House of Lords
Monday 2 December 2024
Prayers—read by the Lord Bishop of London.
Great British Nuclear: Modular Reactors
Question
Asked by
To ask His Majesty’s Government what progress Great British Nuclear has made with its plans to deploy small modular reactors and advanced modular reactors, and what assessment they have made of the process for evaluating their design and manufacturing.
My Lords, Great British Nuclear is pushing forward the SMR competition for UK deployment and is now in negotiation with bidders, with final decisions to be taken in the spring. The Government are also actively exploring how we can enable alternative routes to market for advanced technologies, including AMRs, and we will set out our policy position in due course.
I thank the Minister for that Answer. Will he explain exactly what has caused the damaging schedule slippage within GBN? Is it the shortage of staff, underfunding, underestimating the workload required or the many layers of approval—11 separate Whitehall approval committees at the last count—in order to allow GBN to announce the latest download of SMR technologies?
My Lords, I think the noble Baroness will know the answer, because 16 months of the lifetime of GBN occurred under her party’s Administration. The fact is that we are working very closely with GBN. It has to go through considered processes. It has done two rounds of assessment and, as I have said, four technologies have been shortlisted, all of which are viable options for development. Crucial talks are now taking place. Companies will be invited to make final bids, and decisions will be made in the spring. I am confident that GBN will ensure that we get to that final decision as soon as possible.
My Lords, will my noble friend the Minister please consider how we might give good news to those sites in north-west Wales, principally the Wylfa plant in Ynys Môn—Anglesey—now dormant, and Trawsfynydd in Meirionnydd, now dormant? The communities around those great plants that generated nuclear power for Britain deserve consideration in so far as, throughout north-west Wales, skilled jobs with good wages and status are very rare and both communities have deserved investment from our Government.
My Lords, I think I get the point my noble friend raises. He is absolutely right: new nuclear can bring many high-quality jobs, enhance our skills chain and help us grow the economy. He mentioned Wylfa in particular, and I well understand. He will know that Great British Nuclear has bought Wylfa, which is one of the sites identified in the planning statement in relation to nuclear. We are looking to make our siting policy more flexible to give us more opportunities in the future. We see new nuclear as having a hugely important role to play in our future energy structure.
My Lords, I declare my interests as in the register. As the Minister will be aware, we currently have an issue with dependence on Russian fuel for our nuclear fleet. What progress are the Government making in bringing forward legislation for a near-term ban on Russian fuel imports, with all the attendant benefits for national security, for convincing others to move internationally and for our domestic industries?
My Lords, the noble Lord will know that we have already agreed internationally to go for a 2030 cut-off. I have had correspondence from the noble Lord and I know that others would argue that we should bring it forward, as the US has wanted to do. We are in very serious discussions about that.
My Lords, the Minister will know about the global shortage of radioisotope supply for treating cancer. Is he aware that the Welsh Government, in co-operation with the Egino company, have financed a feasibility study into establishing a radioisotope production plant on the existing Trawsfynydd nuclear site, to which the noble Lord, Lord Jones, referred a moment ago, and for which an SMR would be highly relevant? Does he accept that such a project would help meet the UK healthcare needs, facilitate valuable exports, help the existing nuclear site to be managed and provide much-needed high-grade jobs? Please will he link up with colleagues in Cardiff to see what can be done on this through GB Nuclear?
My Lords, I understand the point the noble Lord is raising. My department is exercised by the advantage that could be brought. We are in discussions with the Welsh Assembly Government and my colleagues in the Department of Health and Social Care. I cannot say at this stage whether we can bring this to a successful outcome, but I certainly see the merits in what he is arguing.
My Lords, can the Minister update the House on the importance of the agreement reached on the sidelines of the COP summit with the United States, which seeks to speed up the deployment of cutting-edge nuclear technology, helping to decarbonise our industry? The agreement aims to support information sharing on advanced nuclear technologies to help make them available to industry by 2030. How important is this agreement, and how will it help us to make sure that this technology is actually deployed?
My Lords, it is a very important agreement. We have a very good relationship with the US on all things civil nuclear, and this will enable us to enhance that. I should also say that at COP, six new countries joined existing countries in declaration of an aim to triple nuclear power globally by 2050. There are now 31 signatures, which is very important. It is an indication that globally we are seeing a renaissance in nuclear, in which this Government wish our own nuclear industry to be a part.
Last week, in answer to a question on COP 29 from the noble and learned Baroness, Lady Butler-Sloss, referencing GB Energy, the noble Baroness, Lady Smith of Basildon, suggested that the Government would look at nuclear energy, specifically small nuclear reactors. Can the Minister clarify whether that is indeed the case?
I am not sure I understand the question, but if it is whether we recognise the importance of SMRs in this country and generally, the answer is yes. On the benefits of the use of small modular reactors, having a modular approach in which much can be assembled off-site brings huge advantages. Going forward, we see that SMRs have great potential, and of course UK companies themselves have great potential.
My Lords, the Minister clearly shares my frustration at the time taken in moving this issue forward under the previous Administration. At the same time, is it not a fact that we have a major nuclear reactor constructor in the UK that has been producing reactors for our submarines for over 60 years? Is it not enormously important for that constructor, and equally important for its supply chain, to be able to tool up and organise in order to produce? Is it not the unfortunate reality that the United States is moving ahead on this and has a full-spectrum approach to selling its modular reactors while we slip behind? What is the Minister going to do to speed this up?
I hope we are not slipping behind. Clearly, the process that GBN is going through will take a few more months, but I hope the outcome will be a satisfactory conclusion. I cannot comment on the companies involved in the appraisal and the discussions taking place with GBN at the moment, but I take the noble Lord’s point about our defence capability and the supply chain. We are increasingly seeing the civil nuclear and defence nuclear industries working more closely together, and I see that as a very important foundation for the future. I take the noble Lord’s point about the US; it is important that where we have a technological advantage, we make the best of it.
We will hear from the noble Baroness first, then the noble Lord.
My Lords, the Minister may have seen in New Civil Engineer in the past week the interview with King’s College London research fellow Ross Peel, who could be broadly characterised as a supporter of new nuclear and small modular reactors. He expressed concern that with the focus on safety, which is going to be a huge community concern, there has not been the focus that there needs to be on the security of the new modular nuclear reactors. A huge amount of spending has kept the current ones secure—
Question!
Are the Government going to consider security in the same kind of way?
My Lords, security is one of the key considerations not just on SMRs but on AMRs.
My Lords, there is a puzzle here. If the world acknowledges that SMRs and like designs can be built far more quickly than the larger-gigawatt traditional nuclear power stations, and if investors can be attracted to finance those SMRs—whereas the giants such as Sizewell, the so-called replica, will cost billions that will eventually fall on consumers and taxpayers—why are we not giving far more priority to ordering and developing SMRs and smaller reactors, as many other countries are doing? Many producers are finding that their order books are becoming full.
My Lords, I think the noble Lord paints too bleak a position. The UK is very well placed in relation to SMRs, and the programme that GBN is taking forward is being watched with great interest by a number of countries. In relation to investment, as the chair of GBN, Simon Bowen, told the energy Select Committee last week, of course there are issues to do with risk, timing and potential delays with first-in-class designs. But as we gain momentum and produce more modular reactors, the efficiency of the programme will get better and better. That is why we have to give support at this stage, and why we see huge potential.
NHS Plan: Consultation
Question
Asked by
To ask His Majesty’s Government what steps they are taking to ensure the consultation for the NHS 10 Year Plan reaches all communities, including those who have least interaction with the health service.
My Lords, we want to ensure that the voices and experiences of patients are at the heart of our plans to make the NHS fit for the future, especially those voices that often go unheard. We are working with charities, faith groups, health and care providers, local government and others to ensure that we hear from those that national government often fails to reach. We will monitor this closely and target underrepresented groups before the engagement exercise concludes in spring 2025.
I thank the Minister for her reply, and I am encouraged by the Government’s consultation on the NHS 10-year plan. However, does she agree with me that, if we are to move from sickness to prevention, any engagement ICBs have with their communities has to be long term and systematic? If so, what are the Government doing to resource ICBs to make sure that their engagement with communities is long term and systematic?
I agree with the right reverend Prelate. Integrated care systems, which are responsible for reflecting the needs of the community and its spending, must follow guidance, and it is important that we identify the seldom-heard groups. We have built into the consultation plans a “workshop in a box”—a toolkit to support discussion in local communities, which ICBs are rolling out. It is a good way of encouraging ICBs to talk directly to local communities.
My Lords, will the consultation be published in languages other than English, with proactive efforts to encourage responses from people whose first language is not English? Secondly, will the department make sure that it consults with public service interpreters working in NHS settings?
I can confirm that both the online portal and the “workshop in a box” to which I just referred will be available in easy read and British Sign Language versions, and in other languages. Attention has been given to those for whom English is not their first language; in-person events can be tailored to their needs—for example, by having smaller groups. The staff to whom the noble Baroness refers are a major group being asked to provide input; indeed, they are taking part in online workshops and can respond online.
My Lords, does my noble friend the Minister agree that one of the groups that sometimes finds it difficult to interact with health service professionals is unpaid carers? Despite the huge contribution that they make, they often have their needs ignored by those providing services. Does she therefore agree that it is very important that the voice of the unpaid carer is heard in the consultation process?
I agree with my noble friend: we have to hear from unpaid carers, because that will strengthen the exercise. We are constantly monitoring which groups are responding and which are not, and that allows us to tailor our approach to the underrepresented groups who are not coming forward. If that includes unpaid carers, the consultation absolutely will make special, tailored efforts to reach them.
My Lords, the life expectancy of people with learning disabilities is, on average, 20 years less than the general population’s. Research has shown that a major contributor to this is a lack of access to appropriate healthcare. What will the Minister do to ensure that this group of people will be not only consulted but listened to, and that the 10-year plan will provide appropriate services tailored to them?
This is indeed one of the groups for whom we need to ensure absolute inclusion. As I mentioned, the work with integrated care systems will be particularly helpful in running the workshop. We train organisations to work with it, and it is designed so that it is easy to use. It can be used in events to reach the seldom-heard voices in communities, including those with learning disabilities. It is vital that we hear from them as we design an NHS fit for everybody for the future.
My Lords, one of the biggest causes of inequality is where you live in the country. If you live in the north-east or north-west, you live two, three or four years less than if you live in the south-west or south-east. Far fewer resources are available for people in those deprived areas: there are fewer doctors, nurses, physios, dentists and so on. What can the Government do to redress this gross imbalance?
My noble friend allows me to say—and I hope your Lordships’ House will agree with this—that our approach will of course focus on addressing the social determinants of health. The goal will be to halve the gap in healthy life expectancy between the richest and the poorest regions. We are not just going to be moving from sickness to prevention as one of our three pillars, important though that is; we are also seeking, across government, to address the root causes of health inequalities. Again, that is being highlighted as part of the consultation.
What special efforts will be made to speak to young people, who are often very far away from the health system—those leaving care, those who have just left prison and those from very poor communities? What effort will be made to hear their voices? They are often far away from the NHS because they do not need it yet, but they will in the future.
I thank the noble Lord. Yesterday, I was at an in-person event in Folkestone, and as with all such events up and down the country, it had used systems to find a wide range of people, including young people, who, as he rightly says, are often unlinked with the health service. I emphasise our continued monitoring and our efforts to reach the groups he speaks of. So far, we know that men, those aged under 35, and black Asian and black British people have engaged least with Change NHS. We are now stepping up our efforts.
My Lords, will my noble friend the Minister look at the role that pharmacists might play in any consultation? While they may not be an obvious source of reaching out, they are embedded in communities and talk to patients and users frequently. If they could be harnessed, it would much improve the consultation.
I am very grateful to all those, including pharmacists, who have used all their networks and contacts to spread the word. That is why we have had over 60,000 responses and more than 1 million visits in what is the largest ever consultation in the history of the NHS. I call on all groups to continue their efforts to ensure that voices across all communities are heard loud and clear.
During the vaccine programmes for Covid, the NHS and the last Government put a lot of effort into looking at ways to reach people who are vaccine hesitant—often from some black and Asian communities and other excluded communities. What lessons have been learned by the Government and the NHS to ensure that the consultation on the 10-year plan reaches as many people as possible from these communities, so that their voices are heard?
The lessons that have been learned are that there has to be a whole range of ways of consulting: in person around the country; online, where people can access the website; and through toolkits such as the “workshop in a box”. As I mentioned in an earlier answer, the consultation also needs to be tailored to the needs of those who need to speak up. We are asking the public, staff and organisations what is important, and we want, as the Prime Minister said, their fingerprints all over the 10-year plan.
My Lords, people living with homelessness often have chronic and multiple health needs which go untreated, and they are also more vulnerable to substance misuse. Appreciating the difficulty, what are the Government doing to ensure that the needs of people living with homelessness are addressed and heard through this consultation?
We have identified those who are homeless as one of the specific seldom-heard groups, and that is why we are working so closely with integrated care systems: to ensure that we reach them on their territory. The other groups include, for example, sex workers, young people, those with learning disabilities and some ethnic minorities.
Humanist Marriages
Question
Tabled by
To ask His Majesty’s Government whether they conducted an equality impact assessment following the judgment in R (Harrison & Ors) v Secretary of State for Justice [2020] concerning humanist marriages.
On behalf of my noble friend, and with her agreement, I beg leave to ask the Question standing in her name on the Order Paper.
My Lords, under the previous Government, the High Court found in Harrison a difference of treatment in weddings law towards humanists. However, it also found that the then Government had demonstrated that the difference in treatment was justified given the legitimate aim to address differences in treatment as part of wholesale reform. As a new Government, we need properly to consider these important issues and will set out our position in due course.
My Lords, when the High Court ruled that the lack of legal recognition for humanist marriages was discriminatory, this was surely an argument for the last Government to do something, which they failed to do. Is it not now time for this Government to go through the process of having an impact assessment?
My Lords, we will assess marriage in the round, including humanist weddings, and we will announce when we do that in due course. I agree with the general point which my noble friend has made.
My Lords, just under 20 years ago, Scotland legalised humanist marriage. Remarkably, data from the National Records of Scotland show that more Scots now choose a humanist wedding than those who marry in all other religions combined—that is, the Church of Scotland, the Roman Catholic Church and all other religions and faiths. On present trends, humanist weddings in Scotland will soon overtake civil ceremonies as Scotland’s first choice. How can we any longer deny the humanist option to those who want to wed in England?
I thank the noble Lord for that question. Scotland was able to accommodate humanist weddings within its existing legislative framework for weddings because it operates an officiant-based model, whereby regulation of weddings takes place via the officiant. In contrast, in England and Wales, we have a buildings-based scheme. It is in that difference that Scotland was able to make this accommodation, and that factor will be taken into account in the review to which I have already referred.
My Lords, can I help the Minister? I am afraid I did not understand much of his original reply, but it seems to me that there is a problem that he has that they do not have in Scotland, Northern Ireland or in Jersey, where humanist marriages have been allowed. Indeed, Scientologists were allowed to marry almost 20 years ago. What specifically is the problem? If there is a problem, will he look to other parts of the United Kingdom for the resolution? They got it right; we need to do something about it.
My Lords, there are a lot of anomalies within weddings arrangements in England and Wales, and it is for that reason that we want to look at all of them. If we were to go down the route of secondary legislation for humanists, for example, that would create a further anomaly. We do not want to go down that track; we want to look at the whole system in the round.
My Lords, “in good time” and “in the round” are just not good enough. There is a gross unfairness in that couples wishing to have a humanist ceremony in England and Wales must also have a civil ceremony, which means additional cost and outlay. Will the Government, instead of giving excuses, move forward and commit to taking action?
I can say to the noble Lord only what I said to other questioners, which is we want to look at this question in the round. There are many other groups—faith and non-faith—who also feel they are not fairly treated by the current arrangements, and we want to take their views into account when we look at this.
My Lords, it may be an anomaly, but there are now 350 religious organisations in this country which are registered to conduct weddings. In 2013, an order was laid in Parliament that we could approve weddings for humanists. Why are we allowing this anomaly to continue? Is it not straight discrimination?
My Lords, my answer is the same as that given to the previous questions, which is that there are indeed anomalies in weddings law within England and Wales; they cut across many religious and non-religious groups, and we want to look at the question in the round.
My Lords, just to change the angle for a little bit, humanists have a long tradition of conducting same-sex wedding ceremonies, with LGBT people much more likely to be non-religious than the population as a whole. Does the Minister agree that such a change in the law would be significant for same-sex couples?
The statistic that the noble Baroness cited is accurate from my experience. Yes, such a change would have a disproportionate benefit for same-sex couples, and that factor should be taken into account in the review.
My Lords, does the Minister agree that, rather than an equality impact assessment, what are required are certainty, clarity and essential fairness in the law governing all marriages, religious and non-religious, in line with the recommendations of the Law Commission back in 2022? People now use a variety of ceremonies—religious and non-religious—and should, frankly, be confident of their status at the end of each ceremony. Surely, the Government can direct reforms to meet those requirements.
I agree with the noble Lord. The objective of the Government is to have clarity and fairness in relation to weddings within England and Wales. There were 57 recommendations in a 500-page report from the Law Commission, and the Government need to take their time to consider them all carefully.
My Lords, as other noble Lords have said, England and Wales are outliers on the issue of humanist marriages, with Scotland having applied legal recognition in 2005, Northern Ireland in 2018 and the Channel Islands at the same time. The Republic of Ireland has had it since 2012. To avoid my noble friend having to repeat the same answer, can I put it to him that this is an equalities issue, and it offers the Government the chance to extend laws that exist for some UK citizens to all of us?
I thank my noble friend for that question. Indeed, it could be seen to be an equalities issue, but the Government’s approach is to look at this matter in the round.
Oh!
I am afraid that my noble friend has been unsuccessful in getting a different answer, but I take the point he makes.
My Lords, the Minister said “in due course”, but it has been more than two years since the Law Commission report. There are people still getting married in either domestic premises or religious premises that are not registered. They find out—it is usually the women—that they are not lawfully married only when it comes to their wanting a divorce that they then, of course, cannot get. Can the Minister put this somewhere into citizenship, so that people are aware that, if it is going to be only in due course, this injustice will be dealt with?
