are most relevant to the risks to the game, especially financial regulation, corporate governance and ownership.
  • Further work over the summer to ensure greater fan engagement and influence at all levels of governance in the game.
  • Suggested potential reform at the Football Association, the Football League and the Premier League, with a recommendation that at least 50 per cent of the FA board be composed of independent non-executive directors.
  • Greater protection for important club assets such as badges, location and colours, through a 'golden share' for supporters that provides them with veto powers.
  • Further investigation over the summer on revenue flows within the football pyramid, including 'parachute payments'.
  • Calls for a joined-up approach from the football authorities to improve player welfare, particularly with regard to players released from the academy system.
  • Allowing clubs to operate all-weather pitches in League Two to help with generation of revenue in lower leagues.
  • Suggestion that the English Football League (EFL) enter discussions to absorb the National League top division into the EFL structure.
  • Possibility of a levy on transfer or agent fees to support the development of the grassroots, amateur and women's games.
  • A separate review into the future of women's football following "varied" evidence on the best way forward.

Crouch will issue her final recommendations in the autumn.

'English football facing existential crisis'

The review was promised as part of the Conservatives' 2019 General Election manifesto and commissioned early after the foundation and swift collapse of the Super League in April.

Crouch highlighted Deloitte figures from 2018-19 - before the impact of the coronavirus pandemic - which she felt underlined the perilous state of many clubs' finances.

She pointed out that nine Premier League clubs were reported to have made pre-tax losses that season, and eight clubs had wage-to-turnover ratios over 70 per cent.

In the same season all but two Championship clubs made pre-tax losses and the average wage-to-turnover ratio was 107 per cent.

"It is sobering to consider that these numbers are the end result of a long period in which football had been growing revenues to record or near record levels," she wrote.

"The threat of possible future reductions in income expected as the broadcast market diversifies indicates that, without reform, English football could face an existential crisis in years to come unless pre-emptive action is taken now."

Football authorities have "lost the trust and confidence" of fans, she added, as had a number of clubs.

She said the authorities had been issued with repeated warnings in the past which had not been heeded, and "therefore it is now time for external assistance".

Crouch also said the game's governing bodies had not succeeded in delivering sufficiently on the equality, diversity and inclusion agenda.

'Fan voices have been heeded'

Dowden welcomed Crouch's recommendations and said: "We've seen this year with the failed European Super League proposals and Euro 2020 how central football is to our national life.

"I've been clear that now is the time to take a wide-ranging look at reform of the game. I will not hesitate to take bold steps where necessary.

"I am grateful to the chair and panel for their update on the fan-led review. I look forward to receiving the final report and recommendations in the autumn."

The Football Supporters' Association (FSA) welcomed the update, and its chief executive Kevin Miles said: "It's clear from the preliminary report that not only has the evidence been led by fans but also that those fan voices have been heeded.

"The commitment to the establishment of a new independent regulator for English Football is especially welcome.

"Additional proposals linked to the sustainability of the game, golden shares for fan groups, grassroots investment, mandatory supporter engagement and a strong voice for fans in governance at all levels, are hugely encouraging.

"We will continue to play a constructive role in the work of the review in fleshing out the detail of the interim proposals. Their full implementation could be a huge step to secure a sustainable future for our clubs, the communities around them, and the wider game."

'Supporters play a crucial role in football'

Both the Premier League and EFL welcomed the preliminary findings.

A Premier League spokesman said: "We will now consider the initial update and are committed to supporting Tracey Crouch, the panel and the DCMS team as they finalise their recommendations.

"Supporters play a crucial role in football and clubs have a significant impact in their communities. We look forward to working closely with the FA, EFL and other football organisations on these important issues."

The EFL said: "We will now consider the recommendations in full, and continue to push for a redistribution of the game's finances which require a fundamental reset in order to deliver long term sustainability across the pyramid.

"As ever, the league will continue to engage with clubs, authorities, supporter groups, the review team and others as part of the process."

