Part 2The Independent Football Regulator
The Independent Football Regulator
5Establishment of the IFR
(1)
A body corporate called the Independent Football Regulator is established.
(2)
Schedule 2 contains further provision about the IFR.
6The IFR’s objectives
The IFR’s objectives are—
(a)
to protect and promote the financial soundness of regulated clubs (referred to in this Act as “the club financial soundness objective”);
(b)
to protect and promote the financial resilience of English football (referred to in this Act as “the systemic financial resilience objective”);
(c)
to safeguard the heritage of English football (referred to in this Act as “the heritage objective”).
7The IFR’s general duties etc
(1)
The IFR must, so far as reasonably practicable, exercise its functions under this Act in a way that—
(a)
is compatible with the purpose of this Act (see section 1), and
(b)
advances one or more of the IFR’s objectives (see section 6).
(2)
The IFR must have regard to the desirability of exercising those functions in a way that avoids any—
(a)
effects on the sporting competitiveness of any regulated club against another regulated club;
(b)
adverse effects on the competitiveness of regulated clubs against other clubs;
(c)
adverse effects on the financial growth of, or financial investment in, English football.
(3)
In exercising those functions, the IFR must also have regard to the following (so far as they are relevant to the exercise of those functions)—
(a)
its regulatory principles (see section 8);
(b)
its most recent state of the game report (see section 10);
(c)
the most recent football governance statement published by the Secretary of State (see section 11);
(d)
any guidance published by it (see section 12);
(e)
any guidance published by the Secretary of State (see section 13).
(4)
The IFR must keep under review the extent to which persons are complying with obligations imposed on them under or by virtue of this Act.
8The IFR’s regulatory principles
The IFR’s regulatory principles are that—
(a)
it should use its resources in the most efficient, expedient and economic way;
(b)
it should, so far as reasonably practicable, co-operate, and proactively and constructively engage, with—
(i)
persons on whom it may impose requirements or restrictions, namely clubs, owners, senior managers and other officers of clubs, and competition organisers, and
(ii)
other persons who may be affected by its decisions, including players and fans;
(c)
it should, before it imposes any requirement or restriction on a person, have regard to whether the requirement or restriction is necessary and whether a similar outcome could be achieved by less burdensome means;
(d)
any requirement or restriction imposed by it on a person should be proportionate to the benefits which are expected to result from that requirement or restriction;
(e)
it should act in a way that has regard to the specific context of football and the fact that clubs are subject to rules, requirements and restrictions imposed by competition organisers by virtue of teams operated by those clubs being entered into, being members of, or participating in competitions organised by those organisers;
(f)
it should act consistently (subject to it recognising the differences between clubs and competitions and the differences between the circumstances affecting clubs and competitions);
(g)
it should act in a way that recognises the responsibilities of owners, senior managers and other officers of clubs in relation to the requirements placed on clubs under or by virtue of this Act;
(h)
it should act as transparently as reasonably practicable.
9Transfer schemes
Schedule 3 contains provision about schemes for the transfer of staff and property, rights and liabilities to the IFR.
Reports, statements and guidance
10State of the game report
(1)
The IFR must prepare and publish a report (a “state of the game report”) on the state of English football so far as relevant to the exercise of the IFR’s functions under this Act.
(2)
A state of the game report must include—
(a)
an overview of the main issues that the IFR considers to be affecting English football,
(b)
an assessment of whether any feature, or combination of features, of English football jeopardises, or risks jeopardising, the IFR’s ability to advance one or more of its objectives, and
(c)
information about any other matters relating to the state of English football, so far as relevant to the exercise of the IFR’s functions under this Act, that the IFR considers appropriate.
(3)
(4)
Each subsequent state of the game report must be published before the end of the period of five years beginning with the day on which the previous report is published.
(5)
Before publishing a state of the game report, the IFR must—
(a)
publish a notice—
(i)
stating that it intends to prepare a report, and
(ii)
inviting suggestions about matters to be included in the report,
(b)
prepare a draft report, having regard to any suggestions made within the period specified in the notice, and
(c)
consult the following about the draft report—
(i)
the Football Association;
(ii)
each specified competition organiser;
(iii)
such other persons as the IFR considers appropriate.
11Football governance statement
(1)
The Secretary of State may prepare a statement (“a football governance statement”) setting out the policies of His Majesty’s Government in the United Kingdom that relate to the governance of football.
(2)
But a football governance statement may not contain any policies that are inconsistent with the purpose of this Act or with the IFR’s objectives.
(3)
The Secretary of State may revise any football governance statement.
(4)
But the Secretary of State may not revise any football governance statement more frequently than every five years unless—
(a)
a Parliamentary general election has taken place,
(b)
there has been a significant change in the policy of His Majesty’s Government in the United Kingdom relating to football, or
(c)
the Secretary of State considers that the statement, or any part of it, is inconsistent with the purpose of this Act or with the IFR’s objectives.
(5)
The Secretary of State must publish any football governance statement, or any revised statement, prepared under this section.
(6)
The Secretary of State must lay any football governance statement, or any revised statement, published under this section before Parliament.
12Guidance published by the IFR
(1)
The IFR must prepare guidance about the exercise of its functions under sections 21 to 25 (discretionary licence conditions).
(2)
Guidance prepared under subsection (1) must include a statement of the outcomes the IFR expects or seeks to achieve in exercising those functions.
(3)
The IFR may prepare guidance about any of its other functions under this Act.
(4)
The IFR may revise any guidance prepared under this section.
(5)
The IFR must publish any guidance, or any revised guidance, prepared under this section.
(6)
The IFR must consult such persons as the IFR considers appropriate before publishing—
(a)
the first guidance about any of its functions, or
(b)
revised guidance about any of its functions, unless the revisions are minor.
13Guidance published by the Secretary of State
(1)
The Secretary of State may prepare guidance about the exercise of the IFR’s functions under this Act.
(2)
The Secretary of State may revise any guidance prepared under this section.
(3)
But the Secretary of State may not revise any guidance prepared under this section more frequently than every three years unless—
(a)
the Secretary of State considers that the guidance needs to be revised because of an amendment, repeal or modification of any provision of this Act, or
(b)
the revision is agreed between the Secretary of State and the IFR.
(4)
The Secretary of State must publish any guidance, or any revised guidance, prepared under this section.
(5)
The Secretary of State must consult the IFR and such other persons as the Secretary of State considers appropriate before publishing—
(a)
guidance under this section, or
(b)
revised guidance under this section, unless the revisions are minor.
(6)
The Secretary of State must lay any guidance, or revised guidance, published under this section before Parliament.
14Annual report
(1)
As soon as reasonably practicable after the end of each financial year, the IFR must submit to the Secretary of State an annual report on the exercise of its functions during the year.
(2)
The report must include—
(a)
a summary of the activities undertaken by the IFR during that year, and
(b)
such other information as the Secretary of State may direct the IFR to include in the report.
(3)
The IFR must arrange for a copy of every report under this section to be laid before Parliament by the Secretary of State.
(4)
In this section, “financial year” means—
(a)
the period beginning with the day on which this section comes into force and ending with 31 March in the following year, and
(b)
each successive period of 12 months.