APFG releases its report into football finances & govern

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York City Supporters’ Trust writes…

As ever, for more City related news, please visit www.ycst.org.uk

Recently, the All Party Football Group has released its Report into football's finances and governance. This happens to coincide with the Corporate Governance Review that is being undertaken by the Trust Board at York City.

The APFG Report is the conclusion of what they claim to have been a detailed nine month investigation by an Inquiry Panel representing over 150 MPs and Peers. In the course of its Inquiry it took written evidence from dozens of interested parties and heard oral evidence from over 40 witnesses including the football authorities, club chairmen, fans, ex-Sports Ministers, journalists, administrators and agents.

The APFG Report includes various recommendations on the governance of the game in general and clubs in particular.

Last month, the Trust commenced a Corporate Governance review at York City. Almost a year on from completion of the Trust's Rescue Package, both the Trust and Club Boards have agreed that it was time for a review and, if appropriate, to implement some changes. The Review is ongoing and is being led by a sub-group of the Trust Board.

The phrase ‘Corporate Governance’ means the framework of structures and processes that is in place to ensure that the Club is managed in the best interests of the owners/supporters and community of York.

The review includes, but is not limited to, reference to the Combined Code on Corporate Governance (for Listed Clubs), the recent 'State of the Game' report on governance in football, practice at other supporter-owned clubs and the existing framework at City that was established last year.

The existing framework includes aspects such as:
- The Memorandum & Articles of Association of the Club
- Company Law
- Code of Conduct
- The Rules of the Trust
- The Trust’s Board Membership Policy
- The Trust’s Election Rules
- Regulations of The Football League and The Football Association
- The Board/Management framework established so far
- Articulation of the Trust’s role (as described on the Trust’s website)

In some respects, the review coincides with the announcements about the ground situation at York. More details will be announced in due course.

The main findings of the APFG Report fall into five broad headings. The key recommendations include:

Re-distribution
- Premier League to double the broadcasting revenue it re-distributes to the rest of football
- More re-distribution of TV money within the Premier League
- Detailed research needed into the financial impact of the Transfer Window
- Football Authorities to be given duty to promote competitiveness of the game
- Consultation between football authorities and all clubs on the re-introduction of gate sharing

Insolvency
- Strong support for severe points deduction for clubs going into administration
- Wage-capping to be considered by Premier League if experiment in Football League/Conference proves successful
- Abolition of the ‘football debts’ rule

Corporate Governance
- Immediate introduction of the ‘Fit & Proper Person’ test
- All professional football clubs brought into line with best existing corporate governance practice
- Full accounts published annually and passed by AGM
- Supporters’ views represented at Board Level
- Tax-breaks offered to establish Supporters’ Trusts
- Football Supporters Federation should be funded by football authorities
- FA to be more representative of modern Britain

Regulation
- IFC left to complete first full three year term before decision taken on introducing a statutory regulator
- IFC to receive complaints directly rather than by referral
- IFC be funded directly by Government and budget significantly increased
- Football authorities to incorporate IFC into their rules to make its decisions binding
- Comprehensive licensing system along UEFA lines to be introduced throughout the professional game
- All professional clubs to have budgets approved two seasons in advance
- All agents to be licensed and all payments to be disclosed
- Introduction of an Agents Levy to be re-distributed to grass roots game

Broadcasting
- Future Premier League contracts to include limited number of games to be broadcast by free-to-air channels
- ‘Decisive Qualifying Matches’ to become Listed Events
- The norm for a majority of a club’s home league fixtures to kick-off at 3pm on a Saturday