The noble Baroness makes an important point. In my time as a family magistrate, I often had people in front of me who were married in religious ceremonies but not married in the eyes of the law, and we had to unpick the arrangements for those separating couples. The noble Baroness has made a very good point.
My Lords, does the Minister understand the concern on these Benches that the last Government used to use “in due course” to do nothing for long periods, sometimes years? Can the Minister start a different process, and give some indication of when this matter will come back to the Chamber and where the Government will take action?
Well, I have been advised by my Leader that I need to say “in the fullness of time”.
Food Security
Question
Asked by
To ask His Majesty’s Government what steps they are taking to improve food security.
My Lords, the Labour Government have committed £5 billion to the agricultural budget over the next two years, which is the biggest budget for sustainable food production and nature’s recovery in our history. The uplift to £1.8 billion, in 2025-26, for environmental land management schemes will boost food security and accelerate the transition to a more resilient and sustainable farming sector. We are also investing £60 million to support farmers who were affected by the unprecedented extreme wet weather last winter.
I thank the Minister for her Answer. As an agricultural adviser in a previous life, I observed at first hand the vital contribution of both research and investment to agricultural productivity, which is fundamental to domestic food production and food security. Yet both the NFU and CLA estimate that the recent changes to APR and BPR will lead to a substantial reduction in investment. Were the impacts of these tax changes on investment and productivity modelled with Defra before their introduction? If not, can His Majesty’s Government undertake such an impact assessment and make it available to Members of the House?
As I am sure noble Lords are aware, we are reforming APR and looking to do it in a way that protects small family farms and protects food security and resilience. The right reverend Prelate made some good points around this and the potential impacts of it. I will take his comments back to my honourable friend the Farming Minister, who is currently in discussions on those matters.
My Lords, I asked a question some weeks ago about whether Defra had been consulted only the day before the Budget and that no impact assessment was given. The Minister promised to write to me—I still await a reply—but I read in the newspapers that that is the case. How can the Minister say that she is improving food security when the impact of APR will be to force small farms to sell their farms? They will be bought by corporates, as part of their ESG and greenwashing, which will further reduce the supply of land for food production, along with the madness of creating solar farms on good agricultural land. This Government are destroying food security, not enhancing it.
I will answer a number of the noble Lord’s questions. We had a Question on solar farms last week; we are not building solar farms on grade 1 and 2—good-quality—agricultural land. On APR, Defra was in discussions with the Treasury to consider all the different changes for the spending review and is now in discussions on the next SR. The money that we are investing in farming is designed to support long-term food security in this country.
My Lords, under the last Government, just 4% of the ODA budget was devoted to agricultural assistance. Given the global growth in acute food insecurity linked to climate change and the increasing propensity for food security to be weaponised in conflict, can my noble friend the Minister tell your Lordships’ House whether His Majesty’s Government plan to increase the percentage of ODA being spent on agro-ecological measures?
I am sure the noble Lord is aware that there has been a growth in acute food insecurity linked to climate change. I confirm that the FCDO’s ODA budget, which will be published in due course, will be £9.24 billion in 2025-26, and Ministers will consider the ODA allocations for 2025-26 over the coming months. We are committed to this; the Prime Minister committed to deliver practical support to communities facing hunger. This is backed by a £70 million package, including a new resilience and adaptation fund that channels climate finance to ensure that food-insecure households, in places such as Ethiopia, Chad and Bangladesh, can withstand extreme weather and other shocks.
My Lords, 40% of all food is now imported, which raises a serious security issue. However, can I specifically ask the Minister about BBC World reports this morning that some pureed tomatoes being imported into this country are made by Uighur slave labour? The report included examples of punishment beatings and electric shock punishments for those who fail to reach their quotas. What more can we do to at least prevent goods coming into the UK that are wrongly labelled—in this case “Produced in Italy”—and give consumers the right to choose what they buy and do not buy?
I have seen the same reports as the noble Lord and they are extremely concerning. My understanding is that the supermarkets have said that they have not been purchasing tomatoes from these particular places, but clearly that needs to be robustly checked. We are looking at labelling as a way to better inform consumers and ensure that our food is from the kinds of sources we would all want to see and can trust.
My Lords, I refer the House to my interests as set out in the register. The NFU estimates that as much as 75% of British farming output comes from family farms that will now have to pay the family farm inheritance tax. Farmers already have to deal with increasing weather volatility and increasing input and output price volatility, leading to lower and less predictable farming incomes. Does the family farming tax undermine the Government’s own manifesto commitments to increase food security and champion British farmers and expose hard-pressed family budgets to the risk of higher food prices?
As I mentioned previously, the APR changes are not designed to undermine small family farms and I know that both Defra and the Treasury have been meeting with stakeholders to discuss this matter further.
My Lords, families whose food security relies heavily on food banks may suffer nutritional deficiencies because so much of the produce is ultra-processed rather than fresh. Some 800,000 children are reported to use food banks on a regular basis. What assessment have the Government made of the impact on child health and development of sustained dependency on food banks?
My Lords, clearly it is important that we have good nutrition for our children, which is why we have worked with schools around breakfast clubs, for example, because it is very important that children receive nutrition, especially at a young age. This is something we are working with the Department of Health and Social Care on. One of the important things this Government are doing is working much more across departmental policy areas in order to ensure that we get the kinds of results that support the policy areas the noble Baroness referred to.
My Lords, the Minister has talked about food security and we have heard a number of issues raised about different challenges to it—there are in fact a huge number. My noble friend Lord Browne talked about the weaponisation of food supplies. We know about disruptions to transport and about climate interruptions. Is not strange, therefore, that the national risk register put forward by the previous Government barely mentions food security, except in the context of contamination. Can my noble friend the Minister tell us whether this will be looked at, so the potential threats to food security in this country are looked at in the round, to coin a phrase?
Absolutely; my noble friend makes an important point. We look at overall household food security. In the financial year ending 2022, some 7% of households in the UK were considered to be food insecure. The Family Resources Survey 2022-23 found that the proportion of food-secure households decreased from 92% in 2019-20 to 90% in 2022-23. So this is something we do look at in the round.
My Lords, tenant farmers do not own their land but they do produce food. Can the Minister tell me what conversations she has had with her colleague the Secretary of State for Housing, Communities and Local Government on solar planning applications that have been called in that relate specifically to solar applications on tenanted land where the landlord is looking to evict the tenant farmer?
Regarding the solar panels, we have discussed this with Defra, DESNZ and the Ministry for Housing, which the noble Baroness asked about, because it is important, again, that we get this policy right as we develop our policy on housing and on energy. Clearly, this will be part of the land use framework. Regarding tenants, I am sure that the noble Baroness is aware that we have committed to appoint England’s first commissioner for the tenant farming sector to promote the standards outlined in the agricultural landlord and tenant code of practice. We hope that the commissioner will play an important role in this area.
Women, Peace and Security Bill [HL]
Order of Commitment
Moved by
That the order of commitment be discharged.
My Lords, I understand that no amendments have been set down to this Bill and that no noble Lord has indicated a wish to move a manuscript amendment or to speak in Committee. Unless, therefore, any noble Lord objects, I beg to move that the order of commitment be discharged.
Motion agreed.
Listed Investment Companies (Classification etc) Bill [HL]
Order of Commitment
Moved by
That the order of commitment be discharged.
My Lords, I understand that no amendments have been set down to this Bill and that no noble Lord has indicated a wish to move a manuscript amendment or to speak in Committee. Unless, therefore, any noble Lord objects, I beg to move that the order of commitment be discharged.
Motion agreed.
Bail and Release from Custody (Scotland) Act 2023 (Consequential Modifications) Order 2024
Motion to Approve
Moved by
That the draft Order laid before the House on 17 October be approved.
Considered in Grand Committee on 28 November.
Motion agreed.
Voter Identification (Amendment of List of Specified Documents) Regulations 2024
Motion to Approve
Moved by
That the draft Regulations laid before the House on 15 October be approved.
Relevant document: 5th Report from the Secondary Legislation Scrutiny Committee. Considered in Grand Committee on 28 November.
Motion agreed.
Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024
Motion to Approve
Moved by
That the draft Regulations laid before the House on 24 October be approved.
Relevant document: 6th Report from the Secondary Legislation Scrutiny Committee (special attention drawn to the instrument). Considered in Grand Committee on 28 November.
Motion agreed.
Human Medicines (Amendment) (Modular Manufacture and Point of Care) Regulations 2024
Medical Devices (Post-market Surveillance Requirements) (Amendment) (Great Britain) Regulations 2024
Motions to Approve
Moved by
That the draft Regulations laid before the House on 21 October be approved.
Relevant document: 6th Report from the Secondary Legislation Scrutiny Committee. Considered in Grand Committee on 28 November.
Motions agreed.
Football Governance Bill [HL]
Committee (2nd Day)
Relevant document: 8th Report from the Delegated Powers Committee
My Lords, before we start today’s Committee, I point out to the House that this is day two of five days on the Football Governance Bill. We need to make significant progress on the groups today.
Clause 1: Purpose and Overview
Amendment 7
Moved by
7: Clause 1, page 2, line 1, leave out subsection (3) and insert—
“(3) For the purposes of this Act, English football is sustainable if it—(a) continues to meet the needs of present fans without compromising the ability of future generations of fans to enjoy and benefit from the club, including through the club continuing to operate a team in club competitions, in a way that represents the unique heritage of the club as recognised by its fans, and respects the interests of these fans; (b) continues to contribute to the economic and social welfare of the communities with which regulated clubs are associated, including, but not limited to, direct or indirect positive effects on the income of local businesses, cultural enrichment, or the reputation of the local area.”Member’s explanatory statement
This amendment intends to create a more precise definition of the sustainability of English football.
My Lords, Amendment 7 begins this group of amendments on this important Bill. It would expand the definition of,
“the sustainability of English football”.
On day one, we had a useful debate—although it was longer than the Committee Whip might have wished—about the purpose of the Bill and the limits of sustainability. As the Bill is drafted, the only definition of
“the sustainability of English football”
is, as the Minister pointed out to us in our debates on the previous groups, Clause 1(3)(a) and (b). Paragraph (a) states that English football is sustainable if it,
“continues to serve the interests of fans of regulated clubs”,
and paragraph (b) specifies that it must continue,
“to contribute to the economic or social well-being of the local communities with which regulated clubs are associated”.
That is all we have to go on in the Bill. The criteria for the success of this important and novel Bill therefore rest upon these two simple lines.
Our contention is that these brief and rather vague statements of intent are not sufficient to act as the foundations on which the success, or otherwise, of this Bill and this new regulator are to be judged. The actions of this regulator will have significant consequences for the whole football pyramid. It is vital, therefore, that we ensure that it has the necessary legislative tools and the clarity of message from Parliament to set it up for success. To do that, it must have in statute a strong set of conditions against which its actions and its regulatory work can be assessed. This echoes the fruitful discussion we had on our first day in Committee about the underlying purpose of the Bill.
However, my Amendment 7 is about much more than this. It is about setting a precedent. If we do not establish from the outset the frames of reference and the standards to which the regulator will have to be held, that does not set it up for a successful future. It is surely the duty of this Committee and of Parliament more broadly to hold public bodies to higher standards than these two rather short and insubstantial lines we have in the Bill at the moment. That is why I look forward to my noble friends Lord Maude of Horsham and Lord Markham setting out the case for their Amendments 12 and 13, and I will say a bit more once they have done so.
Their amendments add a number of conditions to subsection (3) of Clause 1. They pick up an important point about the global competitiveness of English football and our leagues, and ensure that the regulator must always have regard to the growth of the sport. That is an important point. The current Bill seems to me highly static. The regulator’s remit seems to be more focused on maintaining football as it is today and not looking to the future.
Requiring the regulator to pay attention to match attendance and sporting competitiveness would, I hope, encourage a more growth-minded regulator. That is why my Amendment 7 seeks to expand the definitions in subsection (3). It does so not by concocting some awkward, obstructive or restrictive definition but merely by inserting the expanded definitions that the Government themselves have set out elsewhere. The definitions used in my amendment are to be found on page 20 of the Explanatory Notes published by the Department for Culture, Media and Sport.
In that document, the department sets out a far more detailed and helpful view than the two short lines that currently make up the conditions for sustainability in the Bill. There is reference, for example, to the “unique heritage” of clubs and the importance of serving the interest of fans. The Explanatory Notes specify that the economic and social well-being of communities includes improving
“the reputation of the local area”,
having positive effects on the “income of local businesses” and contributing to “cultural enrichment”—all important and helpful missions for clubs and for the regulator that seeks to assist them.
The question this raises is: if the Government are content with putting definitions of this much detail in the Explanatory Notes, why should we not put them on the face of the Bill? I hope the Minister will be able to explain that discrepancy and may be minded to take some of the wording that the Government are happy with in the Explanatory Notes to give a clearer message to the regulator on the face of the Bill.
My Amendment 7 is very simple. It does not ask your Lordships fundamentally to alter the Bill or its aims, or, indeed, the purpose of the regulator. All it asks is that the Government demonstrate their confidence in the points that they have made in their Explanatory Notes by placing those definitions on the face of the Bill. When at the end of this group the Minister comes to respond, I hope she will be able to demonstrate that she agrees and might be minded to do this. I beg to move.
I have to inform your Lordships that, if Amendment 7 is agreed, I cannot call Amendments 7A to 15 because of pre-emption.
My Lords, I rise to speak to my Amendment 12 in this group. Before I do so, I think it important to express mild regret at what the noble Lord the Government Chief Whip said before we started our proceedings today. This is an incredibly important Bill, which, for the first time, imports into our much-loved national game a costly system of regulation. It is a very long Bill. There are numerous amendments being tabled, mostly by Members on the government side. We know that the House of Commons these days gives scant scrutiny to important Bills. It is therefore incredibly important that this House in Committee gives the Bill the detailed scrutiny that is required. If the five days that the Government have rather meagrely assigned to this Committee stage are not enough, I hope they will be quick to extend the proceedings so that we can give proper scrutiny. Much hangs on this. The more we have debated the detail of the Bill, the more issues have arisen, giving rise to greater concerns—
I was here last Wednesday, waiting quite a long time for my amendments to come up in group 3, and I sat through an awful lot of what I felt was hypocritical stuff from this side of the Chamber, given that this was a government Bill under the last Government. Not that much in it has changed, yet there was a lot of discussion on this side. Listening to that was agony, so I am quite keen to get through the Bill. Of course we should debate it, but not at the sort of length that is, I would say, rather self-indulgent.
I empathise with the noble Baroness’s pain, but this is what legislative scrutiny is about. It is about looking in detail at what is proposed and ensuring that we do not pass into law measures that will inflict damage on something that is both an incredibly important economic activity but also a source of great pleasure to millions in this country and more than a billion worldwide. So I hope the noble Baroness will suffer less and we will move as quickly as is appropriate in these circumstances.
We debated last time whether the ambition for football to be sustainable was sufficiently ambitious for the state of English football, and I think many of us in different parts of the House concluded that it was not so. However, if the Government insist that sustainability is all that is going to be sought then it is important that we define what is meant by sustainability in a way that does not circumscribe the mindset and the approach of the regulator that is going to be established.
Football is a very successful industry and activity. As we have heard, it remains the case that the Premier League is the most successful league in the world and the Championship is the sixth most successful in Europe, and we need to make sure that we do first do no harm but, secondly, because we know that there is no such thing as steady state any more, if it does not continue to grow and improve then it will be going backwards. So it seems right that, in addition to the addition suggested in my noble friend Lord Parkinson’s amendment, we should look at the four elements that I propose should be added to the definition of “sustainability”.
First, it should continue
“to be globally competitive in relation to audience and quality”.
That is important because you cannot take anything for granted. The success of English football has been earned, but it has been harder over a period so we need to be extremely careful; this is a precious asset and we need to be concerned all the time with competitiveness. The costs that are proposed to be imposed on English football through the creation of this regulator—both the costs to be recovered through the levy and the compliance costs for clubs of accommodating themselves to this regime—will in themselves be a blow to competitiveness, so there needs to be at least an equal and opposite concern to offset that. Competitiveness is going to be incredibly important in relation to audience and quality.
Secondly, it should continue
“to attract significant domestic and foreign investment”.
My own club, Tottenham, has invested hugely in a world-class new stadium; other clubs need to do the same. A huge amount of investment will be required in upgrading stadia around the country. They are extremely expensive commercial assets that are of great importance to their local communities as well. They are community assets that tend to attract in their wake, in their slipstream, other regeneration investment into the communities, often some of the most disadvantaged communities in the country. It will be extraordinarily important that the regulator has in mind at all times that the return on those big investments that will be needed should not be imperilled by the way that the regulator itself operates.
Lastly, it should continue
“to grow economically in terms of commercial revenues”.
All these are fragile. None of these revenue streams—from broadcasting or from the asset and enterprise values—can be taken for granted. The success of English football has to be earned, every day of every week of every season there is, so this will be very important.
Given these approaches, I cannot feel that anyone will quarrel with these being elements that the regulator should think about and seek at all times to prioritise. What is the objection to them appearing in the Bill, since that shows the importance that Parliament attaches to these considerations? That can in some way help to make a difference to the way in which the regulator is set up, because much of that is left unclear. Much of it will be at the discretion of the board and its chair, yet to be appointed, of the regulator. This Committee should have no difficulty in supporting having these factors placed squarely on the face of the Bill. I hope, therefore, that the Minister will take this away and think carefully about whether it would a be way of improving a Bill that currently leaves much to be desired.
My Lords, I support Amendment 12 in my noble friend’s name and have added my name to it. As he rightly said, this amendment aims to broaden the definition of the sustainability of English football for the purposes of the new regulator, to ensure that it has a duty to consider a much more extensive list of factors that are important for the continued success and growth of the game—obviously, issues that we discussed at length last week—in deciding its approach and exercising its powers. If the Minister will not look at expanding the purpose of the regulator to include growth, for instance, as I set out last week, this is an important amendment to ensure that we expand the definition of sustainability and create a balanced framework within the regulation to provide protections while enabling growth.
