The Political Economy of Football V2

Talks between the owners of Coventry City, Sisu, and Wasps have broken down after a complaint made by Sisu to the European Commission: Breakdown Sisu seem more intent on pursuing legal remedies than securing the future of the club, although it should be noted that Sisu does not regard its complaint to the Commission as a legal action. Last week the word on the street was that a five year lease deal was on the table. Wasps chief executive Nick Eastwood said: 'As everyone knows, we have consistently maintained over a long period of time that we were happy to sit down with Coventry City to reach agreement over their future at the Ricoh Arena, once the club’s owners had agreed to cease all legal action or proceedings surrounding our acquisition and ownership of the Ricoh Arena.' As reported by both parties recently, we entered such discussions in good faith, based on that principle. However, we have now been made aware of this complaint to the EU Commission and understand tha...

Record attendances have been reported in the Football League and National League. A note of caution is needed. In the past, attendances may have understated the crowd, particularly at really popular games. Youths knew ways of getting in for free; clubs may have been trying to minimise their 'entertainment tax' liabilities; and it has been alleged that some gatemen were on the fiddle. Today, fans complain that attendance figures are boosted by the number of complementary tickets given out (the referee has always been entitled to some for his mum or friends who like the way he flashes a card). Many fans do not like the fact that season ticket holders are counted whether they are in the ground or not. Fans at Charlton who are opposed to Belgian owner Roland Duchatelet think that attendances have been exaggerated to mask the erosion of supporters. In any event, attendances in the English Football League have reached their highest levels for more than 60 years with more than ...

Kieran Maguire of the PriceofFootball has tweeted, 'Losses in the Championship have almost doubled in five years and clubs are losing over £10 million a week between them chasing the EPL gold at end of the rainbow. Sheffield Wednesday and Bolton Wanderers have both broken company law by failing to submit their accounts but will increase the total of losses when they publish.' 'Total losses over the five years are £1,865,000,000 but financial fair play is working according to the EFL. Premier League not the land of milk and honey that it is portrayed to be though with more loss making clubs than profitable and again dependent on player sales.' But he admits, 'If it was a pure business I wouldn’t be living in Manchester but with a season ticket for Brighton.'

The plan for a Premier League 2 is gaining momentum with 15 leading Championship clubs threatening to break away from the EFL. One could have a slimmed down Premier League 1 and 2 with twenty clubs in each league. Whether there would be promotion and relegation from what is now League One is a moot point. A complicating factor is the interest of top clubs in breaking away from the Premier League to join a new European Super League. However, that would not be possible before 2022 and it would not necessarily rule out a Premier League 1 and 2 format. In some ways, it might strengthen the case for it. A further difficulty is that there has been no discussion with the Premier League who are believed to be opposed to the project. It could be seen as a dilution of their brand. In many ways, parachute payments make the Championship a de facto Premier League 2, certainly in terms of a willingness to splash the cash. The breakaway threat is part of a dispute over a new Sky contract whi...

I am always suspicious of stories that claim that 'the Premiership bubble is about to burst'. They usually reflect the tall poppy syndrome, a resentment of success. Whilst it is true that domestic television revenues have plateaued, those from overseas continue to increase. However, there may be some real changes taking place. Karl Marx was wrong about many things, and his disciples got things even more wrong, but he had one important insight, the way in which technology drove change. In a sense, Saint-Simon had already had that insight, but he believed that science and technology would solve everything, a view which is certainly still widely held. Just as satellite broadcasting made the riches of the Premier League possible, so digital technology provides a new set of challenges. It could well lead to a totally free market system in which more power is restored to the consumer, rather than the sofa fan being at the mercy of Sky and other providers. As it is, as someone...

Last Saturday during the international break League One and League Two fans were able to watch their matches live through iFollow. Normally the live screening of matches kicking off on a Saturday afternoon is permitted, although sites overseas may offer this service illegally. The concern is that if this became a regular practice away fans might be deterred from travelling as would some home fans who have a long journey (two and a half hours each way for me). It has also been claimed that the EFL misled fans about their intentions. Andy Holt, the chairman of Accrington Stanley, has claimed that the decision to allow the 3pm streaming was never made clear at the annual meeting of clubs in June. Darragh MacAnthony, the outspoken chairman of Peterborough United, took a different view: 'I'm OK with it to be honest. I think it is the way of the modern world whereby all and every sports match and event will be available online.' Streaming could potentially occur again on O...

The English Football League has issued a statement on Charlton: 'The EFL continues to note the various comments emanating from multiple sources in regard to matters relating to the day-to-day operations at Charlton Athletic Football Club. Following a number of discussions dating back a number of weeks, the EFL plans to meet with both Charlton Athletic and the Charlton Athletic Supporters’ Trust to gain a full understanding of the current situation that surrounds the club.' 'In the intervening period, as we do with all our clubs, we will continue to monitor developments, offer any practical assistance that is available to us as we seek to protect the integrity and reputation of our competitions. In the context of any debate relating to operational decisions taken by a club, it is important to make the point that these matters are determined by the individual Boards and Executive teams at each our 72 member clubs. We will offer support as required to assist clubs in complyi...

Cumulative English Football League attendances are up 2.54 per cent, topping the seven million mark, up from 6.82 million at the same stage last year. That number has been growing steadily in recent years, rising from 5.8 million in 2014/15. In 2016/17 clubs recorded their highest cumulative attendance since 1959, although strictly speaking this should be measured against the population growth since then. In 1961 the population of England was 41.2 million and it was just over 53 million in 2011. The Football League are nevertheless clearly nervous about criticisms of their ticket pricing policy, arguing that this is a matter for individual clubs. They point out that ticket revenues underpin EFL clubs and they must be offering value for money if attendances are increasing.