Clive Betts Portrait Mr Clive Betts (Sheffield South East) (Lab)
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Would the shadow Minister like to join me in thanking the shadow Secretary of State, his right hon. Friend the Member for Daventry (Stuart Andrew), for first introducing legislation to this House that promoted an independent football regulator? [Interruption.]

Louie French Portrait Mr French
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As the shadow Secretary of State says from a sedentary position, “You’ve messed it all up”, and I am sure that does not apply just to football.

Before I move on to our amendments, it is worth reminding ourselves how we got here. English football was not invented by corporate lawyers or politicians. Its origins are in the history and soul of communities across our country. It is the same spirit that today sees parents across the country drive through wind and rain on a Sunday morning so that their child can run out in their local club colours. It is a spirit that does not appear on balance sheets, but without sustainable finances there is no football at all. Sadly, we have all seen those cases where financial mismanagement and reckless spending have seen clubs and fans damaged. That is why the Conservatives put fans first by launching the independent fan-led review of football governance, which focused on the long-term sustainability of the game.

We support better fan engagement, respecting the heritage of our clubs and strengthening ownership tests to help prevent the issues we have seen at the likes of Bury, Charlton and Reading. The fan-led review stated that this area of regulation should in time be returned to the Football Association and leagues. Having spoken to many football fans across the country and also in my constituency, I can say with confidence that they would agree with that even more now that Labour is trying to directly interfere in English football by appointing a Labour crony.

During the passage of the Bill, we have heard from the FA and the Premier League that they are concerned by regulatory scope creep, and we have sought in our amendments to push back on the tentacles of this socialist state seeking to strangle with red tape our beautiful game—this great British success story, which attracts millions of fans around the world and contributes £8 billion to our economy each season. Our amendments would prevent the Secretary of State from expanding the leagues in scope of the regulator under clause 2 without the approval of Parliament. We must give clubs certainty and prevent Whitehall empire building.

We must also have transparency about how much these new regulatory burdens are costing clubs and ticket prices, both today and in the future. That is why we have tabled amendments 1, 2 and 28. Every pound spent on new compliance staff is a pound not spent on grassroots players, stadium maintenance or affordable ticket prices. Every new bureaucrat is another tenner on a family’s matchday cost. In the end, the fans pick up the tab, just like always. The Government’s impact assessment suggests that these costs will be more than £125 million, with smaller clubs expecting a bill of up to £47 million. We know that many smaller clubs will have no choice but to pass that cost on to fans, and the Government and their regulator must be honest about that.

Members can help limit those additional costs by supporting our amendments 22 and 23, which would limit the size of the Government’s new regulator and cap the pay of the chief executive at the same level as the Prime Minister. The Government state that they want their regulator to be light-touch, but they vote against limits being placed upon it. That leads to the question: why are they saying one thing while doing the opposite in Westminster? Is it because of inexperience, or is the truth that this is yet another example of jobs for the boys, to the cost of fans? That is why we have tabled amendments that would limit political interference in the independence of sport.

We believe that fans should be consulted on any political statements made by clubs. Football clubs must not be mouthpieces for whichever fashionable cause of the time, and we believe that politics should be kept out of sport wherever possible. When a club speaks, it speaks for its fans and the local community. If it wants to do that on matters far beyond football, it should ask those fans first.

Louie French Portrait Mr French
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I am happy to do so. Throughout Committee stage we have been quite clear—as the hon. Gentleman’s colleague, the hon. Member for Cheltenham (Max Wilkinson), will say—that we do not believe that that includes the likes of remembrance, which we is differ from political causes. However, as we have said, we do not believe that clubs should be getting involved in politics, and that is a hill that we are willing to die on.

My amendment 17 to schedule 5 would remove the requirement for additional reporting on equality, diversity and inclusion. We all know that football must be welcoming to everyone. Racism and bigotry have no place on the terraces, just as they have no place in wider society. Football has made huge progress by itself, with a range of initiatives already in the game including Kick It Out, Show Racism the Red Card, the Premier League Equality, Diversity and Inclusion Standard framework, the English Football League’s equality code of practice, anti-racism education and mentoring schemes. The game has done that not because a Government regulator told it to, but because it is right, it works and fans support it. However, fans do not pay their hard-earned money at the turnstiles to fund diversity paperwork. Our amendment leaves inclusion where it belongs: on the pitch, in the stands and in the community.