A framework that provides sustainability while encouraging investment and maintaining stability will preserve the success of English football and ensure the continuation of innovation and investor confidence. As my noble friend said, we cannot take the success of the English game for granted, so it is important that the Bill ensures that successful elements of the current model are given due prominence—perhaps we are being a bit blasé in thinking they will just continue, no matter what—in the concerns of the regulator going forward.
English football’s depth and current comparative advantages come from achieving the right balance of oversight with competition, aspiration and financial support—a combination of elements that the regulator must be mindful of when considering the sustainability of football over the longer term. I really hope that in the light of our discussions last week, and the concerns we are raising again today, the Minister can see and accept that a narrow set of sustainability metrics could, inadvertently, be very damaging. If she will not look at changing the purpose of the Bill, I very much hope that she will look at expanding the definition of sustainability in this clause, so that we can cover all the elements that we are all, I believe, in support of saying are important in today’s game but simply do not appear in the Bill as it stands.
My Lords, I support the amendment in the names of my noble friends Lord Maude and Lady Evans of Bowes Park, for the simple reason that it is very helpful to the Government. We had the good fortune to meet the shadow regulator last week; it was a very informative and interesting meeting and, clearly, it is starting from scratch.
Given that the Bill has many wide-ranging and permissive powers that are given via statutory instrument to Ministers, it is important that on its face—in primary legislation—there are proper framework guidelines for the regulatory and legislative regimes for the regulator to go forward with. Given that last week the Government were quite firm in setting their face against growth parameters, which are pretty important, given that the Premier League is one of the most successful business outfits in the whole world—in fact, the most successful sports league in the world—I cannot really understand why the Government believe that this is mutually exclusive to supporting fans and putting into the Bill a commitment to fans, even though they are, as we learned previously, not defined.
This will give the regulator the ability to go forward and be more efficient and effective because it will know what sustainability means. Even the Minister admitted last week that, in respect of the drafting of the Bill, the concept of sustainability is obscure and opaque. As we learned last week, what Ministers were saying in the Committee was different from what the impact assessment said, because the impact assessment is focused firmly on financial feasibility, efficacy and sustainability. For those reasons, I say that this is an effort to be helpful to the Minister.
I take with a ton of salt the comments from the noble Baroness, Lady Jones. We sat for many hours listening to her, her colleague and others opining, for instance, on the Rwanda Bill. That is scrutiny and oversight. That is holding the Government to account. We on this side make no apologies for doing that; it is what we are here for. It is the proper discharging of our duties. If it takes time to interrogate a flawed Bill, I will not apologise for that.
That aside, I ask the Minister to look very carefully at these amendments. They are designed to be helpful and to make sure that the independent football regulator can do its work in a most efficacious and efficient way.
My Lords, I refer the Committee to my interests, which are declared on the register. I support Amendment 12 in the name of my noble friend Lord Maude, especially proposed new Clause 1(3)(f). This would set a clear success metric for the IFR that it should incentivise
“industry-led agreements on the distribution of”
the Premier League’s broadcast revenue. This is absolutely critical for the future collective success of the football industry.
We already know that UEFA has written an alarming letter to the Government which said, among other things:
“Mandating redistribution which affects the competitive balance in the game and wider European competition would be of concern to us”
and
“would … prevent amicable solutions being found”.
This is why UEFA says that the backstop should be “carefully reconsidered”. I understand and respect that this is what Ministers genuinely believe they have done in relation to the backstop powers, which we will discuss in much greater detail later. However, I profoundly disagree that the backstop provides any such incentives.
I draw noble Lords’ attention to the fact that earlier this year Dame Tracey Crouch, the chair of the fan-led review, called the backstop powers “nuclear … coding” never to be reached for. However, the Football League chair disagreed, and said he fully intends to use the mechanism and that it is entirely logical. To extend the analogy, in the Bill the Government are doling out nuclear weapons to football authorities. They are doing so in the belief that these weapons will somehow create space for diplomacy. However, the evidence is already very clear. In the real world, one side is ready to press the button and launch its missiles. The powers clearly do not place the incentives in the right place. If they did, we would already have a new agreement and the football bodies would not have been driven so far apart.
This is why I have tabled amendments to rebalance the backstop, so it can create proper incentives and space for good-faith negotiations and diplomacy. The fact that the Bill has led one party to believe it can launch a successful first strike is proof that these powers have manifestly failed in their purpose already. That is why I am so supportive of my noble friend’s amendment.
I have a couple of questions for the noble Lord, Lord Maude, but first, the noble Baroness, Lady Brady, said that the amendments provide clear metrics. I do not think they do; they are very subjective, particularly Amendment 12. What is
“globally competitive in relation to audience and quality”?
Regarding the phrase
“continues to attract significant domestic and foreign investment”,
what is “significant”? I do not think it is helpful to include words like that.
For what it is worth—my noble friend the Minister probably will not like this—I think paragraphs (e) and (f) of Amendment 12, tabled by the noble Lord, Lord Maude, make sense, because we can clearly see what they mean. I would say the same of the Amendment tabled by the noble Lord, Lord Parkinson. Amendment 7 is rather rambling and unclear and is not suitable for inclusion the Bill. We need something clear that can be measured, rather than words like “substantial”, which could mean anything or nothing.
My Lords, the noble Lord, Lord Watson, just used two words which are of significance: “subjective” and “clear”. The problem with the Bill as drafted, judging from the lengthy debate we had last Wednesday and today’s proposed amendments, is that we are trying to provide clarity in relation to very subjective words, not least of which is “sustainability”, which is used several times. All these amendments are about looking at ways of making things clear, so that the football regulator can operate in some form or another.
The noble Lord was present throughout the debate last week, and during that debate I spoke about the threat to which the noble Lord, Lord Maude, has referred: that other sports and organisations will overtake our system—the Premier League and the other leagues—unless it is able to modernise and change as time goes on. What worries me genuinely about the Bill as drafted is that it almost implies ossification. It is an immovable process, because “sustainability” is just not clear.
Let us look at what we have seen in the past few days in terms of sport. This weekend the Middle East hosted a Grand Prix, a cricket tournament and a rugby tournament, so let us look at what might happen elsewhere. Equally, the Champions League, as was referred to in a previous debate, is changing and expanding. This Bill arose from a government reaction—an overreaction, probably—to the threat of a European super league whereby a set of clubs would be in a league of their own, never challenged. Quite rightly, the nation’s fans—not just this nation but a whole series of other nations—rose up and said that that is utterly unacceptable. Despite that, some clubs still believe that that is the right way to go. The Champions League has extended and we have the UEFA Conference League, et cetera. They are involving more and more British football clubs, and I welcome the success.
In referring to the football results of the past few days, I apologise profusely to my noble friend Lady Brady. But the success of the Premiership was identified in the fact that, albeit only briefly, Brighton & Hove Albion were second in the Premier League. That does not imply an unchanging, rigid position; it implies that the Premiership and the league system can develop. I was listening to the commentary on Liverpool v Manchester City—I apologise to any Manchester City fans for referring to yesterday’s game—and it was striking that, before the game, Radio 5 Live observed that there were more foreign correspondents covering that match than were covering the Liverpool v Real Madrid game only four days earlier. That indicates the very success and potential our system has—as long as it is reasonably developed and allowed to progress.
I have doubts, to be honest, about my noble friend Lord Parkinson’s amendment, because I do not think it goes far enough. I welcome that of my noble friends Lord Maude and Lady Evans, because it gives the Bill a better perspective and tries to provide clarity beyond the merely abstract word “sustainability”, and to develop some other aspects to which the football regulator should refer.
When I spoke last week, I was highly critical of the impact assessment, and I continue to be so. I know that it is largely based on the impact assessment prepared for the previous Bill, so I do not criticise the Minister; I criticise my colleagues in the previous Government just as much. However, I said that the impact assessment was intended to justify the current Bill, and that is made clear in paragraph 17:
“This Impact Assessment (IA) provides evidence and analysis to support the government’s case for intervention”.
In other words, it is providing support specifically for this Bill. It does not look at a range of other issues, which my noble friend Lord Goodman identified when he quoted from Tracey Crouch’s original report, relating to the overall success of the football industry in this country.
I believe that we need to provide greater clarity and greater indications of what we are trying to protect, develop and allow to go forward. Although last week I criticised the total lack of reference to “success” in the impact assessment, and I stick by that, I was very pleased, in part, to receive the letter from the Minister, page two of which has a section entitled “Proportionality and promoting success”. That is the attitude I want to see reflected in the Bill, in whatever phraseology we choose.
My Lords, it might be an appropriate time for me to make a few comments on the Bill. Amendment 12 suggests that the regulator will be able to have a very positive input into the marketplace. I do not know how it will achieve the aim of attracting significant domestic and foreign investment. Let us face it, our Premiership and our football structure have no divine right to be the most popular show in town, end of story. We all agree on that, but this Bill is about the fans and what they want from their domestic game. They want it to be there, and they do not want it disappearing off to Europe, or the top names disappearing off to Europe and the structure going.
If the Minister can point us to where we will have limits, and to the encouragement of involvement, we will all be able to move on a bit, but the “sustainability” factor is actually making sure that our domestic structure is there. I do not know how much else we can do without massive intervention by the state. Are we going to say, “You are not going to pay any tax on your revenue”, which means the state has no involvement anyway?
The noble Lord asked, perfectly sensibly, in relation to my Amendment 12, whether I am expecting the regulator to positively intervene to promote growth. No—my concern is that the mindset of the regulator has to be not to damage the sector, and not to impose regulation and intervention in such a heavy-handed way that it actually reduces competitiveness and the attractiveness of the sector to investment. It is really a warning shot to the regulator, to make sure it does not harm what is already there. There will be some harm, because additional costs will be imposed on English football simply as a result of creating the regulator, but that has to be as limited as possible.
My Lords, it depends on whether by harm you mean spending any money on regulation. Yes, making sure that there is any structure of regulation is a harm, but it is a necessary harm, because the Bill is not just about the top guys in the Premier League. It is about the entire structure, five leagues down, and should possibly go even further. It is about making sure that there is something below that, so that if things go wrong in your competitive league—and they will; the big boys will eventually lose, or at least they should—you have the capacity. That is something that we have all embraced, and I hope the regulator allows that to happen.
When it comes to making sure that it is as successful as the legal framework allows, I cannot see why not, but surely the regulator should not defy that. Noble Lords should also cast their minds back. We are not doing this because everything in the garden is rosy. This is not something that is happening in a vacuum where everything is wonderful in English football. We are doing this because dozens of junior clubs should be bankrupt, but by some myth of football finance are not being called in. That is why we are here. A number of regulations have already taken action against them, and that is why we are here—it is not because everything is brilliant. We want to keep the social structure of all those sides. If we keep that in mind, the actions of the Government, and indeed the previous Government, become sensible.
I would welcome a definition of what sustainability is and where that is to be found, but please remember that we are not doing this because football is in a great place at the moment. The people at the top may have plenty of air and light, but the people below them are struggling, and we have decided that we want to keep these structures, including of promotion and relegation. If we keep that in mind, the progress of the Bill will be quicker and saner.
My Lords, I will speak to my Amendment 13. I echo the points made by my noble friends Lord Maude and Lord Jackson: if the Chief Whip had stayed and heard the debates last week and this week, he would have found real experts and real, passionate supporters—dare I say fans—scrutinising the Bill and making sure there is real health and success there. I believe we would all be doing this whatever colour of Government had introduced it.
Last week, if noble Lords recall, we were left scratching our heads somewhat about how there was some sort of aversion to the use of the words “growth” and “success” in all this. That is what we are trying to address in Amendments 12 and 13, both with a similar purpose. To answer the noble Lord, Lord Addington, this is vital because the pyramid structure and the health of all clubs depend on the health at the top of the Premier League, because the redistribution of that money funds so many of the other clubs and is allowing the Championship to be the sixth-richest league in the world as a result.
I really do not understand the Government’s reluctance to engage in these types of measures. There are precedents in other regulators. Everyone knows about the Bank of England’s inflation target, but also within its targets is a target to facilitate the international competitiveness of the UK economy and its growth in the medium to long term. Other regulators such as Ofcom, Ofgem and Ofwat have a growth duty to look at innovation, infrastructure and investment, competition, skills, efficiency and productivity, trade and environmental sustainability. It is very clear that other regulators are being asked to consider these other measures of overall success in their objectives.
Why does it matter? Like other noble Lords, I think the meeting we had with the shadow regulator last week was very helpful. It is undoubtedly true that the intentions of all the people there are very good. Like all of us, they are trying to make sure that the game we love is protected, but the shadow regulator’s thinking on sustainability is very much in the mould of a bank regulator’s. The main method it sees achieving sustainability is to insist—as the FCA does with banks—that a certain amount of money is put on deposit to give a buffer, a certain comfort, to clubs. Numbers have been bandied around—it may be £20 million or so per club in the Premier League. Those are large numbers; £400 million will go out of the game because it will be held in aspect. That amount of money has a real impact. If the regulator has only a one-dimensional objective on sustainability, it will always be weighted towards putting more and more money aside as a buffer. However, if it has other objectives in its definition of sustainability, it will take other factors into account.
I think noble Lords know that all the successful companies we see today, such as the magnificent seven that people talk about—the Googles, Microsofts, Facebooks and Teslas of the world—had an early start-up stage when there was heavy investment and their costs far exceeded their income. We absolutely see that in football clubs. The story of Brighton was mentioned earlier, and I happen to know a thing or two about it. I think we would all agree that it is a fantastic success story. For years and years, that success was reliant on Tony Bloom, the owner of Brighton, putting his hand in his pocket to invest more in players than the club’s income. He believed that, just like in any start-up company, you have to make that investment. That will build success, and from that you will manage to get promoted and get to a more and more sustainable position. He was able to achieve that.
Not every club can achieve that because, as we all know, not every club can get promoted. But the danger is that if the regulator’s only dimension is sustainability, it would look at business plans such as Brighton’s and say, “Hang on, they’re going to run a deficit if they stay in that league. That doesn’t sound very secure. How are we going to guard against that? We’ll make them put a certain amount of money into escrow as a buffer”. That will undoubtably dampen innovation, which is exactly the opposite of what we want. We all know that the beauty and the strength of English football are in the fact that clubs can get promoted and go on to do wonderful things, and we all know of plenty of examples.
Unless a regulator has more than one dimension—more than one club in its locker—it will only ever look at the sustainability angle and put more and more money aside. That is where I am coming from with Amendment 13, which is similar in intent to Amendment 12. It is from my knowledge of selling TV rights and of what people are really looking for. It is all about TV viewership, sporting competitiveness, the income that is generated and match attendance. To the point from the noble Lord, Lord Watson, those things are all clear and measurable; they are all things that a regulator should want for the health of the game.
I hope that when the Minister answers, she will let us know why we would not want to follow the lead of the regulators of the Bank of England, Ofwat, Ofgem or all the others, and give this regulator more than one dimension. I know the Minister really wants to see the health of the game and that everyone has good intentions. That is why this debate is so good—we all want what is best for the game. Widening the basket of measures that the regulator seeks to achieve can be only good for the health of the game.
My Lords, I am grateful to my noble friends Lord Markham and Lord Maude of Horsham for speaking to their amendments and for setting out the case for them. Before the Minister responds to them and to my Amendment 7, which I moved at the outset, I should say that I am not precious about my amendment vis-à-vis those of my noble friends in this group, Amendments 12 and 13.
The noble Lord, Lord Watson of Invergowrie, said that he did not like my wording and found it rambling and insubstantial. I take no offence; I simply took the wording that the Government used in the Explanatory Notes and sought to put that in the Bill. If he finds that rambling, it may be that the Explanatory Notes are as well.
The point I was making was that the wording was appropriate for the Explanatory Notes but not for the Bill.
I thank the noble Lord. My noble friend Lord Hayward said that he did not much like it either, but it is helpful that my amendment has been grouped with the other amendments, which are seeking to give a bit more precision than the two short lines that are in the Bill. As I said in moving my amendment, my contention is that they do not go far enough to define what “sustainability” means in practice, which will be important for the regulator looking at it.
I am grateful to my noble friends, particularly my noble friend Lord Markham, whose Amendment 13 proposes a few tangible benchmarks through which sustainability can be measured. It suggests inserting criteria, including increasing TV viewership, increasing match attendance, improving international sporting competitiveness and increasing the overall income generated. They are all very tangible and specific. I hope that the noble Lord, Lord Watson, will prefer them and I look forward to hearing what the Minister has to say about them when she responds.
Criteria such as those would provide a far more accurate and reliable understanding of the sustainability of English football. As my noble friend Lord Markham said, we all want to make sure that we are helping to deliver that with this Bill and to give the regulator the clarity that it needs to uphold it. The Premier League’s television exports alone were worth £1.4 billion in 2019-20. If the Government are serious about growth and supporting the success of Great British success stories, the regulator must ensure that that growth trajectory goes only upwards. By basing the standards of sustainability on objective metrics, such as those that my noble friends Lord Markham and Lord Maude have tried to set out, football would surely benefit, and the regulator would have the clearer frames of reference that I think we are looking for.
As my noble friend Lord Hayward said, there is competition from a growing number of countries that are snapping at our heels. As the noble Lord, Lord Addington, reminded us, there is no divine right for football to continue to exist in the way that it does in this country. My noble friend Lord Hayward pointed out some of the sporting fixtures that have happened this weekend. I enjoyed the Qatar Grand Prix, although I thought that the 10-second penalty for Lando Norris was rather disproportionate, especially since no safety car and no virtual safety car were deployed. I mention that not to take us on to another sport but to point out the difficulties that happen when a regulator—in this case, the Fédération Internationale de l’Automobile—makes curious or contentious decisions.