'No more Russian roulette with the traditions and history of clubs'

The Fair Game group, which is campaigning for reform of the sport including the introduction of an independent regulator, also reacted positively to Crouch's recommendations.

"There is a lot to welcome in this letter," said director Niall Couper. "The need for a new football regulator is now indisputable. Football cannot continue in the same unsustainable way.

"The Premier League is the richest league in the world. Yet, the Championship is the biggest loss-making division in the world, and lower down the pyramid we have seen the collapse of Bury and Macclesfield and many others teetering on the brink.

"This letter concludes that financial flows within the game needs an overhaul. However, redressing the balance cannot be left solely to the leagues themselves - the very organisations that have led us to where we are now.

"English football has become a siren to gamblers. As the letter rightly highlights, too many clubs routinely spend way above recommended levels on players' wages.

"Owners should no longer be allowed to play Russian roulette with the history and traditions of football clubs."

'I don't want problems, give me some solutions' - Analysis

BBC Sport football writer Simon Stone:

The initial soundings I have taken from people in the game have been mixed. An independent regulator is something that has been spoken about for so long, by so many, that it is not a surprise.

Issues around distribution of finance and fan involvement have also been well-aired.

There was almost an instruction for the National League to scrap its board composition, which goes back to the acrimony around the league's chaotic state last season and calls for the resignation of then chairman Brian Barwick, who has now left the organisation.

Reading the review though, I was reminded of something my mum used to say to me as a kid, 'I don't want problems, I have plenty of them, give me some solutions'.

For all the well-researched issues raised in Tracey Crouch's review, the fundamentals remain. Most of the revenue in English football is driven by a collection of leading clubs, all privately owned. The current structure allows them to keep most of it, the rest gets filtered down.

By definition that makes some clubs exceptionally wealthy and other aspects of the game less so. In addition, none of the people running the bodies in question think they are doing a bad job.

As Crouch says, 'this is just the start'. But she is going to need a lot of determination - and government support - to implement the change many feel is long overdue.

  • Like 2
Posted
1 hour ago, pmcla26 said:

Saturating all the money with the bIG SiX is the only issue real issue.

I’d say the Premier League sucking up all the money. It starves the rest of the football pyramid and leaves us with a under developed football culture save for the top league. To spread the money out throughout the country would need Prem clubs to agree to spread it out throughout the country, not least the top clubs who benefit the most from the system.

Posted

It will never change until there is a proper cost cap written into the rules and enforced by the powers that be, no matter how much the top clubs moan. F1 is going through it and they're coping,  £500,000,000 spend by the big teams down to £125,000,000 in one year is a big drop especially when you're awash with so much money from tv rites that you don't know what to do with it, but F1 saw that the less wealthy teams would go bust and the sport would destroy itself, so they imposed a budget cap.

Posted (edited)

I read the original article and some of it seemed very sensible. The main niggle i had was with the fans' golden share concept - i can see the attraction for many clubs including fans of the big six, but i see us as one of the few exceptions, as owners genuinely seem to be at one with the club. Having a fans group to negotiate with could slow things down or lead to missed opportunities.

 

Will be interested to read the final report in a couple of month's time.

Edited by blabyboy
Spelling
Posted

They need to cap Transfer fees and Salaries first. Just because the big clubs have the money they shouldn't be allowed to distort the league or more importantly buying up good players to sit on the bench when they could be stars at other smaller Clubs.

All Transfers should carry a levie to support the wider game.

All Academy players should be taught a Skill or Trade to help them if it doesn't work out. 

 

There's other things that can be done but I think the recommendations make a lot of sense for the future.

Posted

I understand where football was in the early 90s and the need for the Premier League to truly professionalise the game; but now we have the opposite problem: Too much money in the PL, and especially the Rich 6.

 

I would like to see a two division PL and three division FL (pulling in the fully professional conference sides) with ownership stakes in each other. But that will never happen without a commissioner of some kind.