Let me now turn to clause 7, and to new clause 11 in my name. The new clause seeks to ensure that the IFR exercises its functions to avoid conflicts with the regulations and rules of international footballing bodies. FIFA and UEFA rules are clear: national associations must be free from undue political interference. Countries that break that rules have been banned before: just ask the Greek football committee.

The Government are sleepwalking towards a giant own goal, and this time there is no VAR to save us. We already know that UEFA has written to the Secretary of State setting out its concerns about the Bill, and that the letter arrived after the Government had introduced its expanded version. UEFA writes:

“One particular area of concern stems from one of UEFA’s fundamental requirements, which is that there should be no Government interference in the running of football.”

Unfortunately, the Minister could not give us enough reassurance about Government interference with English football, which is why I have re-tabled my amendment. We know that UEFA is concerned about the potential for scope creep, and that the Government’s regulator may expand its mandate beyond its loosely defined current competencies. Such an expansion, intentional or otherwise, into broader aspects of football governance could undermine the established structures and processes of the sport, and amount to Government interference.

Clive Betts Portrait Mr Betts
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I do not whether the shadow Minister can get some help from his right hon. Friend the Member for Daventry, who is sitting next to him on the Front Bench. I wonder whether, when the right hon. Gentleman was in the Government, he received any correspondence from UEFA and FIFA. Given the openness that the shadow Minister is calling for, will he now publish any correspondence received by the last Government?

Louie French Portrait Mr French
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That is quite a rehearsed line that the hon. Gentleman is seeing to play out. As we heard in Committee, the Minister has sought to reassure the House that UEFA has no problems with the Bill. If that is the case, why is the letter not being laid in the House so that all Members can vote with full confidence in what is being said? What is being briefed to the press differs significantly from what the Minister is telling Members today.

So far, the Minister has refused to allow Parliament to see that letter so that we can scrutinise the Bill properly in the fullest possible way and in the proper context. Let me will ask her again now: what is she so afraid of? Is she scared that, given the Secretary of State is already under investigation for appointing one of her donors as chair, the publication of the letter will prove to be yet another nail in the coffin of her regulator?

Let me now turn to schedule 2. Any regulator must be credible, and that means independent beyond any doubt. But what have we seen? A preferred chair with a hidden political donation, a Secretary of State forced to recuse herself only when exposed, and a revolving door—

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Stephanie Peacock Portrait Stephanie Peacock
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My hon. Friend makes a good point, and I have reflected those comments to the relevant Home Office Minister, as I said.

I will turn to the amendments in the name of the Liberal Democrat spokesperson, the hon. Member for Cheltenham (Max Wilkinson). I thank him for his constructive approach to the scrutiny of the legislation and for his party’s support. Several of his amendments are outside the scope of the regulator, but I am sure that he will put on record some important and valid points.

On free-to-air TV in new clause 3, the Government believe that the current list of events works well and strikes an appropriate balance between giving access to sporting events and allowing sports to maximise broadcasting revenue. In domestic football, the present arrangements under the listed events regime have protected key moments such as the FA cup final, while ensuring that the Premier League, EFL and FA are able to raise billions of pounds annually, which is invested back into the pyramid. We all want to see more matches being televised free to air, but that must be balanced against investment, and not risk it.

On new clause 4 on the golden share, we expect that the regulator will welcome clubs taking any measure to improve fan engagement and protect club heritage, including a golden share, but it will not mandate them to do so. That brings me on to the issue of fan engagement, which has been raised by the hon. Member for Cheltenham and my hon. Friend the Member for Sheffield South East (Mr Betts) in their amendments. Let me be really clear: the Government have strengthened fan engagement. The previous Government’s Bill required clubs to have a framework in place to ensure that they regularly meet and consult with a representative group of fans on key strategic matters at the club and other issues of importance to supporters. We have improved that by requiring fan engagement to continue even if a club enters into insolvency, and by introducing a requirement for consultation on ticket prices. We have not prescribed a fixed, one-size-fits-all approach to fan engagement. We of course expect the regulator to consult the Football Supporters’ Association where appropriate on fan issues, and I know the shadow regulator is already engaging with it. We do not want to place an unmanageable burden on clubs unnecessarily, which is why new clause 4 is not needed.