Through the amendments in this group, we are seeking to give a clarity of purpose to the regulator, so that it can focus its important work on delivering the sustainability of English football in a way that matches what the Government have set out in their Explanatory Notes. For all the differences that have been expressed, I think that we are all united on that. But it is important that we give this extra precision and clarity, and I look forward to hearing what the Minister has to say.
I thank the noble Lords, Lord Parkinson of Whitley Bay, Lord Maude of Horsham and Lord Markham, for tabling their amendments and for the thorough discussion we have had. I look forward to the ongoing discussion on many of the points raised as we debate the Bill.
We do not think that the Bill, which is largely the same as the previous Government’s version, is flawed, as the noble Lord, Lord Jackson of Peterborough, suggested; nor do we think it leaves a lot to be desired, as the noble Lord, Lord Maude, suggested. We also do not think that it is an overreaction of the nature that the noble Lord, Lord Hayward, suggested. Indeed, we think it is what fans are looking for and what will bring sustainability to the game. I will get on to the definition of “sustainability” shortly.
Amendment 7, tabled by the noble Lord, Lord Parkinson of Whitley Bay, adds further detail to the definition of the sustainability of English football. I am pleased that he noted the definition on page 2, which does indeed define sustainability in the Bill. All the aims of the amendments are laudable. However, I assure the noble Lords concerned that the detail that has been added, in particular by Amendment 7, is largely implicit in the current definition of the sustainability of English football. So, while the noble Lord might suggest that the definition is, in his words, short and unsubstantial, I would argue that it is sufficient. The wording is that which was adopted in the noble Lord’s Government’s iteration of the Bill.
However, I am pleased that noble Lords feel strongly enough to debate this issue further at length. Definitions are important and, as noble Lords have noted, the additional detail is already included, almost word for word, in the Explanatory Notes. As the noble Lord, Lord Parkinson, stated in relation to the approach taken by the previous Government, the precise purpose of the Explanatory Notes is to provide this sort of additional illustrative detail about the intent behind the legislation. I hope that this reassures noble Lords.
On Amendments 12 and 13, in the names of the noble Lords, Lord Maude of Horsham and Lord Markham, the noble Lords have raised several areas that they wish to be included within the Bill’s definition of the sustainability of English football. At Second Reading we heard from a number of noble Lords, including many on the Benches opposite, about the need to keep this Bill proportionate and avoid mission creep. These amendments would in the Government’s view do exactly the opposite. As the noble Lord, Lord Addington, highlighted, these amendments would significantly expand the scope of the regulator and put in place a much more interventionist regime than this Government or the previous Government proposed. The regulator would be required to become actively involved in issues such as overall match attendance. It is unclear how a regulator would achieve this without directly intervening on issues such as ticket prices. I am sure that is not the noble Lord’s intention.
Football does not have a growth and success problem. What it does have is a sustainability problem. That is precisely why we are setting up the regulator with that specific purpose. However, I agree that the regulator has a responsibility to make sure that it does not get in the way of that success. In response to the noble Baroness, Lady Evans, I stress that this is exactly why we have put measures in the Bill to ensure that the success of English football is well protected.
In relation to the discussion between the noble Lords, Lord Addington and Lord Maude, as part of its general duties the regulator must have regard to the desirability of avoiding impacts on domestic sporting competition, the competitiveness of our clubs against international clubs and investment in football. Actively pursuing these outcomes will remain the responsibility of the industry, but the regulator is legally bound to have regard to their importance while it delivers sustainability.
On paragraph (f) in Amendment 12, I assure noble Lords that the regulator’s backstop mechanism is designed to be used only if an industry-led agreement on the distribution of revenues has not been agreed by competition organisers. I understand that a number of noble Lords have a preference for an industry-led solution. This is also the Government’s strong preference, and the backstop process is designed to facilitate this. However, we also understand concerns regarding slow progress and the inability of the industry to reach a suitable agreement. As noble Lords are well aware, there is currently an impasse. Discussions have been ongoing for five years. As a last resort, allowing the regulator to intervene will be better for the sustainability of English football. If football cannot or will not deliver a solution, the regulator will.
For these reasons, I am unable to accept the noble Lords’ amendments and ask that they do not press them.
I hear what the Minister says and I am grateful. However, she will have read the Delegated Powers and Regulatory Reform Committee report dated 22 November. We know that sustainability is not explicitly defined. We know that fans are not explicitly defined. As was said on our first day in Committee,
“the meaning of English football is deliberately left unclear on the face of the Bill … The answer will emerge only after the Bill is enacted, when the Secretary of State makes regulations to fill in the definitional gap left in the meaning of ‘specified competition’. As a result, the remit of the new regulator is presently unclear”.—[Official Report, 27/11/24; cols. 720-21.]
Does she not agree that this is why it is important to tighten up that situation—that lacuna—in the Bill, so that the regulator has a firm sense of direction in how it proceeds?
That is a matter that I am sure we will discuss at greater length when we come to a longer discussion on secondary legislation, but I am happy to talk to the noble Lord outside this Chamber at further length.
My Lords, I am grateful to the Minister for her reply. There were two things that I scribbled down as she said them. The first was that the definition—the extra detail of sustainability—is implicit in the Bill. That really gets to the nub of the debate we have just had. We think leaving it implicit for the regulator causes some problems. If the wording—albeit not to the preference of the noble Lord, Lord Watson of Invergowrie—is something that the Government are happy to set out in the Explanatory Notes, why can we not make it a bit more explicit in the Bill to give the regulator more clarity? That is what the amendments in this group have sought to do, and the Bill would benefit from being made more explicit rather than left in the implicit way that the Minister set out.
The Minister also said that the regulator is being set up to deal with football’s sustainability problem, and that football has no growth problem, at least at present. Our concern is that seeking to address the former problem in the way the regulator goes about its work, particularly if it is left to do it implicitly, risks football’s continuing success in the growth category and in other ways. That is why we have given this such detailed scrutiny. However, I am grateful to her for her response, and I beg leave to withdraw my Amendment 7.
Amendment 7 withdrawn.
Amendment 7A not moved.
Amendment 8
Moved by
8: Clause 1, page 2, line 2, after the first “of” insert “current and prospective”
My Lords, in moving the amendment, I shall speak also to my Amendment 9. Amendment 26 tabled by the noble Lord, Lord Addington, also touches on many of the issues that concern me and motivated me in bringing my amendments; I look forward to hearing him set out the case for it later in the debate.
My amendments in this group probe the Government’s definition of a football fan. In any other context, the exact definition would perhaps be academic, but fans have had an important role in the process that has led to this Bill. As the Minister and many others have said, the Bill seeks to put fans’ interests at the heart of this legislation. It was, after all, the fan-led review chaired—refereed, if you like—by my former honourable friend Dame Tracey Crouch which led to the Bill in its former iteration under the previous Government and which continues to inform the work that the new Government have taken forward in the Bill that they have brought before your Lordships. It was the fans’ voices in that process that were so important, and which began the path to where we now find ourselves.
We on these Benches agree with the Government that fans must be consulted and that they will have an important and ongoing role to play not just in the future of English football but in the operation of this new regulatory regime, but we cannot empower fans, or listen to their views, if we cannot say who they are. Through Amendment 8, I put it to the Government that both clubs and the new independent football regulator should seek to serve the interests of both “current and prospective” football fans. This expands the point that we have made about growth and making sure that the Bill is not simply seeking to preserve football in aspic.
In his Reflections on the Revolution in France, published in November 1790, Edmund Burke wrote:
“Society is indeed a contract … it becomes a partnership not only between those who are living, but between those who are living, those who are dead, and those who are to be born”.
That may be a high-falutin’ way of putting it, but it is the principle that underlies my Amendment 8. Football must not be governed as a game merely for the fans of today, nor should it simply seek to preserve the game in a form that fans of the past have enjoyed; it must also continue to be a game for the future. That is surely what the Government mean by the sustainability of football which, as the noble Baroness said in the debate on the previous group, is the key concern of this Bill.
We on these Benches feel that prospective fans—whether they be literally unborn, as Burke would point out, or those who are not yet alive to the joys of the game—should always have their interests served by clubs and the new regulator as well. Only if we are seeking to serve the interests of prospective fans as well as existing ones will we truly secure a sustainable future for English football.
My Amendment 9 similarly seeks to expand the definition of the communities whose interests are served by the Bill. The purpose clause in the Bill seeks to serve only “local communities” with which regulated clubs are associated. I was keen that the Committee should probe the inclusion of that word, “local”. We had the right reverend Prelate the Bishop of Manchester with us for earlier deliberations in this Committee. I am taken to understand that not everybody who is a fan of Manchester United or Manchester City lives in the city of Manchester. If a large group of people from London or another part of the country were to follow Manchester United or Manchester City during a period of success for one of those clubs, would it be right for those clubs or the new regulator merely to serve the interests of local communities in Manchester, or should they consider the interests of fans who follow those teams and who have a stake in them no matter where in the country they are based?
One reason why I have been interested in this Bill is the European Super League proposals that previously happened—the possibility of clubs’ owners deciding that they are going to play two or three games in the United States or two or three games in the Middle East. By defining “local”, are we not ensuring that there is some protection against the aspiration that some owners may have to meet the needs of fans who might be numerous in the Middle East or the United States, but we want regulated clubs to be looked after here in Britain?
That is the question I am trying to probe with this amendment. Are the interests of fans of, say, Manchester United or Manchester City really served only if, as the Bill currently defines it, English football is contributing to the economic or social well-being of the “local communities” with which regulated clubs are associated? Surely Manchester United is associated also with Weymouth, for instance, or other parts of the country where people might choose to be a fan of that club, even if they have never lived in Manchester.
As I set out at Second Reading, I am not the world’s biggest football afficionado, but I know that people do not have to be born in a specific town or city to feel an affinity to, pride in or excitement from certain regulated clubs. I am interested in whether the sustainability of those clubs should also serve people in Weymouth and people across the country. The noble Lord makes an important point about the growing tension with growing the international following of football, but, as we have heard in previous debates, that, too, is a good thing. It is an important part of the soft power of the United Kingdom. It brings inward investment and greater glory to the UK. That is a separate point from the amendments, which look at the work of the sustainability—
I interrupt to comment on the proposal from the noble Lord, Lord Knight. It is quite extraordinary. Are we little Englanders who think that our only role is in this country? There is a vast amount of soft power created by what is probably the UK’s most successful industry, so it is really odd that the noble Lord claimed that there are major problems with it. If there are major problems with our most successful industry, we are in trouble.
To make another point, a few weeks ago, two of the top American football teams came to play at Wembley. It was enormously popular: people from all over the UK flooded in to see those games. Are we saying that US American football teams should come here and give great enjoyment to the people of this country, but that we will regulate our teams and stop them going elsewhere to provide great joy to citizens around the world?
I hear the words “friendly game” mentioned behind me. The element of competition, unless it is banned by this new EDI proposal, is a hugely important part of any game, and friendlies are not the same as the pure thing. But whether friendly or not, why would we want to ban our famous, successful teams from playing abroad? I submit that this is quite extraordinary.
I do not think anyone is talking about banning; it is about preserving our Premier League and some of our domestic competitions, and it is for fans of clubs in those leagues who want to follow their team, home and away, and their ability to do so throughout the fixture list of that league. Clubs such as Manchester City, Manchester United, Liverpool, Arsenal—and West Ham, I am sure—go on tour overseas pre-season to meet the needs of fans who are overseas, and maybe mid-season for all I know. Our teams are playing too many games. It is not sustainable for them to play the number that they are at the moment, but there are opportunities pre-season for fans from around the world to visit.
I love them coming to this country. When I am at the Emirates Stadium and I see all the banners from fans from all over the world who have come to see Arsenal it is a great joy, but we need to be constrained in the regulatory purposes of this to preserve our Premier League and domestic league competitions.
Noble Lords need to understand exactly what the previous speaker was talking about. It is about preserving our leagues. The fan base of a club is not 200,000 people in South Korea or 20,000 people in New York. The fan bases of these clubs are in this country. The unintended consequence of what is being proposed could occur very quickly, easily and suddenly.
I am quite appalled by the number of noble Lords in this House who have two or three football clubs. You should have one football club; it is the club you support. I do not have a second or third club. I have one club; I am indeed suffering for that pleasure at the moment, but I have one club, through thick and thin.
What is to stop someone setting up a supporters’ group for my club somewhere else, without honourable intentions but with the intention of doing my club some difficulty or harm? That is what muddies the waters and it is where you get all this involvement. The supporters are local supporters. The other supporters can be supporters but, if local groups are going to be set up, they should be there for 12 months or two years. We need to know their history and regulatory rights. They are not being set up by football clubs, because that is another way that this could be done—to set up your own shadow group that plays lip service to this.
Noble Lords know that football supporters have robust views, and chairmen who really understand that tend to meet them regularly. Lots of Premier League clubs do that; they go and meet their supporters—working-class people in areas and towns, who will give them their honest views, which the clubs usually do not like. United is now increasing the prices for all tickets, which is not going down well with all the United fans, but there is still a 10 or 15-year waiting list for a season ticket. That is why the club can do that, but it is not really supporting the fans.
Let us just bring it back from this existential conversation about Burke and the father of the son. Does that go into politics—“I was a Conservative so my son’s going to be a Conservative”? That is changing—we all know it is—and it is a reasonable evolution. If you are the son of a miner, you might end up a Conservative Minister. That is great, that is the opportunity that this country offers, and it should be the same with football supporters.
But football supporters support their own club and are very wary about suddenly involving any number of supporters, because the numbers then become detrimental to doing what we are supposed to be doing here, which is protecting the pyramid. It seems that these debates are all leading in one direction: “Leave the Premier League alone, let it run football, and the rest of you can have the crumbs off the table”. That is the feeling I am getting from these conversations, and that is wrong.
I have a slight fear that I may be intervening in the intervention on an intervention on the answer to an intervention, but still. Among my interests is that I am a director of Chelsea Football Club and director of its foundation. I also had the honour to be a member of the fan-led review committee.
I urge that the Bill and the debate should define “fans” as widely as possible. I am afraid that I think the noble Lord is completely wrong, certainly as far as my club is concerned. We have hundreds of thousands—indeed, millions—of fans all around the world. We care deeply for them and I am very much engaged in our fan mechanism, in involving them. I am committed to the principle of fan engagement that the Crouch committee laid out. We want to talk to our fans all over the globe and we have an interest in prospective fans, not only current fans.
Of course, the fans who attend Stamford Bridge, which is where Chelsea play at home—I feel that I have to explain that—are very dear to us and play a core part in the definition of who a “fan” is, but they are certainly not the only fans. It would be a mistake for the regulator to start its work thinking that that is how the Bill considers it.
Regulators do not define who fans are. Regulators define fans for the purpose of consultation in pursuit of their duties. I am a Liverpool fan. Wherever I go in the world—whatever I am doing—I always find the local bar, and there are lots of Liverpool people there to support the team when a game is on, and I make lots of new friends. Liverpool as a club should of course take those fans seriously in its commercial thinking, its tours and other long-term strategy, but the idea that the regulator should consult with the San Diego Liverpool chapter when it is considering issues to do with implementing the Bill is ridiculous. I do not think San Diego-based fans will want that either. The club should take those interests into consideration. We are talking about the connection between a regulator and the pursuit of its duties, and the issue of protecting communities.
Is the noble Lord saying that he thinks the club should not ask those people as well as other fans? If he thinks that, why should that not be part of the definition of the “fan” under the Bill?
I did not say anything about what the club should do. We should not tell clubs what to do about their conception of their own fans. I am talking about the relevant categorisation of what “fans” means for the purpose of the regulator pursuing its duties.
My Lords, it would be useful to determine who has the Floor.
My Lords, it might be convenient if we get to the stage of the amendment being moved, and then we can have such a general debate.
Oh!
I am very grateful to the Deputy Chairman of Committees and to the noble Lord, Lord Lisvane, for trying to bring us back to the point.
This underlines the importance of the debate we need to have in this group. I was tempted to intervene on the noble Lord, Lord Wood of Anfield, but seeing as it was an intervention on me, I do not think that I could have done.
We do not need to focus so much on consulting fans of Liverpool in San Diego. I am interested in the opening clause of the Bill and whether the interests of fans of Liverpool who are based in Weymouth, Whitley Bay or Walthamstow should be taken into account at the moment when we are defining “sustainability”. The Bill currently says:
“For the purposes of this section”—
referring to Clause 1(3)—
“English football is sustainable if it … continues to contribute to the economic or social well-being of the local communities with which regulated clubs are associated”.
Liverpool do great work not just on Merseyside but for fans across the country and we need to have a useful debate about the inclusion and the limiting factor of the word “local” there because there is a domestic point to be made. But, as the intervention from my noble friend Lord Moynihan of Chelsea pointed out, I think we should also avoid looking like little Englanders and being too restricted simply to the domestic benefits here. There is a large group of fans in Thailand, Japan or South Korea, where I was over the summer and where people came up to me and asked which team I supported and wanted to talk about football. I am sure noble Lords across the House have had the same experience when travelling overseas—whether we have places such as Anfield in our titles or otherwise, it is one of the first questions we are asked.
It is a source of pride for this country that a sport we invented and export is something that 1.5 billion people across the globe enjoy watching and can take some of the social and economic benefits of. Through my Amendment 8, I am simply testing whether “local” really ought to be the limiting factor here. I think there are two stages that would be helpful to consider: across England—and, indeed, perhaps the United Kingdom—and across the globe more broadly. I think it would be helpful at this point if I let the debate continue to move by now moving Amendment 8.
I am sorry, but I hope it is appropriate for yet another Liverpool fan to intervene in this debate. I think we have to segment the fan base and that is essentially what is happening, so I wonder how much we are really disagreeing with one another. As I said at Second Reading, my grandad was brought up 200 yards from Anfield; my father had to walk to the match; and when I was young, I had to take a train and a bus. We all know about those intense fans that live locally. They are chiefly the fans who go by train to away games and love the game and it is a critical part of their whole life. Any organisation which segments its fan base is going to pay a great deal of attention to that cohort.
