Premier League transfer tax to cost Arsenal and Chelsea millions as clubs face government fight

1 Arsenal protest

After more than six months and 100 hours of evidence, Tracey Crouch’s fan-led review into football governance is here. The 162-page report makes 47 recommendations that have the potential to transform the sport, introducing a more equitable structure that would give clubs lower down the pyramid an opportunity to be more competitive.

So what happens now? Will an independent regulator really be established? Are supporters groups going to get the power to veto decisions relating to their club’s heritage? And are we likely to see another European Super League proposal in the coming years?

Much boils down to the will of the government and one simple question: how much do they want to introduce sweeping reforms? Opinion in Westminster is split.

Several former sports ministers have written a letter underlining the need for regulation, while some Tories believe that enforcing genuine change could improve the party’s image in “the red wall”. Others think that, as with most reviews, the proposals will be kicked into the long grass; at best a suggestion such as drinking alcohol in the stands at a League Two game becomes reality.

Premier League clubs have already begun their push back, with Aston Villa’s Christian Purslow trotting out all the expected lines in a BBC radio interview this morning, and they are expected to collectively lobby against the creation of a regulator and a transfer levy.

READ ALSO:   Patrick Vieira makes Wilfried Zaha admission following Ivory Coast international future decision

Purslow claims that the review went “a little too far” and yet there is a feeling among smaller clubs that it did not go far enough with some stakeholders hoping that there would be more around TV money redistribution and state ownership.

Both a regulator and transfer tax, of course, would be the equivalent of a turkey voting for Christmas and the cost of the levy, at a suggested 10%, to clubs like Arsenal and Chelsea would be significant – this summer the Gunners would have had to pay about £20million extra, a year earlier the Blues a similar figure.

But there is a clear fault line since Rick Parry, the EFL chief executive, put the lower leagues’ weight behind the regulator and the gripes of the big clubs will matter for little if Boris Johnson’s government are genuinely committed to enforcing change.

READ ALSO:   Antonio Rudiger got what Timo Werner craves as Chelsea striker reflects on "ups and downs" of season

Speaking to football.london last night Crouch said that she was “optimistic” that the government will follow through and deliver, although it is not possible to put a timescale on it.

“It’s up to the government to make a statement on it, to decide what it agrees with,” she said. “Hopefully all of it because it is a package. In terms of the implementation it will require statutory regulation so it will have to bring forward that legislation, presumably in the next Queen’s Speech.

“There is a recommendation in there around establishing a shadow regulator so they can start forming the principles, guidelines and everything else so it can hit the ground running.”

It becomes about politics more than football now. For Johnson, who is under increasing pressure, it could be seen as an easy win to win over some voters according to some members of his party. But it would also bring about a tantrum from the rulers of the world’s biggest league and the reasons to doubt the prime minister’s appetite to engage in a battle with a bunch of billionaires requires little elaboration.

Source by Football London

Share and Enjoy !

Shares

Leave a Reply