Posted

The main point for creating the PL as a separate  entity was ringfence any money going for themselves without having to share it proportionally with the FL and free themselves up from the control of the FA . There was no real reason why it couldn't have been marketed as the PL and remain part of the FL and still been a media money magnet.

  • Like 2
Posted
2 hours ago, blabyboy said:

I read the original article and some of it seemed very sensible. The main niggle i had was with the fans' golden share concept - i can see the attraction for many clubs including fans of the big six, but i see us as one of the few exceptions, as owners genuinely seem to be at one with the club. Having a fans group to negotiate with could slow things down or lead to missed opportunities.

 

Will be interested to read the final report in a couple of month's time.


I don’t think there’s anything wrong with more supporter involvement, as good as the owners have been they don’t make decisions at every level of the club and there are times the club have got it wrong, see the whole season ticket issue at the start of last season. It’s no indictment of the ownership to have a strong supporter input. Has the ability to make popular ideas like twenty’s plenty and safe standing much more visible within the structure of the actual club, who have a habit of putting up a wall and being (or at least appearing) completely unaware of these movements, whilst other clubs at least are beginning to acknowledge them if not actively partake.

 

The club ≠ Top, and we shouldn’t shortchange ourselves as fans by pretending so.

  • Like 2
Posted

Salary caps are all well and good but you have to remember that the likes of Jimmy and Hill co fought tooth and nail to have the maximum wage removed all those years ago when a professional footballers pay packet was pretty meagre. If an individual earnings cap were introduced big clubs would soon start to push for a bigger squad limit and simply stockpile players to stop them going elsewhere.

It works in Rugby where it is a squad cap, which would mean a much more even spread of the pot amongst the players whilst still leaving enough wriggle room to pay the top performers a higher cut. As for transfer caps, cant see how this would work, market forces, supply and demand etc dictate prices

Where i see a problem though is that it would have to be a pan-european thing or there would just be a talent drain to italy/spain/germany etc like in the eighties (the reverse of the current situation). With Brexit, cannot see how that would work. The real thing that would get my goat however, is that assuming the TV and merchandising revenues were maintained, it would just make the odious owners of some of our clubs even richer as they could simply pocket the extra profits being made by not having to shell out so much in wages.

  • Like 1
Posted
2 hours ago, Vlad the Fox said:

Hammer the agents, they take far too much out the game and have far too much influence and control without giving anything back. 

Not just in football either...

  • Like 4
Posted
9 hours ago, pmcla26 said:

Saturating all the money with the bIG SiX is the only issue real issue.
 

Can’t really see anyone being able to solve that now, unless they’re determined to be a hero. 

The solution was to let them **** off to the super league.  Shame. 

Posted (edited)

Unless the independent type preliminary findings start acknowledging that money is the problem then for me its pointless. The parachute payment was the only one and that should've been accompanied with promotion spending/ffp with it.

 

It makes me realise how lucky we are to be where we are in such a position of strength and achieving our aims because I have no doubt that there will be a lot of clubs at the end of this review that will bemoan teams in particular that are constantly flitting from the PL because of parachute payments and the unfair advantage caused as has always been seen by all other Championship clubs. The review is flawed if it cannot deal with that element alone. As for the mega rich clubs, I for one think that if this review ties them into the EL pyramid and adheres to EUFA etc then they can stay as rich as they want to be.

Edited by UHDrive
Typo
  • 4 months later...
Posted

Hopefully this is as good as any to post this given the news this morning.

 

https://www.bbc.co.uk/sport/football/59406087

 

Taken from the article...

