YVONNE FOVARGUE - Clubs are more than just a business

The past few weeks have shone a spotlight on the governance of football with the sad news of Wigan Athletic going into administration.
Yvonne Fovargue MPYvonne Fovargue MP
Yvonne Fovargue MP

The past few weeks have shone a spotlight on the governance of football with the sad news of Wigan Athletic going into administration.

Having spoken with the club, administrators and Wigan Council there is a common goal to save the club and I was particularly pleased to see that people with good strong connections to Wigan are interested in purchasing the club.

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Football is an important part of our cultural life and our identity. I understand how disappointing it is for supporters when football club owners are not financially responsible, or do not respect a club’s history or fan base. I appreciate that many feel the current safeguards are too weak.

A start could be made with a thorough review by the EFL of the ‘fit and proper persons’ test, ensuring that any prospective or current club owner’s ability and willingness to pay creditors is robustly checked not just during the purchase of a club but is done on an ongoing regular basis.

Football clubs are an important part of many people’s identity and sense of belonging. They are more than just businesses.

But despite their importance in the lives of their members and supporters, too often there are no effective means for fans to have a say in how their clubs are run.

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Last week, the Chancellor gave an update to the House of Commons on the economic response to the coronavirus pandemic.

The Chancellor set out several measures that he said were designed to protect, support and create jobs.

He announced that the Government would pay businesses £1,000 for each furloughed employee they brought back to work and retained until January. He announced a scheme to pay employers directly to create jobs for 16 to 24-year-olds, introduced a grant for homeowners and landlords to make their homes more energy efficient and create local jobs.

He also announced funding to improve the energy efficiency of public sector buildings. In addition, he announced a temporary increase in the stamp duty threshold to half a million pounds.

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Finally, the Chancellor announced measures aimed at supporting hospitality and tourism: a VAT cut on food, accommodation and attractions, and a 50% discount – up to a maximum of £10 per person – on meals at participating restaurants on Mondays to Wednesdays during August.

I believe Wednesday should have seen the Chancellor deliver an emergency Budget that focused on getting people back to work.

I am concerned that instead we saw only a statement that put off the big decisions and failed to recognise the scale of the challenge the country faces.

While I welcome, for example, that the Government has listened to calls for a scheme to help young people into work, I do not believe its fund addresses the scale of the youth unemployment challenge.

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I also believe Wednesday’s announcements fall short on creating jobs through a green recovery.

I am also concerned that the Government’s plans for the furlough scheme are not nearly targeted enough.

Much of the money spent on the £1,000 job retention bonus will go to businesses that do not need it, while sectors that continue to be hard hit by the pandemic will not receive the level of support they need.

I believe this was a missed opportunity for the Government to abandon its one-size-fits-all approach and recognise that its economic support must go together with its public health response.

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The Government needs not just to address unemployment as a symptom of the pandemic, but also address the cause.

The key to getting the economy moving again is public confidence in public health measures – this means fixing our test, track and isolate programme and producing a clear system for local lockdowns.