The hon. Member for Cheltenham has also tabled amendments on protections for home grounds, which my hon. Friend the Member for Sheffield South East has also raised and we have recently discussed. Home grounds are vital assets for clubs, which is why the Bill introduces protections to prevent inappropriate stadium sales and relocations. Clauses 46 and 48 require a club to get approval from the regulator before they sell or relocate their stadium.

On the sale of a home ground, let me first clarify that the legislation uses the term “disposal” rather than “sale” for technical legal reasons. For example, a club might sell a portion of the stadium, rather than the whole stadium. That is because a club might divest a shareholding, or transfer interest, in the stadium without it amounting to a full sale. Under clause 46, the regulator’s approval is needed in all instances for the sale of a stadium by a club. A sale can be approved only if it would not undermine the sustainability of the club. If a sale might mean that the club will have nowhere to play a few years down the line, that means the club may not be sustainable and the regulator is unlikely to approve the sale.

Clive Betts Portrait Mr Betts
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Does the Minister think that the regulator would take on board the views of fans as part of the process of looking at these matters and having to give approval in the normal way?

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Judith Cummins Portrait Madam Deputy Speaker (Judith Cummins)
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I am imposing an immediate five-minute time limit. I call Clive Betts.

Clive Betts Portrait Mr Betts
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Thank you, Madam Deputy Speaker—not for the time limit but for calling me.

The Bill is crucial because football has failed to regulate itself. It is key to ensuring the sustainability of our great game. The first aspect of it that I really commend is the move to give the regulator powers to ensure a fairer redistribution of money throughout the football pyramid—it is clearly totally unfair that money is concentrated in a handful of clubs at the top while other clubs struggle at the bottom—and to remove the enormous cliff edge between the premier league and the championship. I thank the Secretary of State and the Sport Minister for listening to the concerns raised about the powers of the regulator with regard to the backstop. In improving the backstop in terms of scope and process during the Bill’s passage, they have listened and acted, which is welcome indeed.

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Louise Haigh Portrait Louise Haigh (Sheffield Heeley) (Lab)
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Despite being a lifelong Barnsley supporter, I am still grateful to my hon. Friend for hosting the Sheffield Wednesday supporters’ trust yesterday and for his leadership on this issue. What was reflected back to us by the supporters’ trust is how unfair the current situation is. Clubs—and therefore the fans—are punished when irresponsible owners like the current owner of Sheffield Wednesday, Chansiri, behave appallingly and do not put the fans first.

Clive Betts Portrait Mr Betts
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My right hon. Friend is absolutely right. I will turn in a second to what the EFL can do now.

For all that the Minister has been helpful in explaining what the regulator’s powers will be, the problem is that we are left in the meantime without a regulator and doubts about what the EFL can do in that regard. My hon. Friends the Members for Reading Central (Matt Rodda), for Reading West and Mid Berkshire (Olivia Bailey) and for Earley and Woodley (Yuan Yang) will be very much involved with the Reading supporters’ trust and can tell us all the problems that they have experienced. My hon. Friend the Member for Morecambe and Lunesdale (Lizzi Collinge) has similar problems with her club. There have been similar problems for Derby and its fans, as hon. Friends will know, and the Secretary of State will know about Wigan.

The situation at Sheffield Wednesday is dire. The owner has failed to pay wages for three months over the course of this year. That affects not just the players—some of whom may be well off, while others are not; the administrative staff, clerks and all those people have not been paid for two months in some cases. The owner has not paid His Majesty’s Revenue and Customs on two occasions. It is clear that he is simply running out of money.