  • The report makes 47 recommendations, which are summed up in 10 major points:
  • The government should create a new independent regulator (IREF)
  • IREF should oversee financial regulation in football
  • IREF should establish new owners' and directors' tests
  • A new corporate governance code should be set up
  • Equality, diversity and inclusion plans should be mandatory for all clubs
  • Supporters should be consulted on all key off-field decisions through a 'shadow board'
  • Key items of club heritage should be protected by a 'golden share' for fans
  • There should be more support from the Premier League to the pyramid through a solidarity transfer levy, paid by Premier League clubs on buying players from overseas or other top-flight clubs
  • Women's football should be treated equally and given its own review
  • Stakeholders should work to increase protection of welfare of players leaving the game

Few other things not listed include mandatory promotion/relegation contract clauses and permitting drinking at games.  In favour of most of this and really interested to see the final report.

Posted
On 23/07/2021 at 19:35, Bats8711 said:

The solution was to let them **** off to the super league.  Shame. 

They weren't ****ing off though, they wanted the best of both worlds.

Posted

https://www.bbc.co.uk/sport/football/59406087

 

English football 'needs independent regulator to stop lurching from crisis to crisis'

 

English football needs an independent regulator to stop it "lurching from crisis to crisis", says the chair of a fan-led review into the sport.

Former sports minister Tracey Crouch is calling on the government to create a new independent regulator for English football (IREF).

The review says this is necessary for the long-term financial stability of the men's professional game.

"This is a huge opportunity for football," Crouch told BBC Sport.

"We've seen football lurching from crisis to crisis over the past decade and unfortunately we haven't had the right levels of regulation in place to stop that from happening."

BBC Sport understands that Downing Street will support the plan for an independent regulator.

Speaking to BBC sports editor Dan Roan, Crouch added that the recommendations were to remove "vested interests" from football to ensure it can "become sustainable for the long-term future".

The review, which was commissioned by the government, also recommends Premier League clubs paying a "solidarity transfer levy" to further support the football pyramid.

It suggests clubs should have a 'shadow board' of fans so they are properly consulted on key decisions and that supporters hold a 'golden share' to protect their clubs' heritage and which competitions they play in.

The review also proposes new owners' and directors' tests and that these are carried out by IREF instead of the Premier League, English Football League (EFL) and the Football Association (FA).

Crouch said she is "absolutely confident" that such measures would stop any revival of the failed European Super League or a similar breakaway competition and would prevent a club going bust in the manner Bury FC did in 2019.

She added she is "extremely optimistic" the government will support the idea of an independent regulator but said legislation will not be in place by the start of next season.

However, she said a 'shadow regulator' could be set up 'straight away' to establish the guiding principles for IREF.

The Premier League said it recognises the need to "restore and retain" the trust of fans in football governance and that it will study the recommendations before working with the government, fans, FA and EFL on these issues.

The EFL said it hopes the review is a "catalyst for positive change that can make clubs sustainable".

The FA said "many positive changes have already been made", some of which were "directly as a result" of the review.

The Football Supporters' Association (FSA) said the review "lay the basis for a prosperous and sustainable future" for English football at all levels.

What is being recommended?

The report makes 47 recommendations, which are summed up in 10 major points:

  • The government should create a new independent regulator (IREF)
  • IREF should oversee financial regulation in football
  • IREF should establish new owners' and directors' tests
  • A new corporate governance code should be set up
  • Equality, diversity and inclusion plans should be mandatory for all clubs
  • Supporters should be consulted on all key off-field decisions through a 'shadow board'
  • Key items of club heritage should be protected by a 'golden share' for fans
  • There should be more support from the Premier League to the pyramid through a solidarity transfer levy, paid by Premier League clubs on buying players from overseas or other top-flight clubs
  • Women's football should be treated equally and given its own review
  • Stakeholders should work to increase protection of welfare of players leaving the game

The Premier League's owners' and directors' test has come under scrutiny recently following the Saudi Arabian-backed takeover of Newcastle.

Amnesty International has urged the league to change the test to address human rights issues, with the Saudi state accused of human rights abuses.

