It is a general characteristic of public policy debate in Britain to see Germany as an example from which lessons can be drawn. This is understandable given the success of the German economy and the way in which, for example, developed systems of training that have produced high levels of skill. Modell Deutschland had to deal with the challenges of unification, Europeanisation and the Eurozone crisis, unprecedented levels of immigration by refugees, globalisation and the rise of far right parties and at times it has looked fragile. Nevertheless, it has largely survived and Germany was widely praised for its response to Covid-19 while the German economy and German soccer made a relatively rapid recovery which has now subsided whilst the traffic light coalition government is seen as divided and weak.
Replicating the 50+1 rule in England (confining outside
investors to a minority stake in most clubs) attracts considerable support, but
its translation to a different environment is not the straightforward, readily
applicable solution presented by its advocates. (For an extended discussion, see my book Political Football).
German football should ditch its ownership rules and allow
investors to buy majority stakes in clubs to make the game more exciting and
build an international following, says the chief executive of current league
leaders Bayer Leverkusen. The so-called 50+1 rule limits the
involvement of outside investors in German football by ensuring that club
members retain control of their teams.
Leverkusen, which is owned by chemicals company Bayer, is
one of a handful of exceptions. Speaking ahead of a crucial clash on Saturday
against second-placed Bayern Munich, Fernando Carro told the Financial Times that German teams should
be allowed to bring in new shareholders to make the league less predictable and
more entertaining for viewers.
Other countries, such as England, France and Italy, have
welcomed international capital into domestic football — from US billionaires
and private equity firms to Gulf sovereign wealth funds. “The 50+1 rule
nowadays does not make sense. We’re competing internationally — we’re not in an
isolated world. Imposing something like this via regulation is no longer
valid,” Carro told the Pink ‘Un.. “If 50+1 wasn’t there, owners could put money
into other clubs.”
German football
supporters, in particular the clubs’ core fan base known as the fanatic ultras,
vehemently oppose opening the league to outside investors keen to acquire
majority stakes in clubs. Carro dismisses their argument that it would be the
end of traditional football. “I like tradition,” he said, stressing it was
possible to protect Germany’s football heritage while modernising the game
The Bundesliga currently earns around €200mn annually from its overseas rights,
compared with €2bn for the Premier League and €900mn for Spain’s La Liga.
Domestic rights for the Bundesliga are currently out to tender, although recent
deals elsewhere in Europe point to a softening market for live football.
“For German football,
it is very important to have other winners of the league because definitely
there’s a big impact on how attractive it is to watch,” said Carro, Leverkusen
chief executive since 2018. The DFL, which operates the Bundesliga,
is in the midst of talks with private equity firms CVC Capital Partners and
Blackstone over a potential €1bn investment in the league’s commercial
operations. However, Carro believes changes to ownership rules would be far
more effective in improving the prospects of German football.
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