New football regulator will have 'targeted powers' to stop clubs joining breakaway Super League
23 February 2023, 06:39 | Updated: 23 February 2023, 07:57
A new independent football regulator will have "targeted powers" to stop clubs from joining breakaway leagues, the government has said.
A review into an independent football regulator was launched after a group of Premier League clubs, including Manchester United and Chelsea, joined plans for a European 'Super League'.
The new body, which the government has confirmed will act on a recommendation from the 2021 fan-led review of football, will also control the flow of money from the Premier League into other English leagues.
The main purpose of the regulator will be to oversee a license system to ensure clubs are managed sustainably, following the recent collapse of Bury and Macclesfield.
The regulator will also have powers to force action from the Premier League, English Football League (EFL) and Football Association (FA) on how top-flight money trickles down the pyramid.
Sports Minister praises creation of new football regulator
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The EFL's chairman, Rick Parry, wants to secure 25 per cent of all pooled broadcast revenues in a new settlement between the leagues, alongside the introduction of two to one merit-based payments in the Premier League and Championship.
Mr Parry has also called for the abolition of parachute payments, which clubs are paid in seasonly instalments when they drop from the Premier League to the Championship.
The government has said it is confident its plans for a regulator will not compromise the financial power of the Premier League, which is streets ahead of the other 'Big Four' leagues in Europe.
Meanwhile, according to the government white paper, the licensing system will allow for fans to have a veto on club heritage matters. This includes changing the club's badge, name or kit, as well as blocking clubs fro joining new competitions.
The regulator will also run an owners' and directors' test, with a focus on the fitness and propriety of new owners and enhanced due diligence.
Read More: European Super League: 'Big six' rebel football clubs to pay £22m to Premier League
The government says it will now embark on further consultation with the key stakeholders, with plans to bring forward legislation to be announced as soon as parliamentary time allows.
Prime Minister Rishi Sunak said: "Since its inception over 165 years ago, English football has been bringing people together, providing a source of pride for communities and inspiration to millions of fans across the country.
"Yet despite the success of the sport both at home and abroad, we know that there are real challenges which threaten the stability of clubs both big and small.
"These bold new plans will put fans back at the heart of football, protect the rich heritage and traditions of our much-loved clubs and safeguard the beautiful game for future generations."