The Premier League said it has "legally-binding assurances" the Saudi state has no direct control over Newcastle, despite the Public Investment Fund (PIF), which has an 80% stake, being chaired by Crown Prince Mohammed Bin Salman. Western intelligence agencies believe the crown prince approved the 2018 murder of journalist Jamal Khashoggi, which he denies.

The review did not state whether human rights issues would be considered in the new proposed tests but did say owners and directors must be of "good character" to pass.

Crouch said she did not know if the new tests would have blocked the Newcastle takeover but added they would have ensured "greater transparency".

The Premier League and EFL agreed a £250m rescue package for EFL clubs in light of the Covid-19 pandemic in December last year, before the top flight made another £25m available to Leagues One and Two and the National League last week.

The review says the proposed transfer levy will add to that and work in a similar way to stamp duty in order to "distribute revenues across the pyramid and into grassroots".

Crouch said the Premier League "has a duty" to pass more of its wealth down - but that both it and the EFL need to come to a decision on what the levy percentage should be.

If they cannot agree, she said IREF will make the decision on their behalf.

Posted

It will be interesting to see where football goes in the next 10-15 years. All the noises that come from Fifa and Uefa is they're constantly looking at ways to make more money but try to mask it with the old excuses that they're trying to modernise the game and make it better for current younger audiences etc.

 

It's all bollocks. The latest one yesterday about the governing bodies looking at extending half time periods from 15mins in order to be able to offer NFL Superbowl style entertainment etc. It's not what its about. It seems we are edging closer and closer to the American style of presenting sports. The one thing I can't stand about watching the NFL, NBA or MLS is all the adverts and sponsorships it's almost too over the top.

 

I think we'll slowly see a divide in English football, depending on where it goes, with many fans of actual football starting to turn away from the PL and move towards non-league football, local teams and smaller games for the raw excitement of football again. The PL will slowly become sanitised and followed by those looking for a day trip out.

  • Like 1
Posted
4 minutes ago, lcfc278 said:

It will be interesting to see where football goes in the next 10-15 years. All the noises that come from Fifa and Uefa is they're constantly looking at ways to make more money but try to mask it with the old excuses that they're trying to modernise the game and make it better for current younger audiences etc.

 

It's all bollocks. The latest one yesterday about the governing bodies looking at extending half time periods from 15mins in order to be able to offer NFL Superbowl style entertainment etc. It's not what its about. It seems we are edging closer and closer to the American style of presenting sports. The one thing I can't stand about watching the NFL, NBA or MLS is all the adverts and sponsorships it's almost too over the top.

 

I think we'll slowly see a divide in English football, depending on where it goes, with many fans of actual football starting to turn away from the PL and move towards non-league football, local teams and smaller games for the raw excitement of football again. The PL will slowly become sanitised and followed by those looking for a day trip out.

It's taken me years to get used to the increase from 10 to 15 mins at half-time, I never understood why I guess it was to sell more food and drink although that doesn't work at Leicester.

 

I also miss the teams coming out to start separately so you only ended up applauding your own team and if you felt like it could vent against the opposition giving those that like to boo a chance to relieve their weekly frustrations.

 

Give us back our football. 

  • Like 1
Posted

It’s pretty obvious that at some point in the future it’s going to need a huge reform in order to stop multiple clubs from going bankrupt.

 

Thats already happening I guess but it will only get worse.

  • Like 1
Posted (edited)
On 23/07/2021 at 09:59, Pliskin said:

I think we’ve just got to get used to the idea we have little control unfortunately when it comes to the future of anything let alone football. 
 

It is now there to be exploited, where there’s an opportunity for the super powers to squeeze every last penny out of it, they will regardless of how it impacts the paying customer.

 

Look at the state of the world? We’re happy to jeopardise the health of the planet for money, so football is merely a drop in the ocean. 
 

The game will be unrecognisable in 20 years time I think. 

Spot on. were ****ed, enjoy it while it lasts. have a happy day all. k thanks

Edited by Simoken

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