What actions can the EFL take? We welcome the investigation that it is now conducting into what is going on at Hillsborough, but it is clear that although Chansiri was funding the club to the tune of about £10 million a year, he has now run out of money. Rob Brookes of the Wednesday supporters’ trust has done a brilliant analysis of Chansiri’s companies in Thailand, which are, by and large, now losing money. He is not able to fund the club, so where has the money been coming from to keep it going for the past two or three years? Has he borrowed it? If so, who has he borrowed it from? What are the conditions on that borrowing? Are the people who lent him the money now effectively running the club and telling Chansiri that he cannot sell it? He has turned down many approaches to sell the club and is demanding ridiculous prices for it. Has the money been borrowed from reputable sources? I do not know; I am not making an accusation. The only person who can clarify this awful situation is Mr Chansiri himself, but he will not comment on it.

We welcome the EFL investigation. As my right hon. Friend the Member for Sheffield Heeley (Louise Haigh) says, we want the EFL to find out what is happening, and to be transparent and open about what it knew about the whole issue. Why, when Chansiri produced a business plan in March, did the EFL accept it? How far did it question that plan? Having given the EFL a business plan saying that he was financially sustainable, he failed to pay wages hours later. He had two five-hour engagements with the fans and never once mentioned his problems funding the club.

As my right hon. Friend the Member for Sheffield Heeley said, what we do not want is for the EFL to come in and its only actions be to punish the club with transfer embargoes and points deductions to the point where a sustainable sale to someone else is not possible. I say to the EFL: you are the only hope we have until the regulator comes in, so please work with the fans’ trust and others to find the best way forward. Tell us what you knew and what you know now, and expose what Chansiri has been doing, because it is an absolute disgrace that a club of Sheffield Wednesday’s stature should be reduced to this situation.

We have heard today that, because of the Safety of Sports Grounds Act 1975, Sheffield city council has issued a directive that unless work is done on the north stand roof, it will close part of the ground come the start of the season, but the club has known about that for three years. This is an appalling situation. I ask the Minister and the Secretary of State to talk to the EFL about how far they can work with them to save the situation.

I welcome the Minister for Sport’s letters to me, the commitment to fan engagement and the commitment on the FSA’s role going forward, but the regulator must have the powers to intervene if it feels that external competitions such as the club world cup interfere with our domestic competitions. I thank her very much for her engagement right through this process.

Bobby Dean Portrait Bobby Dean
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I rise to speak in favour of the amendments tabled by my hon. Friend the Member for Cheltenham (Max Wilkinson), specifically new clauses 3 and 4.

I will start by outlining why these fan-centric measures are important to this particular fan and why football is important to me. Football has been the most constant thing in my life. When I was a young boy, my uncle called me Statto because I used to study Teletext for every bit of football information I could get—the league tables, the top scorers, all the transfer news—and relay it to my family until I annoyed the hell out of all of them. Football was also the central bond with my grandparent, or Pops, as I used to know him—so much so that when he passed, I took his ashes down the Tottenham High Road and laid them in the foundations of the new Tottenham Hotspur stadium. Football is probably the most frequent conversation I have with my dad and the thing that glues all my friendship networks together.

I have to confess that being a politician was not my first career choice. Just like every young boy, I thought I could be a footballer. Despite hours of effort after school every day, I was never going to be good enough. But I never gave up; I played football throughout my university years and formed many friendships that way. After that, we did not want to stop, so we set up an alumni football club together and carried on. Eventually, I joined Carshalton football club, whose club tie I am wearing today, and I still play on a Saturday, except for the weekends when I am injured. Those moments in Beddington park playing for Carshalton football club are some of the only moments when I get to switch off from all this—my teammates would probably say that I also switch off too much on a Saturday when the winger runs past me!

Then there is the watching of football—the lunacy of me continuing to watch. Let me tell you, Madam Deputy Speaker: the journey from Carshalton to Tottenham and back on a rainy Tuesday night is brutal, particularly when we lose the number of games that Tottenham lost this year. Yet in the same season when I have had all that misery, I had one night in Bilbao last month that was probably one of the best nights of my life. Isn’t that just football—misery and sublime nights like that all in one go?

The centrality of football to people’s lives is what makes this Bill so important. People have felt in recent years that the game has drifted away from them, and some people’s reaction is to say, “That’s the way it is.” I am glad that, through the Bill, the Government are saying that we will not be resigned to that fact—we are going to fight, stop that drift and bring it closer to fans again.

