A new football charter is set to bring in drastic changes to the way the game is run, according to a leaked government paper seen by The Sun.
The charter is reportedly set to bring in new regulations on potential owners, including barring those who cannot prove their wealth is ‘legitimate’, provide an increased role in the running of clubs by fans and lead to the set-up of an independent football regulator.
It is all part of The Football White Paper, which is expected to be published next week, following a Government-commissioned report into the game that took place back in November 2021.
Conservative MP Tracey Crouch had made the case for an independent regulator in her fan-led review of football, which was accepted by then-Prime Minister Boris Johnson.
However, the fan-led review was thrown into doubt last year with former PM Liz Truss reportedly not keen on it, before Rishi Sunak re-outlined his commitment to the plans when he entered office.
A new football charter is reportedly set to bring in drastic changes to the way the game is run
Tracey Crouch MP made the case for an independent regulator in her fan-led review of football
The reported plans regarding the checks on those buying clubs would have affected former Chelsea owner and Russian oligarch Roman Abramovich
Regarding potential owners, the Government paper will mean that anyone who wants to take over a football club will have to prove the source of their wealth.
This means that those who are unable to prove they amassed their fortunes in a legitimate means won’t be able to buy clubs and the report states this is being done to ensure only ‘fit and proper custodians’ can become owners.
This would have affected former Chelsea owner Roman Abramovich and kept the oligarch out of the Premier League, with the regulator expected to carry out significant due diligence on potentially undesirable investors.
Every team will also reportedly need to have sufficient funds and follow a new governance code in order to ensure they are financially stable.
There is also set to be increased say for supporters in their clubs, who will be expected to have a minimum level of engagement in order to stop owners changing things like names, logos or colours without consultation.
This was the case in 2012 when Cardiff City owner Vincent Tan changed the club’s colours from blue to red, before he reversed the decision in 2015 after fan protests.
The report states a level of minimum standards will be enforced to ensure supporters are ‘consulted on all key legacy decisions’.
Clubs will also help to fund an independent regulator who will have powers to stop teams from joining breakaway leagues unless they are approved by the regulator.
Rishi Sunak outlined his commitment to the plans when he entered office as PM last year
Many of the proposals are aimed at reducing the number of clubs that go bust, such as Derby County who went into administration last year before they were saved
This would include the failed European Super League which all of the Premier League’s ‘Big Six’ teams signed up to originally before leaving following widespread fan protests.
This regulator will be funded through teams being taxed an annual fee, with richer clubs paying more than smaller clubs.
It would reportedly then be able to also redistribute money from the Premier League to the lower leagues.
Each club in the top five tiers of English football must also obtain a legal licence, and this will be achieved through the use of four separate criteria for teams to meet, with sanctions imposed for those who break the rules.
The criteria are reportedly ensuring the club has financial security, is run by fit and proper owners, has a suitable level of fan power and plays in approved league and cup competitions.
Michelle Donelan, Culture Secretary, is reportedly keen for the independent regulator to be ready to go from the start of the 2024-25 season, with the proposals expected to be signed off by the Cabinet shortly.
Michelle Donelan, Culture Secretary, is reportedly keen for the independent regulator to be ready to go from the start of the 2024-25 season
Cardiff City owner Vincent Tan changed the clubs colours from Blue to Red in 2012, but the new regulations would mean owners wouldn’t be able to make decisions like that anymore
While there is a hope the introduction of a regulator will reduce the chances of clubs going bust, with more than 60 doing so since the Premier League was launched in 1992, these proposals in the reported football charter are likely to cause controversy.
They are expected to be rejected and opposed by clubs that are not in favour of further regulation, with the issues likely to take centre stage over the coming weeks and months.
However, the new football charter is not expected to tackle other highly-controversial issues like rising ticket prices or the drinking of alcohol in stands while watching games – as is the case in some European countries.