But we live in different times from my grandfather and my father. Television changed all of that and created a fan base for a high proportion of clubs, not just those in the Premier League, right across the country. In more recent times, in the satellite age, the fan base is truly global. Any organisation benefits from a dialogue with its customers, and the fan base broadly defined is the customer and it is that fan base that provides the investment into the game. It provides the investment at local, national and global level, chiefly through the agency of television rights. Any sensible organisation—whether it is the regulator, the leagues or the clubs—should engage with the full complexity of that fan base. Like any good business, you talk to your fans, you listen, you learn, you adapt and you grow and that is surely what, in one way or another, I hope most of us could agree with.
When the league made the bad mistake that we all know about of saying there would be a closed shop in Europe, the fan base, broadly speaking, rose up in 24 hours and it was knocked out of the equation. I happen to think it would be a mistake for the Premier League to play “home games” in another country, because it antagonises the fans who have the most intense feeling. But we do have to talk to and be informed about the totality of the fan base, whether local, national or global.
I totally agree with what has just been said about segmenting the fan base. I do not support a team that has the wide support that Liverpool has, but I was once at a football match in Buenos Aires where I was asked by local people which team I supported. When I mentioned Bolton Wanderers, just about everybody around me said instantly “Nat Lofthouse”, so these things travel. I accept that, but when we are talking about this Bill and about consulting fans on ticket pricing, the club’s heritage or moving grounds, then it is the locality that is in question, and we should not lose sight of that.
My Lords, I shall first pick up the comment from my noble friend Lord Moynihan of Cheslea. Whether it was an intervention on an intervention, I intervened from a sedentary position, and he heard my comments in relation to friendlies. I was not denying what he was saying; I was expressing support to the extent that pre-season friendlies take place to a substantial amount already and they achieve, to use the word currently in the Bill, an element of sustainability because they provide income from matches all around the world. The noble Lord, Lord Wood, commented earlier on. If ever there was an indication of the strength of support for a football club in another part of the world, all anybody has to do is type in “Liverpool” and “Melbourne cricket ground” to watch a full 100,000-plus Liverpool supporters singing their anthem at the start of a match. That is the extent of the support that our clubs have around the world, and it provides substantial income to the club. There are not many as large as Liverpool, but there is support right around the world.
My Lords, the complexity of this debate—it is structurally complex as well as dealing with complex issues—illustrates how important it is that we explore these issues, because in every debate that we have another layer of the multifaceted success that is current English football becomes exposed and illuminated.
My noble friends’ amendments suggest that the regulator should be required to consider future fans as well as current fans and to take into account all fans not just fans in the locality. The truth is that, 20 years ago, there would not have been support across the world, particularly for the major clubs. However, as the noble Baroness, Lady Taylor, just said, this is not limited to the top level of clubs. This is a moving scene. Globalisation, for all its critics, has not come to an end; this is more of a global village than it was. Top-level football in England is much more international than it was in terms of the background of footballers who play here, and that is unlikely to become less so. As more and more of the world’s population have access to a variety of television channels, there will be more. We can only expect the degree of global interest and support for English football clubs to grow. This is a moving scene, and we should be clear that if we are going to have this regulator, the regulator should think in those terms and to be aware of it.
Of course, there will continue to be an incredibly important local fan base for every club. I was a Tottenham supporter when I lived in Oxfordshire, when I lived in Warwickshire, when I lived in London and now when I live in Sussex. My son, who is also a Tottenham supporter, feels it so strongly that he bought a house five minutes away from the marvellous Tottenham stadium, so he has now become a local supporter having been a distant supporter. This will continue to be the way in which support for football clubs develops, and it is important. My noble friend does us all a service by raising the point and developing the complexity of the issues that we are dealing with here and that we might, if we do not get this right, be putting in jeopardy.
My Lords, I will speak primarily to Amendment 17A in my name. Before I do so, I want to reflect on some of the contributions that we have heard, largely on the last group of amendments but spilling over into this one. I am a bit concerned that, while the Bill is about the regulator of English football, several noble Lords have said that it would be appropriate to extend it beyond the confines of England.
I understand the economic arguments for that. I think it was the noble Lord, Lord Moynihan of Chelsea, who asked: are we really saying that we do not want English football equivalents of American football teams coming here? I saw American baseball at the London Stadium this year and thoroughly enjoyed it. But I do not care about their leagues. I do not care what effect it has on their leagues or their fans; it is up to them.
I do care about the effect of sending games abroad, as other noble Lords have said, and playing competitive matches: not touring matches, as my noble friend Lord Knight said, but competitive matches in other countries. That would be, to put it mildly, a very slippery slope and it would impact on something that the noble Lord, Lord Hayward, said in the last debate about comparing other sports. There is a very worrying trend of other sports—such as the grand prix that took place at the weekend—being funded to outrageous extents by foreign, often repressive and undemocratic Governments, to ensure that sports go to their countries. I do not want to see that sort of magnet placed in the way of football clubs in this country.
Can I clarify what the noble Lord has just said? He described the sporting events in the Middle East over the weekend—which were cricket, rugby and motor-racing—as “worrying”. Receiving literally millions of pounds of income for a football club or other sport in this country—is that really worrying?
It is absolutely worrying. These countries have the right to do what they like with their money, but we have a right to say, “I don’t really wish to engage with that”, because we become tainted if we do that to an unlimited extent. That is a slightly different argument from that of playing competitive matches in other countries. That surely is something that we all agree would be bad for the future of English football. There are plenty of ways of bringing money in from all sources—if clubs want to do that, it is up to them—but playing matches outwith this country is surely not where we want to go.
That impacts on the whole question of fans and my amendment, which is: what is a fan? I do not know whether my amendment is the way we should define it, but I think it is the narrowest definition of a fan that I have heard so far in relation to this Bill. How do you define the Liverpool fan in San Diego? What does she or she have to say about what is happening in the Premier League? They may watch it on television and that is fine. They may express a very definite preference for one club, and they are entitled to do so. But they do not have a vested interest in the club in the way that someone who pays their money to go and see a match does.
I will repeat the point that I made last week. Some people are unable to afford the price of tickets, particularly in the Premier League—although I have to say in all honesty that I bought a theatre ticket last week, which cannot really be equated with the cost of a Premier League football ticket. But the other question is whether some people are physically unable to go. It may be somebody who has been going since they were 10 years old; they reach the age of 70 and find they are no longer able to go. I would sympathise with that.
However, we have been talking in the Bill about the regulator ensuring consultation with fans. You cannot consult somebody if you do not know where he or she lives. There has to be a list somewhere of the people you are going to consult. You cannot just open it up online and say, “Anybody with an interest, let us have your view by email”. That is not consulting—or at least consulting properly. So people who have bought into the club by having a season ticket: that is a reasonable way of saying, “These are the only fans we can genuinely define”. You can put them in a box and say, when it comes to consultation, “That’s the group of people because they have put their names in”.
They do not go to every match, of course. I often laugh when I read the football results and they show the attendance. I do not mean any disrespect to Arsenal, but I will use them as an example. They are going rather well at the moment, but they were not going well five years ago in the latter days of the Arsène Wenger period. You would see a match the Emirates Stadium and it was perfectly clear that there were almost as many empty seats as filled seats, yet the next day the papers would say the attendance was 100 short of capacity. That means the club is saying, “Ah, now, but we’ve sold those seats. Season ticket holders have bought them but they’re not very happy at the moment so they haven’t come”. My argument is, “Okay, that’s fine, but the key to the attendance is the word ‘attend’. If people don’t go, there’s not an attendance”. Still, the point is that these people have made a financial commitment to the club, and that is a basis on which to go forward.
That is why I disagree with the other amendments in this group, particularly Amendment 26 from the noble Lord, Lord Addington, and Amendment 17 from the noble Lords, Lord Markham and Lord Parkinson, which refers to those
“who have an interest in seeing the club succeed”.
That is so vague; we have to have some way of pinning it down. If there is a better way of doing that than through season ticket holders, I am open to that suggestion and I will consider it. But, until then, I believe that is the only basis on which we can do it. I also want to see it in the Bill.
Suppose we base it on season ticket holders. If you take a club such as Bournemouth, whose capacity is 11,000-ish, it will probably have 4,000 season ticket holders—but they would not represent all the views of every Bournemouth supporter in the whole world.
In relation to supporters around the world, if a supporter gets on a plane from Sweden to watch Bournemouth play, are they a supporter or not? Some 5% of inbound flights to the UK involve taking in a Premier League game—I mean, the Premier League could run a successful airline. Putting that point to one side, though, it would be impossible for a regulator to try to rank supporters of the club in order of priority. We all know, respect and love our season ticket holders, but not everyone is lucky enough to get a season ticket—particularly if you are a Bournemouth supporter, because the capacity is only 11,000-odd.
On the noble Baroness’s last point, I do not want the regulator to be doing this. That is why I want it in the Bill. This is not an issue where there can be any subjectivity. There has to be something tight.
Bournemouth may have season ticket holders in Sweden, I do not know, and if they come, they come. If they do not come, though, they are still a season ticket holder, so they are entitled to be consulted. But, if there is no financial commitment, I just do not understand how you can possibly meaningfully take the opinion of someone who just says, “Yeah, I’ve been at a couple of Liverpool games, I always watch them on TV and I’ve bought a scarf”. I am open to suggestions as to how we might pin this down better, but pin it down in the Bill we must.
My Lords, when it comes to taking opinion, I would rather not complicate things, but the divides that appear to be there are rather false ones, talking about issues that are not contained in the Bill but are contained on other issues.
I currently chair a supporters’ group that has branches all over the world. It has members—some season ticket holders, some not—who attend football. I am quite satisfied that the Bill says that supporters’ groups of different kinds should be consulted on issues that are of relevance to them.
I have a slight liking for “current and prospective” in the amendment from the noble Lord, Lord Parkinson, but possibly for different reasons from him, and I am not sure it can be encapsulated in statute, so I do not warm to the wording, even if I do to part of the meaning.
There is a danger at the moment that football, especially the Premier League and the higher echelons of the Championship, is full of people who are more like me, rather than young children. Season ticket waiting lists in the Premier League are prodigiously difficult to get up. There are long queues and many children are in them, which is a dilemma. Unless stadiums get bigger and bigger, which I would encourage, how do we get in the next generation of fans? If you do something as absurd as a team in Manchester has done and make it £66 for a child, in the long term you will probably lose competitive advantage. But the family and the children are losing something which is quintessentially British and English: being able to support their local team and occasionally go.
On the first amendment, I think the issue is: in football, should there be some thought in relation to the next generation? That is very valid but I do not see how it can be brought into statute. On the second amendment, that is not what the debate has been on and the amendment is fundamentally flawed. “Local communities” in this subsection are in the context of the economy and the social economy. If Bolton Wanderers, Bradford City or Worksop Town, or even Leeds United, lose a fixture—wrongly and badly, and desperately so—that has an impact across that locality. Sometimes it is a big impact and the more crucial the result is seen to be, the bigger it is. That impacts on the local economy, as has been known over the decades and today.
People are in different moods on the back of a fixture. Season ticket holders who are members of my organisation and who have come over from Norway or Sweden—some from even further afield—will be equally distraught at a bad result such as last Saturday’s, having been in Blackburn and having flown in from places such as Sweden; but the impact on the local economy is felt in the local community.
There is more that pulls people together on this issue than divides us across the Houses, but one of the good negotiations that I managed to conclude with my club was to allow advance purchase of tickets, with a special early availability for overseas fans. Our argument was that if you were having to get them three weeks before a fixture, you would spend a fortune on the flight. If you can save £500—that is the figure I cited—on coming from Oslo or Stockholm to a football match in England, you are likely to spend that £500 anyway, possibly on the club merchandising, much to the delight of the club, but certainly in the vicinity.
One of the ironies of scheduling these days is that, if you buy tickets six months in advance, you cannot say, “I am going to get a day return on a Saturday for a 3 pm kick-off”. You have to arrive on Friday and unless you are really taking a few risks, depart on Monday. What people do is to make a weekend of it, and they make tremendous additional contributions to the local economy. That is to the good of UK plc, so the second amendment rather misses the point on local communities.
People who live in Sweden should not be deciding whether Leeds football club moves to somewhere such as Harrogate, Huddersfield or Bradford—or other equally distressing possibilities, at least in theory—because it is set in Leeds. But if they want to have a say on other matters and the club wants to consult on those, there is more potential flexibility. The Bill can achieve that, but we do not want to miss the point of how local economies are impacted by this sport and its importance. The regulator certainly has to take that into consideration.
My Lords, I hope I might be allowed to say a few words about my amendment in this group, if everybody is okay with that.
I asked for a definition of “fans” because I had a nightmare, and this discussion featured largely in it. A fan is a self-selecting person who has made a commitment. If there is another definition out there, save it, please.
A financial commitment.
They have made a financial commitment or signed a pledge—I do not know, but they have made a commitment. They have said that they are a part of this and there is no compulsion; they have made a decision. That is why I felt we should have this in the Bill.
Apart from anything else, this is British law we are talking about, and the English leagues. I do not know why we are bothering discussing what people in South Korea or San Francisco are doing, because we can only deal with what is in our own legal framework. If they join a group over here and make a financial or long-term commitment, maybe then they are consulted. But it is here in the UK that you have to make a commitment; it is about the local base. These people are committing to something which is located in a place. That is why I tabled this amendment. My noble friend got to the guts of it when he said that it is an emotional commitment.
We need some guidance on what the Government are going to say. You are not going to keep everybody happy, clearly, but let us at least know why we are unhappy, and we will see what we can do about it at another stage if that is appropriate. That is what my amendment is for, and I hope we can reach that point with all rapidity.
My Lords, I declare an interest of a kind as a season ticket holder at Wycombe Wanderers, who are still top of League One, as they were when I spoke at Second Reading. Therefore, I would count as a fan under the definition in Amendment 17A, spoken to by the noble Lord, Lord Watson of Invergowrie. However, I want to describe a group of people who would not count, as I think it casts some light on our proceedings as to what the regulator might say and the Government’s view.
Last year, a Spanish-language YouTube channel, La Media Inglesa—I hope I am pronouncing it correctly; it is apparently the largest football YouTube channel—wrote to every single EFL club asking why Spaniards should support their club. Wycombe Wanderers were the only club to reply in Spanish. As a consequence, 100 Spanish supporters turned up to see Wycombe play Derby County at Adams Park, then again for a game against Sheffield Wednesday, and then again to Fratton Park for a game against Portsmouth—and so on, and so forth. They greatly enlivened the proceedings by waving their scarves, chanting loudly and showing commitment—to pick up the word just used by the noble Lord, Lord Addington—to their team.
The point we are trying to get to the heart of is not exactly who we think is a fan, but what the regulator’s view will be and what the Government believe the regulator’s view might be, given that “fan” is not defined in the Bill. There is obviously common sense in the approach just taken by the noble Lord, Lord Mann, among others. He suggested that, logically and intuitively, there must be some sort of difference, in respect of interest in the ownership of the ground and the prices of tickets, between fans who live in the broad locality and fans—however committed—who travel to the ground from a great distance away.
That is precisely what we need to hear a view about from the Government Front Bench. What I suspect the Minister will say—knocking the issue back across the Benches—is that these are matters for clubs to decide for themselves. If that is the Government’s view, then the Minister in due course should tell us.
My Lords, I rise to speak to my Amendment 17. What we have seen today, and I am glad that the Chief Whip has been here to witness it, is a passionate and informed debate. Perhaps it will give him an understanding of why the debate may be lengthier than one might have hoped. Not surprisingly, 15 or 20 noble Lords have spoken and we have probably had 21 or 22 different definitions of what a fan is—so none of us underestimates what a complicated area this is, but what we are all united in is that it is vitally important and, as such, it should be in the Bill. That is what we are asking the Minister to reply on.
I am probably biased, but I happen to think my Amendment 17 tries to take those different aspects into account, saying that fans are
“individuals who … identify with the club, engage with the service the club provides, and have an interest in seeing the club succeed”.
Bringing in the service that the club provides is trying to take into account that wider commitment and interest in it. I completely agree with the noble Lord, Lord Mann, that the most dedicated version of that is the season ticket, but we also know that there are massively long waiting lists for season tickets. Does that mean that people who are on a waiting list or people who cannot afford a season ticket somehow count less? That is why my wider definition talks about people who engage with the services of that club to try to take that into account.
I think we all agree with the noble Lord, Lord Watson, in his amendment that giving the independent regulator a definition to work to is vital, because this is at the core of what a club is. In any consultation that a club has to undertake, it needs to be clear who it is consulting with.
My Lords, I rise to speak against Amendment 17A, tabled by the noble Lord, Lord Watson, and in favour of Amendment 17, tabled by the noble Lord, Lord Markham. The noble Lord, Lord Watson, has clearly thought very carefully about this and I agree with a great many of his nuances and analyses of what a fan is. I also agree with much of what the noble Lord, Lord Mann, said, although not about the localism.
Why are we talking about San Francisco or South Korea fans? It is because, surely, the purpose of this Bill is to sustain and continually improve the commercial and financial success of football, not to introduce some more nebulous—indeed, I would say suspicious—metric that we could conjure up on social grounds or whatever. If we are here explicitly to damage the commercial and financial success of football, let us admit it—but, if we are not, let us then look at the consequences and implications of that.
What is a fan? Can it only be a season ticket holder? The noble Lord, Lord Goddard, said about fans, “These are working-class people”. As an unregenerate member of the middle classes since childhood, I sort of resented that, but let us go with it. I am sure that the noble Lord, Lord Watson, is a champion of the working classes, but how many of the working classes can afford a season ticket? When I was 10 years old, I would jump on a number 11 bus and go down the King’s Road to Stamford Bridge. I only got there once a month maybe, by not having a gobstopper or a Barratt sherbet every day and saving up the five bob it cost me to get into the ground. I could not afford a season ticket. Fine, you could say that I should not be consulted, either, any more than children of 10 should be allowed to go on social media.