That brings me to new clause 4, which is about the golden share. This is particularly important because it would lock in the fans’ voice via democratically elected organisations. That would mean that clubs would not be able to simply pay lip service to the element of consultation with fans; there would be real power for the fans, with their presence inside the clubs. Of course, this does not go anywhere near as far as other countries, like Germany with the Bundesliga, but it is an important protection.

We spoke at length earlier about new clause 3 and the free-to-air element. I understand why there is a bit of controversy around that and why the Secretary of State will say that the current listings system works well. But who do it work well for? It certainly works well for the premier league, but I am not sure whether it works well for all fans. The new clause would not go as far as la liga, which broadcasts a game every single week. Let us not kid ourselves: we are talking about 10 games out of 760 available—that would be 1% of games. I do not think that would destroy the premier league’s product, but it would make games so much more accessible to the next generation of fans. The premier league is a global attraction, but it is also England’s product, and English fans should be able to watch those games.

There are other elements of the Bill that I could go on to support, but I am short on time, so I will just express my support for new clause 1, which is important. I end with this quote from a famous Tottenham manager, Bill Nicholson:

“We must always consider our supporters, for without them there would be no professional football. It would be better to have more fans watching football the way they like it played, rather than have a few fans watching football the way we would like it played.”

Those are important words that we should all reflect on when voting today.

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Lisa Nandy Portrait Lisa Nandy
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When my club Wigan Athletic was in trouble because of poor ownership for the second time, I used those precise words. I said that this must be the last time this ever happens to football fans, but as my hon. Friend rightly says, here we are with so many Members telling heartbreaking stories about the near loss of their clubs—so I could not agree with him more.

I want to acknowledge to the hon. Members for Cheltenham (Max Wilkinson) and for Carshalton and Wallington (Bobby Dean) that although we may disagree about the best way to improve access and protect the financial sustainability of the game, I do not doubt for one moment their sincerity in wanting to make sure that far more people can experience the joy of football. The Minister for Sport said to me earlier that it has been a pleasure to work with the hon. Member for Cheltenham to get this Bill on to the statute book, so I am grateful to him for his work.

I turn to new clause 9, tabled by my hon. Friend the Member for Sheffield South East (Mr Betts), who has done extraordinary work throughout the passage of the Bill. I want to address the point that he did not have time to speak to earlier. We absolutely understand why he is pursuing this matter, and he is right to do so, but we believe that the clause is not necessary. I am happy to pass on the commitment that the Minister for Sport made to me: she will write to my hon. Friend with a full explanation of why the clause is not necessary, and a copy of the letter will be placed in the House of Commons Library. On behalf of the whole House, I thank my hon. Friend for the expertise that he has brought to bear.

Clive Betts Portrait Mr Betts
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As I tried to set out, my intention was simply to draw attention to whether the regulator has the power—it does not necessarily have to use it—to intervene if the domestic competitions that all clubs engage in are being damaged by competitions like the club world cup, from which a handful of clubs make multimillions of pounds. I wanted to make sure that the regulator had the power to deal with that.

Lisa Nandy Portrait Lisa Nandy
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We believe that it does. As I said, the Minister will write to him on that point and place a copy of the letter in the Library so that the whole House can understand the Government’s position.

Let me turn to the hon. Member for Old Bexley and Sidcup (Mr French). I do not really know where to start with this, to be honest, but I am determined to give it a try. When it comes to the Government’s preferred candidate, I gently point out to the hon. Member that this is a candidate that has been strongly endorsed by the cross-party Culture, Media and Sport Committee. He was appointed by the last Conservative Government to the board of Channel 4 and, as I made clear a moment ago, he was on the list that I inherited from the Conservative Government and the right hon. Member for Daventry (Stuart Andrew), who now serves as the shadow Secretary of State, along with a Conservative donor as well.

It is astonishing that the shadow Minister has come to this House, belatedly, with allegations of cronyism, and that the best and only defence that he has been able to offer for this breathtaking hypocrisy is that his right hon. Friend, the shadow Secretary of State, did not have a clue what was going on in his own Department. Can he not see how absurd that is?