The New England Football Regulator

1. Questions to the First Minister – in the Senedd on 3 May 2022.

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Photo of Jenny Rathbone Jenny Rathbone Labour

(Translated)

4. What discussions has the First Minister had with the UK Government regarding the oversight of the new England football regulator? OQ57969

Photo of Mark Drakeford Mark Drakeford Labour 2:10, 3 May 2022

I thank the Member for that question. The Welsh Government was not invited to contribute to the fan-led review of football governance in England. The proposed new independent regulator for English football will have some impact on Welsh clubs playing in English leagues, but oversight of the regulator will be a matter for the UK Government.

Photo of Jenny Rathbone Jenny Rathbone Labour 2:11, 3 May 2022

That's, of course, disappointing, because, obviously, Welsh clubs do play in the England and Wales leagues. We can all recall the tragic death of Emiliano Sala over three years ago, whose plane crashed on his way to Cardiff from Nantes. Last year, David Henderson was found guilty and received 18 months in prison for putting him on a plane piloted by someone who was not licensed to carry paying passengers, or to fly at night. As we're told, the new English football regulator is going to be focusing on the financial affairs of professional football clubs. Will the Welsh Government make representations about the oversight that the regulator must have to clean up the way that football clubs buy and sell players, to protect them from unscrupulous agents and people who just want to make money out of football, so we can continue to call it the beautiful game?

Photo of Mark Drakeford Mark Drakeford Labour 2:12, 3 May 2022

Can I thank Jenny Rathbone for those questions? She's quite right in saying that criminal offences lay at the heart of the tragic events that surrounded the death of Emiliano Sala. The fan-led review, the Tracey Crouch review, is definitely worth reading by any Members of the Senedd interested in the topic. I think it makes a series of very important recommendations, and they will have an impact here in Wales because of the participation of at least five clubs from Wales in English leagues.

On the specific point of agents, I think the review makes particularly interesting reading. It points out that there had been a regulatory regime around the operation of football agents until 2015, when the FIFA regulatory regime ended, and it led to deregulation of that industry. FIFA now describe the result as the law of the jungle, with conflicts of interest rife and exorbitant commissions—it puts the words 'commissions' in inverted commas—being earned left and right. The report makes it clear that English football is the world's biggest market for agents. It has some very striking figures. It quotes figures from FIFA over the last decade. It says that the English football business—and that includes the clubs, therefore, involved in English leagues in Wales—spent $919 million in paying for the services of agents over a decade. In Germany, the figure was $376 million, in Spain $264 million, in France $190 million—$190 million in France and $919 million in the English game. As the Tracey Crouch conclusions put it:

'It is concerning that English clubs appear to pay so much more than any other leagues—money that is lost to the game. It is also concerning that the lack of regulation of agents could not only be costing clubs money...but that criminal activity may also be involved, including exploitation of children.'

These are very serious charges that are rehearsed I think soberly in the text of the report. There is a recommendation in that fan-led review. It's been accepted by the UK Government, to whom it is directed, and that is that the Government should explore ways to support the regulation of football agents operating in English football, by working with relevant authorities, including FIFA.

From the supplementary question that Jenny Rathbone put in front of us this afternoon, Llywydd, you can see the strength of that recommendation, and it is good to be able to say that it has been accepted by the UK Government. We must now look forward to seeing that Government work with others to bring the operation of football agents back under a significant and defensible regulatory regime.

Photo of Tom Giffard Tom Giffard Conservative 2:15, 3 May 2022

I certainly welcome this fan-led review, which will hopefully secure the future of football for generations to come. We know that there are a number of issues in the game that the review sought to tackle, and I welcome the fact that the UK Government has endorsed every one of the 10 strategic recommendations contained within the report—most notably, a football regulator. Whilst the review is for the English game, it is important to remember, as has already been noted, that a number of clubs in Wales play in the English pyramid. So, what impact do you think that this review will have on those clubs?

Secondly, once the UK White Paper is published in full over the summer, can I ask you for confirmation that the Deputy Minister for Arts and Sport will make a full statement to the Senedd on the impact of the White Paper on clubs in Wales, and whether there are any aspects of the report and White Paper that the Welsh Government and FAW can take forward for the Welsh game?

Finally, I think that it would be a wasted opportunity if I didn't congratulate Swansea City on beating Cardiff City twice this season, which is the first time that either club has achieved that feat. So, perhaps, as the constituency Member for Cardiff West, the First Minister would like to join me in congratulating the Swans too. 

Photo of Mark Drakeford Mark Drakeford Labour 2:16, 3 May 2022

Well, I think the Member was wise to make his final remarks from the safety of his own office—[Laughter.]—so I congratulate him on getting that part right. Actually, I agreed with very much of what he had to say. I think the review will have an impact here in Wales if its recommendations are taken forward. It's likely to be a beneficial impact because what it does is to emphasise the fact that football is a game played for the benefit of those who support football clubs, rather than those who own them or who seek to make money out of them. If there is a single message at the heart of the review, it's about how you rebalance those interests, so that the interests of fans come first, rather than some of the ways in which the game has developed over more recent times.

We will, of course, read the White Paper with interest. It would be very good, from our point of view, if Welsh Ministers had an opportunity to be involved in some of the discussions that will precede that White Paper. The Minister responsible will, I'm sure, report any conclusions she has for the game in Wales to the Senedd.

The Member will be pleased to know, I'm sure, that the first professional football match that I ever went to see was at the Vetch Field in Swansea, where I saw fourth division Swansea play fourth division Huddersfield united. I cannot honestly say that that 0-0 draw inspired me to return quickly to the ground, but I have very fond memories of being at the Vetch Field.

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