When I was an undergraduate of 21, I could not afford a season ticket but I was a fervent Chelsea fan. Later, I became a season ticket holder. Did I suddenly become worthy of consultation because I had managed to get a job that helped me afford a season ticket? Then when I moved abroad for a couple of decades, to study and work, did that disqualify me from being a fan? Then when I came back and got a season ticket, was I suddenly qualified to be a fan again? It is nonsense. If we are thinking about the commercial and financial success of this industry, we should follow the commercial and financial logic: my noble friend Lord Finkelstein was quite eloquent about that just now.
The wider point I would like to make, which I made at Second Reading, is that there is an awful smack, in the entire Bill, of, “We know best”. Do we? Do we really know best, in such detail, as to define who the fan is and what games should be allowed to be played where? Have we in this Chamber such an enormous track record of commercial and financial success that we decide that we are in a position to overrule what a club would like to do and say, “No, we know best. You can’t have that game. These are the fans you’ve got to look after; these are the ones we will consult and they are the only ones we’ll listen to”. Do we really believe that we know best? Could we not be a little more humble, step back a little and leave it much more to others to define “what’s what”, “how’s how” and what these clubs, in the most successful industry in this country, should be allowed to do?
My Lords, as I sat through the whole of this fascinating debate, I thought I might as well throw my penny’s worth in on the issue of what a fan is. I am a football fan. I do not have a season ticket. I was on a list for a season ticket for many years until Arsenal moved stadium, when they scrapped the waiting list and you had to start again. The only way I show my fandom, really, is to listen or watch matches whenever I can and get into arguments in pubs with people from other teams. Just saying.
My Lords, very briefly, I support my noble friend Lord Parkinson’s excellent amendment. I think it is unarguable that in the last hour we have demonstrated why we need that amendment, because no one agrees what “local” means. I think that is a very important point. This whole debate reminds me of Humpty Dumpty in Alice’s Adventures in Wonderland, when Humpty says:
“When I use a word, it means just what I choose it to mean—neither more nor less”.
We do not really know what “local” means. My noble friend Lord Moynihan of Chelsea talks about the importance of international fans. I say to the noble Lord, Lord Watson, that I fundamentally disagree with Amendment 17A because I think it is socially regressive and would lock out many people. It would actually go against my noble friend’s Amendment 8 in terms of getting new generations of fans involved: not everyone can afford a season ticket.
I accept that, and I hope I made that clear earlier—but how do you consult the other people? You do not know who they are.
The noble Lord asks a very reasonable question. I actually pray in aid the amendment from the noble Lord, Lord Addington, because, for all his frustration with this debate, his Amendment 26 has at least tried to answer the question of what a fan is and what “local” means, and therefore I am quite predisposed toward that amendment. My only problem is that it absolves this House and Ministers from solving the problem, by kicking it into the long grass, so to speak, of the independent football regulator. So I agree with that amendment, but the noble Lord’s amendment is too restrictive.
When I was a child, I used to go to Charlton Athletic, the Valley, which in the good old days had a 66,000 capacity. Because I was a Charlton fan, vicariously, through my father, does that mean I could not be a fan of Millwall, which is in almost the next borough, the London Borough of Southwark? Could I not have been a fan of Crystal Palace, in the London Borough of Croydon? Could I not have been a fan of Leyton Orient, in the London Borough of Waltham Forest? You get into a rabbit hole of really difficult decisions if you do not properly talk about what is “local”.
I will finally finish by reminding your Lordships that, at Second Reading, I mentioned the importance of supply chains, because although fans are important, so is the wider football community. That includes businesses, commerce, supply chains, the people who sell the hot dogs and the prawn sandwiches, the people who provide the footballs, and the people who do the advertising, etcetera. We are dancing on the head of a pin, because—with all due respect to the people in the Box—the Bill is not well drafted. We have a responsibility to point that out. For that reason, I implore the Minister specifically to support my noble friend Lord Parkinson’s Amendment 9.
My Lords, I will make a point on Amendment 17A of the noble Lord, Lord Watson, about the complexity of what we mean by “fan” and indeed “season ticket holder”, because there are so many options to be a season ticket holder. You can be a season ticket holder for Premier League clubs, just for those Premier League games. You also have cup games, like the FA Cup and the Carabao Cup. There are also Champions League tickets. If you cannot get a season ticket, as an individual you can apply for those individual cup games. If you wish to become a forwarding member for £20, you are in the position to receive a ticket from a season ticket holder. It spreads up; the number of season tickets available is very complicated indeed for cup games.
Not only that, but you also have corporate tickets. Corporations can buy a whole suite of tickets for their employees and also for their clients. To establish somebody who would go as a guest of a corporate individual or who had been forwarded a ticket further complicates it. The point I am making is that it is not straightforward. It is very complicated—there is not just one season ticket holder at any club.
My Lords, this has been a lively debate. Even before I moved the lead amendment in it, a lively debate had been engendered. It is an important one, because fans are sown throughout the Bill. There are various points at which the regulator, the Government and others have to consult fans, so it is important that, as we proceed through Committee and look at the Bill line by line, we are clear about and understand who the fans are that the regulator, the clubs and the Government need to consult, where they reside and where they do not, and how their views will be ascertained.
I am grateful to the noble Lord, Lord Watson of Invergowrie, for the clarity with which he put this in speaking to his Amendment 17A in this group. There has to be something in the Bill, and it has to be something tight; otherwise we will continue having this sort of nightmarish debate, as the noble Lord, Lord Addington, foresaw, and which has been borne out a bit this afternoon. Each time fans are mentioned, we have to decide—as the noble Lord, Lord Mann, put it—what is relevant to them in this instance, and whether this is something that affects them. The fan-led review that led to the Bill would mean that fans take a view on all of the matters that the Bill sets out in each of its clauses.
I am not alone—and your Lordships in this Committee are not alone—in confronting the inherent difficulties involved in trying to attempt to define a fan. My noble friend Lord Jackson of Peterborough previously mentioned the Delegated Powers and Regulatory Reform Committee of your Lordships’ House, which has pointed out the importance of trying to put this definition in the Bill. It is so central to what the Bill tries to achieve that its omission is really very striking.
The European Club Association, in its Fan of the Future report, has also pointed out that
“The anatomy of a football fan has evolved significantly”.
Its research highlights the role of social media, the decline in linear television viewing and the diversification of football content distribution, to give just a few examples. Those factors have fundamentally altered the way that people access information about football and watch their favourite team play. Indeed, 70% of respondents to the association’s survey said they consumed some form of football content online. All of that points to a trend of an increasingly international fan base for English football—a point that noble Lords have borne out repeatedly in the debate on this group. We, the clubs and the regulator will have to grapple with that trend, which I am sure is only growing, if we are all to meet the fan engagement requirements set out in the Bill.
There was a lively debate on consultation and the limits thereof, geographical and otherwise. I should probably state for the record that I do not necessarily believe that fan consultation should include fans from South Korea and all over the world or, as the noble Lord, Lord Wood of Anfield, put it, Liverpool fans in San Diego. There are obviously practical and burdensome difficulties here. I also acknowledge the point made by various noble Lords that fans who are more directly affected by their club, either from living in its vicinity or through its work, have an especially special bond.
I was struck by the comments the noble Lord, Lord Birt, made about the gradation that clubs already make between types of fans. However, as we refer to fans again and again throughout this Bill, it is important that we try and specify what constitutes a fan, and not leave it so vague. This issue requires clarity for our future deliberations in this Committee, and I would be grateful if the Minister could provide it when she responds. Before she does, I want to say a few words about Amendment 17, tabled by my noble friend Lord Markham. This amendment attempts to provide that clarity and specificity by seeking to define what constitutes a fan. If the Minister does not like Amendment 17’s definition, then it is important she provides an alternative.
I am also interested in the solution the noble Lord, Lord Addington, has proposed with his Amendment 26. In essence, his amendment requires the regulator to tell us what it counts as a fan when it conducts its duties under the Bill. It is important for fans, for clubs and for everyone that this is clarified. The noble Lord’s nightmares were well spent if during those night-time hours he formulated the ideas that led to Amendment 26, which has been helpful.
I also want to touch on Amendment 17A, tabled by the noble Lord, Lord Watson of Invergowrie. This amendment, again in the spirit of helpfulness, tries to define a fan as somebody who holds a season ticket for a regulated club. I do not doubt the noble Lord’s intent here; season ticket holders are some of a club’s most stalwart supporters. However, as the debate on this group has shown, that definition is restrictive, limited and problematic. Thousands of club fans may not be fortunate enough to hold a season ticket: it may be too expensive; they may live at the other end of the country; they may find themselves on a waiting list—as the noble Lord, Lord Mann, noted; and they may find themselves behind corporate interests, as my noble friend Lord Evans of Rainow has set out. All of those things could prevent fans from becoming season ticket holders. It would not be right to say that those people are not fans, or that they are not the sort of fan who needs to be consulted on the future of their club or who would have an interest in it. Therefore, although Amendment 17A’s definition is a helpful attempt, it is not quite the answer.
I am grateful to the noble Lord, Lord Mann, for his tentative and cautious interest in my amendment on current and prospective fans. I hope that he agrees that it is important that we have a definition of a fan in the Bill to avoid this sort of confusion as we go through the debates on later clauses. I know that he chairs a fan group for Leeds United. Would every Leeds fan feel that they were represented by the group that he chairs? Would they all agree with what he says? I am not sure that that is necessarily the case. Fans come in different shapes and sizes, and they have many views, but we need some clarity as we go through our debates to understand in each instance where and whom the regulator, the Government and the clubs themselves must consult.
I hope that not all fans agree with my supporters’ group, because we have a very distinct approach from other fan groups. My point is that there is a range of groups and that different fan groups have different perspectives, interests and ideals. Therefore, to attempt to define them in the Bill is so complex as to be impossible. That is why it is sensible to take the approach that the Government are taking: one that has some flexibility built in.
I will not go into great detail on the different kinds of fan groups. I believe that West Ham has nine, and you could argue about how many we have because there is the question of whether some are really fan groups or not. That is the complexity—and they have different perspectives.
I will not prolong the discussion any further; it is important that we hear from the Minister instead. As we do so, I hope that we hear from her on the tension between the need for flexibility, which I understand, and the need for clarity so that the duties on the clubs, which are successful businesses, and on the regulator, which is a powerful new body, are also specified. We need that so that everybody, when they follow the Bill when it becomes an Act of Parliament, is clear on what they have to do, whether they are speaking to the fan group of the noble Lord, Lord Mann, or another about each of those duties.
I thank the noble Lords, Lord Parkinson of Whitley Bay, Lord Markham and Lord Addington, and my noble friend Lord Watson of Invergowrie for tabling these amendments and for the thorough discussion on this group. There is an amendment in a group specifically on clubs playing overseas, which I will come back to during a later stage in the Bill’s progress. I have been told by my noble friend the Chief Whip that I should not comment on gobstoppers, as tempting as it is to do so.
I am glad that we all agree on the importance of fans to the game. The Bill also recognises that importance. As noble Lords are aware, it is based on the fan-led review, so it should have fans at its heart. I suspect that we will never get full agreement on how we should define a fan or group of fans—we have seen that in the debate on this group. However, I welcome the point made by the noble Lord, Lord Birt, that—to paraphrase—there is quite a lot of agreement on this element, so noble Lords are at risk of debating something that, when it comes down to it, many of them will agree on.
The noble Lord, Lord Parkinson of Whitley Bay, tabled an amendment that would look to add further detail to the definition of the sustainability of English football. I reassure him that both prospective and current fans would be considered in the existing requirement. As he will be aware, this is in line with the Bill introduced by the previous Government in which he served. Football would not serve the interests of fans if the game were unattractive or unwelcoming to new fans. As the Explanatory Notes to this clause clarify, continuing to serve the interests of fans
“means meeting the needs of present fans without compromising the ability of future generations of fans to enjoy and benefit from the club”.
Amendment 9, in the name of the noble Lord, Lord Parkinson, looks to remove the specific reference to “local” communities from the definition of the sustainability of English football. One of the best things about football in this country is that it fosters community. I welcome the passionate defence of local fans made by the noble Lord, Lord Goddard of Stockport. This is something that noble Lords from across your Lordships’ House recognised and spoke passionately about at Second Reading, and we wish to protect it.
The local area surrounding clubs can often develop communities and economies dependent on the football club. It is important to recognise that not all communities are grounded in the local area. As noble Lords have mentioned, they can be online, far-reaching and even international. These communities are also important, as was highlighted by the noble Lords, Lord Goodman of Wycombe, Lord Maude of Horsham, Lord Hayward and Lord Moynihan of Chelsea.
The noble Baroness, Lady Brady, mentioned international flights. I understand that such is the Norwegian enthusiasm for football that weekend flights are scheduled to allow fans to travel to watch UK games. However, as communities become less rooted in the local area or directly related to the club itself, it would be harder for the regulator to control or even predict how its actions may influence their economic or social well-being. We do not want the regulator to be set up to fail because it cannot feasibly meet its statutory purpose. If the regulator were required to consider more detached and far-reaching communities, it might never be able to completely deliver a sustainable English football.
We should also remember that it is often the local communities that are most vulnerable and can suffer most directly from any crisis at a club. As my noble friend Lady Taylor of Bolton made clear, the locality matters. We have seen in places such as Bury and Macclesfield the hole that is left in the local community, including the economic impacts, social impacts and job losses. None the less, the regulator must of course consider the impact of its actions on the wider community of fans. That is why the Bill’s purpose, as drafted, includes English football serving the interests of fans, with no requirement that those fans are “local” to their club.
The noble Lord, Lord Parkinson of Whitley Bay, appeared to conflate how fans and communities are defined. I want to be very clear that, while Clause 1(3)(b) specifies “local communities”, Clause 1(3)(a) does not specify that it applies only to local fans. So, the noble Lord’s points on Manchester United fans in Weymouth would still be considered in this definition of “sustainability” as it pertains to fans.
On Amendment 17 in the name of the noble Lord, Lord Markham, I understand that its intention is to set in the Bill a definition of what makes someone a football fan. His amendment draws on the Explanatory Notes. I welcome the perspective of the noble Lord, Lord Finkelstein, as a member of the committee on the fan-led review. For a definition of a fan to be in primary legislation, there is a significant risk of unintended consequences that it will end up being either so loosely defined that it lacks precision or too narrow that important and passionate fans are excluded from engagement. I know that noble Lords from across the Committee would not wish to exclude any passionate fan from the engagement that the regulator intends clubs to carry out. This is because the make-up of a fan base will differ from club to club. It is this diversity that makes English football so special.
In our view, there is also likely to be the need for clubs to be able to consult different groups of fans on different issues. For example, on ticket prices, we would reasonably expect that clubs may wish to focus on consulting regular, match-going fans. However, on stadium relocations, we might expect them to consult a broader group of fans from across the community. From my engagement with Members from across your Lordships’ House, I know that there are many different views on the definition of a fan. Indeed, there are probably as many definitions as there are Members in this debate, if not many more. Therefore, although I understand the desire for more clarity, I am extremely reluctant for the Government to provide a specific definition that would be limiting.
The Government do not see themselves as the arbitrator of who counts as a football fan; instead, it is something that fans and clubs themselves will be in the best position to understand and discern. The regulator, once established, will be able to provide guidance for clubs on how to best consult fans, rather than be bound by an inflexible and potentially unhelpful definition. This will ensure that clubs have an appropriate framework in place that allows them to meet and consult fans regularly on key strategic matters and supporter interests, utilising pre-existing fan structures and other engagement mechanisms.
As Amendment 17A in the name of my noble friend Lord Watson of Invergowrie demonstrates, there are multiple ways in which others may define a “fan”, all of which would capture vastly different groups. At some clubs and on some issues, the definition as set out in the amendment may be sufficient, but for others there could be large numbers of dedicated fans, including the noble Baroness, Lady Jones of Moulsecoomb, who would not be captured if the club considered only season-ticket holders. I agree with the noble Baroness, Lady Brady, that this would be too narrow. For example, it would mean that those unable to attend matches as a season-ticket holder due to reasons of finance or health, or due just to their lack of luck in a ballot, would be excluded from the consultation. My noble friend Lord Mann noted the waiting list for season tickets. As a Labour Government who think that financial criteria should not exclude people of limited financial means, we feel strongly that the emotional commitment highlighted by the noble Lord, Lord Addington, should take precedence over any financial ones. This demonstrates the need for nuance and discretion in the definition, which clubs and the regulator are in the best position to arrive at.
On Amendment 26, the noble Lord, Lord Addington, is right that the regulator would have an important role in ensuring that clubs understand and meet the fan engagement requirements placed on them. The Government agree, and they expect that the regulator will need to produce guidance to provide more detail and information on who to engage with, and how, to meet these conditions. However, it is important to understand that, for the most part, individual clubs will be in the best position to understand the demographics of their fans, with significant variation between clubs. There is a risk that the amendment could inadvertently place a limit on fan engagement and limit clubs to meeting only those who are members of an official fan body. Many fans will not be part of a formally constituted body; that does not mean that they should not be represented. For example, if a club is seeking to move ground or make changes to home shirt colours, a wide range of fans should be consulted and not just a formally constituted body. The Government have designed the legislation to allow for a bespoke approach to fan engagement shaped by the regulator’s guidance, an approach that the previous Government also supported.
However, although many clubs will be best placed to discern who they should engage with, if it is felt that a club is misusing this to select only agreeable fans or to exclude another group, the regulator can and should intervene. As is made explicit in paragraph 272 of the Explanatory Notes, the regulator can take action in such instances and will be able to specify how any representative group of fans should be engaged or informed. As I said at the start of my response, I am delighted that there is so much support across your Lordships’ House for fans being at the heart of the Bill and the debate. It is a theme that we will no doubt return to on many occasions, and I look forward to future discussions. However, for the reasons outlined, I am unable to accept the amendments from my noble friend and the noble Lord and ask that they do not press them.
My Lords, I am grateful to the noble Baroness for her response. In relation to my Amendment 8, I have been in her position of having to explain why, while agreeing with the spirit of an amendment, the Government are not minded to put it in a Bill. However, if she says that the Bill is about current and prospective fans, as my amendment seeks, why not say it in the Bill? I hope that between now and Report she might reflect a bit further on that.
