UK Government will introduce the Football Governance Bill to Parliament.
The Football Governance Bill had been in the works over the last few years but failed to get through Parliament prior to this summer’s General Election, which saw Labour regain power after a 14-year absence.
Secretary of State for Culture, Media and Sport, Lisa Nandy has since picked up the Bill and following conversations with EFL plus clubs, it has been decided to introduce the bill to Parliament.
EFL Chairman, Rick Parry has welcomed this move which he believes is down to “genuine commitment and openness…” showed by the Government in discussions about the previous version of the Bill.
Parry proceeded to explain that an independent regulator is needed and is pleased with the Bill’s framing.
“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.”
There will also be a ‘State of the Game’ report which will be delivered within 18 months, setting out “.. the objective and independent basis…” for the work of the new regulator.
Parry has vowed that the EFL and clubs will work together with the Government on the report, whilst playing a role in other topics addressed by the Bill of which they will analyse closely and offer support to both Parliament and House of Lords.
“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.”
Parry though iterated that the EFL aims “… 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.”
Amidst vocal discontent from the Premier League, Parry explained that the EFL don’t wish “to harm or hinder the strength of the Premier League, and the value which it generates for the wider pyramid,” and instead is focused on sustainability.
“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.”