Regarding my Amendment 9, the Minister said that I had conflated the issue with fans. After the slightly confusing debate that we had, it is not unreasonable that she thinks I might have done. Perhaps it was unhelpful to have grouped these amendments together and to have had one debate on them. However, I am clear that Clause 1(3)(b) relates to communities and not to fans. The question that I am asking is whether, as we work towards the sustainability of English football, we should limit our ambitions to the economic and social well-being of local communities that stand to benefit rather than our community more broadly? For the sake of clarity, I wanted to de-conflate those. I am not sure that we have quite cracked this matter but, for now, I beg leave to withdraw my amendment.
Amendment 8 withdrawn.
Amendments 9 and 10 not moved.
Amendment 11
Moved by
11: Clause 1, page 2, line 4, at end insert—
“(c) meets environmental sustainability requirements set out in subsection (3A).”
My Lords, Amendments 11 and 15 relate to sustainability—not the notion of sustainability that we have been addressing to date when considering this Bill but environmental sustainability.
We seek here to get something on the record about how we feel the regulator should approach this issue. Every sector, every industry, should consider environmental sustainability and football should not be an exception. The Government, quite rightly, have commitments to achieve net zero on carbon emissions. It is impossible to divorce environmental issues from issues of financial sustainability and there are numerous ways in which one could substantiate that. It would be negligent to exclude environmental sustainability from the regulator’s remit. It is a moot question whether this needs to be in the Bill, but it should certainly be part of the regulator’s thinking. Existing regulation in the world of football has failed to change sufficiently the culture of professional and semi-professional clubs.
With limited financial and staffing resources, nearly every club outside the Premier League has failed to make any notable progress on environmental considerations. There are some clubs, the first among them being Forest Green Rovers, which, notoriously, have a very good reputation in promoting sustainability. Others include Swansea City and Norwich City—which has recently been in the Premier League. It is the Premier League clubs—16 of them—that have, to their great credit, led the way in the football pyramid. We feel that it is necessary to encourage other clubs to do the same.
Obviously, Premier League clubs have more resources than clubs lower down the pyramid, but they should not continue to be an outlier in promoting more sustainable environmental practices. To noble Lords who might question whether football should have a role in this, I simply say that the Financial Conduct Authority has regulatory principles which include minimising environmental impacts. There is an environmental policy statement and an environmental management statement, which complies with ISO 14001. It covers issues such as energy, emissions, water usage, minimising waste, recycling, paper use, methods of business travel, digital services and ICT. Football clubs and how they manage the resources that they have at their disposal have an impact on our nation’s desire to head towards net zero by 2050, and that is what the amendment speaks to.
I hope that clubs adopt environmental good practices as Arsenal and Brighton & Hove Albion do, such as including free travel in their ticket pricing to encourage more people to get on to public transport. Clubs such as Tottenham, Wolverhampton Wanderers and Chelsea have similar strategies. This should be common practice across the football industry. Whether it is in the Bill or part of the regulator’s remit, the environment is simply too important for us to leave to chance. There is a role for football to play in leading the way, as it does in many other fields of social interaction, such as promoting good race relations, tackling misogyny and dealing with other social issues. I beg to move.
My Lords, I rise to speak to my 10 amendments in this group on environmental sustainability. I want to support almost everything that the noble Lord, Lord Bassam, has just said. If you are talking about sustainability, which is what we have been talking about for two days on this Bill, you cannot avoid environmental sustainability, because it will have an impact on the financial well-being of football, and every other business. At the moment, most clubs do not think very hard about this. Forest Green Rovers are fantastic; Liverpool are doing their bit; but, by and large, there are little tweaks that clubs are doing, which makes them feel good—or perhaps they cannot imagine doing anything more, I am not sure.
We know the climate is changing; we know that the weather is changing; we know there are more floods and more droughts; so it is very short-sighted not to include environmental sustainability when you are worried about the future of clubs and their financial sustainability. Football is at risk from climate change, as are many other sports. Flooded pitches lead to cancelled games, lost revenues and disappointed fans, and droughts demand expensive irrigation. As Carlisle United discovered, a flood can lead to the kind of jump in insurance premiums that could put you out of business. So fans need the confidence that these growing risks are being prepared for and that they are not going to have a detrimental impact on clubs’ finances. The Minister kindly gave me a meeting on this, although we did not quite agree, so does she agree that climate change will have direct impacts on the financial sustainability of football and, if so, how is that recognised in the Bill? At the moment, of course, it is not.
My Amendment 103 requires the football regulator to include an assessment of football’s resilience against climate change in its “state of the game report” because, if the report does not consider environmental sustainability, it can give only an incomplete picture of the state of the game. Amendments 127, 131, 154 and 166 introduce climate and environment management plans as a mandatory licence condition for clubs. As the noble Lord, Lord Bassam, said, it should be mandatory across all businesses, and these environment management plans would set out the clubs’ environmental impact and what is being done to mitigate it. Above all, they would also require clubs to identify the impacts that climate change is having and will have on the club and make plans to manage those risks.
Football, of course, also contributes to climate change and environmental damage; hundreds of thousands of single-use plastic cups and utensils are used every single matchday; fertilisers, herbicides and millions of litres of water are used to keep the pitch green; and cities and towns are choked up with traffic on match days. The definition of sustainability in the Bill, as it stands, allows all this to continue unabated. It would even allow clubs to damage the environment even more, as long as they keep on serving fans and making a contribution to the community.
It really is an own goal for the planet, but football clubs actually caring about the planet do not have to cost the earth. Forest Green Rovers, who have been described as the greenest football club in the world, are focused on sustainability across their business. Solar panels provide about 20% of the club’s electricity needs; the club organises coaches to away games, not planes; they have cut out single-use plastics in favour of reusable or refillable options; the pitch is organic and harvests rainwater for irrigation. This is a club that is at the top of their table, fit for the future and a role model that other clubs could aspire to. Liverpool, who are, regrettably, also at the top of their table, have their Red Way initiative, which is about environmental sustainability.
My amendments will lay the groundwork for greener pitches and truly sustainable sport, embedding environmentalism throughout the football regulator’s remit. Amendment 55 adds climate and environment to the football regulator’s objectives. At Second Reading, the Minister suggested that the football regulator must be focused on the financial sustainability of clubs. The Bill already lists safeguarding the heritage of English football as an objective, so why not safeguard the environment as well? Amendments 60 and 66 require the football regulator to act in accordance with the net-zero targets in the Climate Change Act and secure the long-term environmental sustainability of football.
If the football regulator cannot set sport on an environmentally sustainable footing, football’s long-term viability is at risk. Amendment 144 would have clubs consult their fans about climate and environmental issues facing the club. Sustainable football should not just be a luxury enjoyed only by vegans and eco-entrepreneurs. While Forest Green Rovers are showing what is possible, this Bill is an opportunity to embed best practice throughout the sport. I really hope that the Government can move on this issue.
My Lords, I rise to oppose this whole group of amendments.
Oh!
It is good to get a laugh before you start. I genuinely worry about the overreach summed up in this particular group that, for example, requires football clubs to operate
“in a way that will achieve net zero greenhouse gas emissions by 2050”,
or
“materially reduce their negative impact on the natural world and all species that inhabit it”.
That is just from Amendment 15.
We already know the potentially costly and devastating impacts such green policies can have for organisations and individuals, let alone the barriers on development and growth that they can pose. Imposing such regulatory requirements on football clubs seems ill-advised and could be financially draining. I appreciate that, as we may have heard from the response to my initial remark, the noble Lords, Lord Bassam of Brighton and Lord Addington, and the noble Baroness, Lady Jones, and many others, will not agree with me politically, but my main reason for speaking is that this group exemplifies what happens once the Government open the floodgates to political interference in football by adding, for example, equality, diversity and inclusion as a mandatory part of what the regulator must inspect in football. If EDI is in the Bill, others will argue “Why not ESG or net zero?” and mission creep will start in a dangerous way. Such politicised interventions threaten to make the game of football secondary to political priorities and jeopardise clubs’ autonomy.
We have already heard from a number of contributors about a kind of league table of worthy green clubs. Do not get me wrong: if football owners, or chairs, or the fans decide they want that to be the priority, that is up to them. But it should be nowhere near the role of a regulator to decide. We have already heard about the case of green multimillionaire Dale Vince, who is the major shareholder and chair of Forest Green Rovers; we have heard him lauded. Certainly, Forest Green Rovers are the world’s first all-vegan football team; they are also the world’s first carbon-neutral football club; but I note that, at the end of the 2023-24 season, they were relegated back into non-league football, coming 24th out of 24. It is not a scientific correlation, I am just noting it.
Also, does having green credentials benefit fans, who we keep being told this Bill is designed for? Note the controversy over Forest Green Rovers’ home strip. The traditional black and white stripes were swapped for a lime green shirt and black shorts, in line with sponsorship from an eco-friendly, EV-supporting, green YouTube channel, despite what the fans wanted. So the Green Army was not necessarily kept happy by the green politics of the chair of the club. I simply raise this because, if a club wants to go green and fans want their club to be more environmentally friendly, that is fine. But the regulator should have absolutely zilch to say on it and certainly no power to impose it.
My Lords, I had no intention of speaking in this debate until I heard that last speech. I will, first of all, remind the Committee of my interest, because the company which I chair helps quite a number of people in football to meet the sustainability needs that we have.
I do have to say, however, that football—like so many sports, but more than any other—sets an example of considerable importance. Sustainability is best defined by what the chairman of Coca Cola once said to me: “I believe that sustainability means that this company is going to be here in 125 years, like it has been here for the past 125 years.” In other words, sustainability is a central issue of the continuance of businesses. The idea that you could see a football club continuing that did not do something about the use of water, that did not concern itself with the damage done by using fertilisers unnecessarily, or that did not think about the wastage from non-recyclable cups and the like, would actually be barmy.
One of the problems now is that some people are politicising our necessary needs, and they are pretending that, somehow or other, it is those of us who are pressing green issues who are the politicisers. Not at all: they are the ones who are denying the truth, denying the facts and not demanding what we need in order that the young people who now watch football will live in a world in which they can live happily. If we do not fight climate change as we need to, we will give to the next generation a world which is intolerable. What the people who politicise this issue—as we have just heard—are really doing is saying to their grandchildren, “We don’t care about the world that you will have: we want to be comfortable now. We don’t want to ask anybody to do anything; we’re not even going to remind people to do the things that are good for them and their business.”
All we are suggesting in this Bill is that it is a good idea to ask the regulator to remind people of the standards which are now accepted and insisted upon by all decent businesses. These are not exceptional; they are not political; they are merely what we, today, expect. That small number of people who do not understand that are betraying not just the present generation but their children and grandchildren. I hope that this House will feel that it is our duty to make sure that we can look our grandchildren in the eye and say, “We did our best to make sure that your world is a world in which it is a pleasure to live.”
I am not aware of any reputable scientific body that makes the claims the noble Lord has just made.
What are you talking about?
I absolutely say that the central prediction of all the major bodies is that there will be no major problem faced from climate change by 2050. If, indeed, the noble Lord or any other Peer wishes to controvert me, could they please quote such scientific evidence? By the way, they should also take into account, for example, the recent statement from the winner of the 2022 Nobel Prize for Physics, that climate change theories are a scam. I am not saying that, and I would not go so far as to say that, but could they address that? If they could please point to a central prediction that contains the sort of apocalyptic predictions just made by the noble Lord, Lord Deben, I would be very interested. I will say no more at this point.
There is no scientific society of any major country that does not say that climate change is the biggest material threat to mankind. All of them say and support the view that by 2050, we need to get to net zero if we are to have any possibility of keeping within a 1.5 degree increase in temperature compared with pre-industrial periods. All of them say that, if we do not do that, the effects upon people will be enormously damaging. You only have to look at what has happened with just a 1 degree increase: the recent floods in Spain, for example, the wildfires and the rest. What my noble friend says is not true and it is very dangerous, because that kind of attitude is what allows people to get off the hook.
I do not want to get into a fight among Tories, but I want to clarify my position. I disagree with both noble Lords, in some ways. My point is that I want football clubs to focus on football and not to have rows like this. This is precisely the thing I am objecting to: the introduction of at least in some ways contentious political or scientific matters. I simply say that this should not have anything to do with the regulation of football. That is all, and that is the reason I oppose it—not because I am taking a particular view on climate change or net zero.
My Lords, I have the last amendment in the group, which seems to be where my amendments are occurring today. I think we should have somebody at each club who addresses this issue. I am with the noble Lord, Lord Deben, on this; it is an undeniable thing. You could probably quote one person who has said, “No, it isn’t”, but you cannot list everyone else who says that climate change is real without being here all week. They will then disagree about its extent, but they will not disagree on the fact that it is real.
There should be somebody at each club doing exactly these things to make sure that the business is sustainable, and to address the various problems. If it is just one person, as was suggested, it is simply a question of saying, “Please pay attention: can we raise the issue and see what is going on?” This could be someone who is managing the flood risk; the fact that grounds are being flooded is unarguable. Someone should be saying things such as, “What is the least damaging type of cup?” All of these issues will be important at different levels to different groups, but they are important. If other regulations are coming up to deal with this, you would be an absolute fool not to bring them into your plan.
The noble Lord, Lord Deben, is probably right on this, and it is nice to see him on the Bill.
My Lords, like the noble Baroness, Lady Fox, I rise to strongly oppose the idea of adding environmental sustainability to the regulator’s remit, as this group of amendments seeks to do. I do so not because this issue is unimportant: of course, it could not be more significant for us all. My objection is both practical and principled, because barely has the ink dried on this revised Bill, and already we are seeing a litany of attempts to extend the regulator’s scope. This, I am afraid, is what many of us who work in football are so worried about. We are the first major country to introduce a government regulator for football, and immediately there is pressure to have it solve every challenge on the spectrum.
Let me remind noble Lords: this Bill already gives enormous power to the regulator. It can decide who can own a football club; how the club can spend its money; how it should organise itself as a business; how it must engage with its supporters; in what circumstances it can move location; the approach it should take to equality, diversity and inclusion; the overall flow of money; and even the continued existence of key competition tools throughout the ecosystem. However, even that does not seem to be enough. Today it is environmental sustainability; tomorrow it will be something else. We already have amendments tabled to mandate specific kinds of corporate social responsibility; to add the women’s game to the IFR’s scope; to meddle with free-to-air listed events; to require regulator consultation on political statements made by clubs; and even to govern football clubs’ relationships with sports betting.
It is a well-known phenomenon that all regulators significantly expand their scope and size over time but, if we start before it has even begun, imagine what this regulator would look like in a decade. Where will it end? I do not expect it to be anywhere positive for our currently world-leading football pyramid.
The Premier League and its clubs, as well as many EFL clubs, are already taking substantial action on environmental issues, as all responsible businesses should do. We already have comprehensive environmental regulations that apply to all businesses, as well as the aggressive targets of a country reaching net zero. In addition to serious and often innovative action to reduce their own carbon footprints, many clubs also campaign and donate substantial resources to environmental campaigns.
Premier League clubs also do a huge amount to help other clubs in this regard. Let me give one example: the Premier League has put in place a brilliant programme to provide grants of up to 70% of the costs associated with installing modern LED floodlights at stadiums across the National League system and women’s football pyramid. This has already helped dozens of community clubs both to lower their running costs and to minimise the impact they have on the environment, but it is fair to point out that Premier League clubs make these sorts of voluntary contributions while facing already unprecedented financial demands. Again, I will give one example.
The Budget increases to employers’ national insurance contributions will cost Premier League clubs an additional £56 million annually. That is an extraordinary new burden—more than £0.25 billion over the rest of this Parliament. This new bill also comes on top of the £1.6 billion in pyramid support that we already provide, as well as our significant investment in youth development and community programmes, and the constant need to maintain expensive infrastructure and build new facilities. The Government want us to spend even more on grass-roots pitches and, through the Bill, they may force us to give even more to the well-funded Football League.
All of this is before Premier League clubs can focus on their most basic and fundamental requirement—of which the Bill takes so little account—to keep their own teams strong and competitive on the pitch. Let us remember that that is what the fans really care about. It is our ability to do that which underpins the overall health and sustainability of English football.
We must not compel this regulator to interfere in areas far beyond its core purpose, adding yet more cost and complexity to what is already a set of implementation challenges. Every additional requirement we add dilutes its focus and risks its effectiveness, so this group of amendments surely cannot adhere to the basic principles of good regulatory design. Effective regulators need clear, focused remits. They need to do specific things very well, not everything poorly. Let us not undermine this regulator’s clarity of purpose before its work even begins.
My noble friend Lady Brady makes some very powerful points. Any business sector would not argue against or disagree with best practice in terms of the sustainable aspects of their business. In football, you need only look at the quality of the hospitality element and the work that goes on there or the maintenance of the grounds and pitches.
Carlisle United has been mentioned several times. The river is in the centre of town and it floods regularly, but that is a matter to do with the location of the club and the river in that city. This comes to my other point about the historic nature of football clubs and their grounds. Many of them were built in the Victorian period in the centre of cities. The noble Baroness, Lady Jones, talks about sustainability and transport, but it is very difficult for many clubs—Premier League and other league clubs that are located in the centre of towns—to do the things that the noble Baroness is proposing to insert into the Bill.
I will just give a quick example of sustainability, and that is Old Trafford. It is situated between Manchester docks and a railway line, in Trafford Park. The carbon footprint of Trafford Park has significantly reduced over recent decades, and Manchester United and other clubs throughout the league have reduced their carbon footprint, because that is the right thing to do. It is good business practice and therefore we do not need these amendments, because the football clubs themselves know the benefits of offering good-quality hospitality and good performances on pitches.
Some of your Lordships will remember the summer of 1976. It was a sign of global warming, perhaps, but the quality of football pitches in 1976 was terrible. The grass did not grow and the technology of the day did not enable pitches to survive that drought. The technology is there now and it is sustainable. Football clubs have the power, technology and wherewithal to cope with climate change but, if they are located close to a river in the centre of town, there is really only one solution, which is to move that football club.
My Lords, in the slightly unexpected but spirited exchange between my noble friends Lord Deben and Lord Moynihan of Chelsea, I have to say that I incline more to the view of my noble friend Lord Deben on the merits of the case about around climate change. I am not remotely sceptical about climate change, the threat that it poses or the need to take urgent action to combat it. I am, however, sceptical about its place in this Bill and for it to be a strong consideration in the role of the to-be-established regulator of English football.
The reality, exactly as my noble friend Lord Evans just outlined, is that some football clubs are already more vulnerable to the effects of climate change than others. All football clubs will have to invest in adaptation measures to combat the effects of climate change, because there will be malign effects whatever is done. As my noble friend Lord Deben said, they are already being experienced.
I also take the view, and have done for a long time, that businesses which value their brand and reputation have a commercial interest in ensuring that they get ahead of the curve on issues of this kind, because their customers—who, for these purposes, are the fans and supporters—care about these matters. People identify very strongly with their football clubs and with the values that they embody and represent. They want to see these institutions being successful, as obviously all football clubs intend, but they are very aware of the need for them to be responsible and to move towards their own zero-carbon position. I do not want this regulator to spend time and money—not their money but the football clubs’ and therefore the fans’ money—doing things that are not necessary, because all football clubs want to be successful, so they will be addressing this already.
My Lords this series of amendments raises an issue that will come back again and again during Committee, which is a clash of priorities. I will introduce it by again reading out a section from Tracey Crouch’s original report, in which she refers to
“the fragility of the wider foundations of the game. It is both true that our game is genuinely world leading and that there is a real risk of widespread failures and a potential collapse of the pyramid as we know it”.
In other words, we are being told, on the one hand, that football is so financially troubled that we need a state regulator to guide it and, on the other hand—in this series of amendments and others to come—that we must load the regulator with additional responsibilities.
As my noble friend Lady Brady said, these amendments relate to climate change, but we will have more on fan safety, the regulation of women’s football, the expansion of the regulator to other leagues and others on environmental sustainability. On and on they will come. There is a fundamental tension between loading the regulator with these responsibilities and the state of football as the Crouch report described it and as the Bill attempts to address.
There may be other ways of meeting these environmental objectives. I will avoid being drawn into the adverse exchanges between my noble friends Lord Deben and Lord Moynihan of Chelsea. There may be other ways in which clubs that lead on environmental action can help clubs that do not. As matters stand, the regulator, were these amendments to come into force, would be imposing on clubs that have, for better or worse, not thought about these matters at all, requirements that would affect how fans come to the games, how they treat their pitches and how they deal with litter—all matters for which they are completely unprepared.
If the Government are correct in stressing—as they have done throughout in talking to Peers; the Minister has been generous in doing this before and during the Bill—that they do not want the regulator to have a heavy touch, I look forward to the Minister explaining the other ways there might be to encourage clubs to take responsible environmental action besides accepting these amendments to the Bill, which might have effects we do not expect or want on clubs that are in financial difficulties—the very basis, after all, on which the Bill has been brought forward.
I join in with the sentiments expressed by many other noble Lords. I made the point at Second Reading that, however well intentioned, noble Lords came up with seven new commitments they wanted the regulator to be involved in. This all starts from the premise that we believe it should be a light-touch regulator and the unintended consequence is that each one, however well intentioned, can add another burden, as so ably explained by my noble friend Lady Brady. I, like others, am fearful of adding something new to the Bill.
I would like to explain a slight difference. In her response to the first group, the Minister talked about mission creep regarding how we were trying to expand the sustainability argument to other objectives of the regulator; for example, to some of the income-generating TV advertising. The key difference here is that we were trying to talk about the action the regulator takes—the measures the regulator might take to force clubs to put down a deposit to cover their sustainability requirements, and whether the regulator should have wider criteria beyond financial sustainability regarding the wider benefits of the game. Those sorts of things are appropriate because they look at what the regulator is responsible for and its objectives. Thing that put new burdens on the clubs come into a different category. They come into the mission-creep category, so to speak, which I, like other noble Lords, are reluctant to add in.
So, although I support the points made by other noble Lords, I would make that distinction. When talking about things the regulator might do that might impact clubs we should make sure that the regulator looks at the wider benefits of the game but we should not look to add extra burdens on clubs, however well intentioned.
My Lords, I am grateful to the noble Lords, Lord Bassam of Brighton and Lord Addington, to the noble Baroness, Lady Jones of Moulsecoomb, to all noble Lords who have contributed to the useful discussion on this group of amendments, and to the noble Baroness, Lady Taylor of Bolton, for her Amendment 15, which the noble Lord, Lord Bassam, and the noble Baroness, Lady Jones, spoke to on her behalf.
We recognise the importance of environmental sustainability and the target to reach net zero greenhouse gas emissions by 2050. It was, in fact, as noble Lords know, the previous Government who introduced and passed the law to ensure that the United Kingdom reduces its greenhouse gas emissions by 100% from 1990 levels by 2050. In recent scrutiny of and debate on other legislation before your Lordships’ House, we on these Benches have discharged the duty not just of the Official Opposition but, importantly, of sparking several debates on environmental sustainability and protection.
My noble friends Lord Gascoigne and Lord Roborough tabled an amendment to the Water (Special Measures) Bill to make provisions for nature recovery and nature-based solutions. We also supported and helped to pass an amendment to the Crown Estate Bill to require the Crown Estate commissioners to assess the environmental and animal welfare impacts of salmon farms on the Crown Estate.
I am very proud of those demonstrations of our commitment on these Benches to the protection of the environment and I am sorry that the Government did not support the sensible provisions brought by my noble friends Lord Gascoigne and Lord Roborough on the water Bill. But I am not persuaded by the amendments in this group because I am not convinced that they are the proper responsibility of the new independent football regulator. I worry that additional requirements—in this case on environmental sustainability—will place a further burden on football clubs.
Amendment 15 in the name of the noble Baroness, Lady Taylor of Bolton, supported by the noble Lord, Lord Bassam of Brighton, and the noble Baroness, Lady Jones of Moulsecoomb, requires clubs to operate
“in a way that will achieve net zero … by 2050 … materially reducing negative impact on the natural world”.
Amendment 55, tabled by the noble Baroness, Lady Jones, adds an environmental sustainability objective to the list of objectives for the independent football regulator under the Bill.
These are important and noble causes, but they will be, as this debate has highlighted, very costly duties that some of the clubs, particularly in the lower leagues of the football pyramid, might not be able to discharge. This speaks to the tension that the noble Lord, Lord Goddard of Stockport, mentioned in our debate on the previous group about making sure that we are thinking about clubs of all sizes and at both ends of the leagues with which the Bill is interested. There is a great difference between their financial and administrative ability to discharge some of the duties the Bill will place upon them. The clubs in the lower leagues of the pyramid are significantly smaller than those at the top and have far fewer available resources.
Even with the Bill’s efforts to help with the financial flows throughout the football pyramid, we should be mindful of the concern about whether these clubs will be able to cope with these further regulations, particularly, as my noble friend Lady Brady pointed out, in light of the additional burden placed on them by the Government’s new taxes on employment through expanding the scope and rate of national insurance contributions. Given the additional costs to football clubs from measures such as that and the other measures we will look at in the Bill, such as the industry levy, the costs of compliance with the financial regulations and so on, I fear that these amendments mean further regulatory burden on clubs at both ends of the spectrum.
It is important to note, as noble Lords have reminded us, that clubs and leagues have already voluntarily adopted and embraced elements of environmental and sustainability governance rules. In February this year the Premier League clubs met and agreed a Premier League environmental sustainability commitment. That means that each club in that league has agreed to:
“Develop a robust environmental sustainability policy”
by the end of the current season,
“designate a senior employee to lead the club’s environmental sustainability activities”,
and
“develop a greenhouse gas … emissions dataset … by the end of the 2025/26 season”.
My noble friend Lady Brady set out some of the other excellent work that has been done on a voluntary basis, but with enthusiasm, by clubs in the Premier League.
Similarly, the English Football League has the EFL Green Clubs initiative which is run in partnership with the environmental accreditation scheme GreenCode. Importantly, GreenCode is run by the same team that helped Forest Green Rovers—which the noble Lord, Lord Bassam of Brighton, mentioned in opening this group and the noble Baroness, Lady Jones, mentioned as well—to become recognised as the world’s most environmentally friendly football club, not just by FIFA but by the United Nations.
These are all steps which have been taken voluntarily by clubs in the English league system, not thrust on them by the state, by an Act of Parliament or by a powerful new regulator, so we should take heart that there is apparent action within football to tackle the environmental challenges which we undoubtedly face, supported by private enterprise, such as in the way that my noble friend Lord Deben highlighted. His company and many others are helping football clubs to discharge their intergenerational duty and to do so effectively. So I am not sure that we need to give the regulator further obligations and powers to place further requirements on these clubs.
I am mindful throughout of the point about mission creep, which we are, rightly, returning to throughout our debates. I am being chided occasionally for not agreeing with every jot and tittle of the Bill which was being looked at by the last Parliament. But the Bill which the last Government brought forward, and which was under consideration in another place, did not include measures such as the ones being proposed in this Bill for these reasons that I have set out.
I think this is an important set of issues, and I appreciate the efforts noble Lords have made to look at how they could be discharged without adding unduly to the burden. I was struck by the first part of Amendment 60 from the noble Baroness, Lady Jones, for instance, which merely suggests that the independent football regulator should just discharge its duties as regulator in a way which
“is compatible with the Climate Change Act”.
At least the first part of Amendment 60 seems sensible to me, so I look forward to hearing the Minister’s reaction to that in particular and to whether she makes that distinction between the first and second parts of what the noble Baroness has put forward in Amendment 60.
Amendment 246 from the noble Lord, Lord Addington, which, as he says, comes at the end of this group, is again constructive and chimes with the action I mentioned by the Premier League, which has agreed to have a named person at each club whom fans, the regulator and others would know is at least thinking about these matters.
Those two amendments seem to be the more attractive in the group, but that is the reason why I have not added my name to any of the amendments here and am not persuaded by the case that has been made.
I thank my noble friends Lord Bassam of Brighton and Lady Taylor of Bolton, the noble Lord, Lord Addington, and the noble Baroness, Lady Jones of Moulsecoomb, for raising the very serious issue of environmental sustainability and how it relates to the regulator. These are issues of considerable concern, not least with the shocking storms we have seen recently and the change to weather patterns over the past few years. The impact of the climate emergency on all aspects of our lives is very real.
In response to these amendments, I would like to make clear that the Government are absolutely committed to environmental sustainability. One of the Prime Minister’s five national missions is to accelerate the transition towards clean energy and ensure the UK fulfils its legal obligation to reach net-zero emissions by 2050. As a huge part of our national life, all sports, including football, have an important role to play in this transition. The Government expect authorities across this sport and across all sports to be working together to advance environmental sustainability.
A point made eloquently by the noble Lord, Lord Deben, is that we have to be able to justify the view we take now to future generations. This is true. The noble Baroness, Lady Jones of Moulsecoomb, made an interesting point on placing this requirement within the Bill. However, while I entirely support her views, we do not feel it is right to add environmental sustainability to the purpose of the Bill. As the noble Lord, Lord Goodman of Wycombe, highlighted, this Bill is acting only where industry has shown it is not capable of resolving matters itself and statutory regulation is the most effective way of tackling any market failures.
I would, however, be happy to discuss further with the noble Baroness how we can use good examples of football clubs already acting on the climate change emergency and spread best practice. What I would stress, when noble Lords are discussing something so important both nationally and internationally, is that noble Lords are still debating the very purpose of the Bill. The areas specified in the purpose of the Bill are based only on issues that English football has clearly shown itself to be unable to self-regulate and to risk clubs being lost to their fans and local communities.
By contrast, football has already demonstrated the ability to take action on the environment: for example, the Premier League’s new minimum standard of action on environmental issues across both the clubs and the league. I welcomed the examples given by the noble Baroness, Lady Brady. The noble Baroness, Lady Jones, and my noble friend Lord Bassam described some interesting measures when describing the work of Forest Green Rovers, but this is clearly only a starting point on which future initiatives must build. Football authorities must take more proactive steps to accelerate their own environmental initiatives. However, it is within the gift of leagues, clubs and other authorities across the game to do so without government intervention.
We must also be wary of scope creep and unintended consequences. The addition proposed in Amendments 11 and 15, in the names of my noble friends Lord Bassam of Brighton and Lady Taylor of Bolton, would potentially add burden and cost to the regulator, as well as potentially limiting its ability to carry out its main objectives. Therefore, while I acknowledge the importance of this issue, as I have set out, we do not feel it is right to add environmental sustainability to the purpose of this Bill.
I look forward to further discussions on how we can best promote environmental sustainability within the game. However, for the reasons I have set out, I hope the noble Lord will withdraw his amendment.
My Lords, I think it has been of great value to have this discussion and debate on the notion of environmental sustainability in the football industry, which is a very responsible industry actually. I take heart from the examples that the noble Baroness, Lady Brady, gave of the Premier League’s initiatives and those from the noble Lord Parkinson.
It seems to me that this is an important issue for football. All the other regulators seem to have an environmental purpose as well. I have looked at the Financial Conduct Authority, Ofcom and even the Pensions Regulator, which you might think is a million miles away from being a regulator interested in sustainability. They all have environmental statements and purposes as part of their work.
I think the football business is making progress in this space. I want to see it making more progress, perhaps with a more level playing field. It seems unfair that some clubs leap ahead and leave others behind. Forest Green Rovers, although a small club and in the fifth tier of football, has led the way for some years and I think it only right that we encourage other clubs to do the same, whether that is through the regulator or by applying environmental legislation more generally.
I look forward to the invitation to have some more discussion on this point but, for now, I beg leave to withdraw the amendment.
Amendment 11 withdrawn.
Amendments 12 and 13 not moved.
Amendment 14
Moved by
14: Clause 1, page 2, line 4, at end insert—
“(c) meets the social responsibility duty.”Member's explanatory statement
This amendment includes the social responsibility duty as part of the definition of English football sustainability.
My Lords, my name is to amendments in this group which will undoubtedly be accused of a bit of creep from the mission on the Bill. Having said that, what inspired this creep was Clause 1(3)(b), which says that football is sustainable if it
“continues to contribute to the economic or social well-being of the local communities with which regulated clubs are associated”.
There are two issues. The most substantive amendment is Amendment 245 and I apologise for the paving amendment, but it is the way I could get the matter discussed.
Nothing has the reach of football in our society. It is seen as a local totem in which we seem universally to be interested—I speak as a follower of an oval-shaped ball, not a round one, so with a bit of envy—so there is the ability to go forward and make changes. We might hear about the good contributions made by certain clubs. They do things within their own environments that are of benefit to their communities. I thought, “Why don’t we use football as a basis for helping the rest of the voluntary sector?” The voluntary sector tends to be dependent on itself: amateur sport, music and drama and the likes of environmental schemes where people put their hands in their pockets to go out to do things that have a social benefit.
Let us face it: we are taking on a Bill here because football, at least tiers of football, are in a mess, but we think they are important so we want to keep them. I do not think it unreasonable that they should help voluntary groups. In Amendment 245 I suggest that these clubs, which are great institutions with local kudos and power and structure, should undertake the very small duty to train people to run those local groups. Okay, it may not be about football, but it is about the local community. I suggest not that the clubs do it for those groups, but that they train them in how to do it themselves and be the treasurer, secretary or chairman. Noble Lords might disagree with that list, but these things contribute to the whole of society. It will also enhance the position of the football club. Unless it is done in a mean-spirited way, it will be something that reaches out.
Also, it is a fact that all groups like to sit in darkened rooms and talk about themselves to themselves. My amendment would force clubs to look out of that room to somebody else and appreciate that other people will help them. When I said that to the Minister in one of our meetings, she said that football manages to sit in a darkened room and does not talk to most other groups, but we will let that one fall. We can get something that helps groups that help society to run. The difficult bit for an amateur as the treasurer is to be constructive with a balance sheet, or as the secretary to figure out how to run a DBS check: “What am I legally supposed to do with it?” People will say that other groups do this, but nothing has the centralised pull of football. My amendment is a probe. Its wording is very general. This expertise might be pulled together. Sports have governing bodies that will run this, but most other organisations do not have that structure. I just cannot resist the image of the local am-dram group finding itself sitting beside the local rugby union team for the same class. It appeals to me somehow, but they all have the same problems, and they all have the same virtue that they are local, running it for themselves, and they benefit the community. I hope that we have at least some support for this idea and this structure.
The other amendment is about encouraging professional football clubs to get people to play football. It is an odd thing, but it struck me earlier: that is not really what the Bill is about. Perhaps the Government do not want it to be about that, but I would have thought that getting people to play football—getting the benefits of exercising as opposed to just watching—might sit reasonably well with the Bill. Certain clubs might have schemes that do good things, but why do we not bring them together and find out which ones work best? Football does some of this, because it has competitions and gives awards for who runs the best community scheme. I know because I have attended them, and I thank the EFL for doing that. I do not think that making sure that clubs take on some role in the community is unreasonable, as a reward for the amount of time we are putting into make sure this structure is sustainable. There are certain limitations here, and I have accepted that those should be put forward if these ideas are accepted, but we may just be pointing to good practice. I hope we will do this.
I have one last point on the playing of football. The growth of academies has a little bit to answer for. Somebody can play football in one environment and one structure and then are told at the age of 14 that they are not wanted, often for something as arbitrary as “We don’t think you will be tall enough”—I have spoken to three parents who told the same story—to which I say, “You do not want Messi or Kevin Keegan or Ronaldo in your team?” When she replies, will the Minister give us some indication about the Government’s attitude towards the local duty that is embedded in the Bill for fans and the local community? What does it mean? This is my starter for 10, if you like. Something in the Bill should say, “Yes, we are going to make this practicable”, even if it is only to take best practice and make sure that it is adhered to, or at least followed in part. We are giving a lot of time in Parliament to football. Let us get a little bit back. I beg to move.