Premier League ownership report reveals future industry trends ahead of season kick off

• Now could be the time for women’s teams to seek independent ownership
• Government regulation will lead to major changes for English clubs
• English football fans continue to gain influence off the pitch

Global law firm Norton Rose Fulbright has today launched the latest version of its annual report ‘Keeping Possession: Ownership trends in English Premier League football’, ahead of the new season kicking off on 11 August.

The 2023 report examines the evolving structure of English football, including the thriving Women’s Super League (WSL), ongoing discussions about the introduction of an independent regulator and developments in fan ownership.

Women’s football in England

The popularity of women’s football has continued to grow in England and recent analysis* has highlighted that WSL clubs generated £32m in aggregate revenue in the 2021/22 season, 60 percent (£20m) higher than the previous season. Despite this, most of the major English women's football clubs are still affiliated with men's clubs and share the same owner as well as many of the same sponsorship deals.

In contrast, in the US, women’s football clubs are often standalone entities and not directly linked to men’s clubs. The National Women's Soccer League is a single-entity structure, where the league itself owns the teams, and individual investors invest directly into the league. Over the past year women’s football in the US has attracted numerous investors, including professional sports organisations and private equity firms, who bring financial resources, business expertise and marketing opportunities.

As part of this report the firm’s lawyers look at how the legal framework already exists for women’s clubs in England to be owned as separate entities and the benefits – and challenges – of emulating a more independent US-style approach.

Independent regulation

The Department for Culture, Media & Sport’s white paper “A sustainable future – reforming club football governance”, published in February 2023, outlines the UK government’s view that reform is required across football and that this includes the establishment of an independent regulator. This will inevitably have major implications for football clubs across the country.

The exact form of this regulator is still being considered. However, it is likely to mean that a licensing and authorisation regime will apply to all football clubs that meet a certain threshold and a formal change in control regime will see proposed new owners of football clubs assessed to determine their fitness and propriety.

Another key focus will be governance and culture, with clubs expected to implement a culture of accountability and more formal arrangements regarding board and executive management responsibilities across organisations. Norton Rose Fulbright’s 2023 report analyses in further detail the likely implications of the white paper on football clubs and their owners.

Fan power

Fan power continues to be an important area of focus for the football sector and, although the UK government’s white paper falls short of requiring clubs to possess a “golden share” held by fans, it does state the government’s intention to “put fans right back at the heart of football”. This year’s report outlines some of the key examples of fan power from the past 12 months and how fans ensure that football club owners do not have the unfettered power that typically comes with ownership in most other industries.

Stephen Rigby, who leads Norton Rose Fulbright’s sports law practice, commented:

“We are starting to enter into a new era in UK football, which will be dominated by the tension between an attempt to create independent regulation on the one hand, and the other hand, the desires of the owners of the Premier League clubs to continue to allow the Premier League to be controlled and run in the way it has been since its inception.

“The Premier League has taken English football from being an also-ran in the European leagues to the world’s favourite – and richest – sporting competition, and any attempts to interfere with it need to be scrutinised very carefully, not least for the sake of the fans, whose positive engagement is crucial to the Premier League’s continuing success. However, if done properly, independent regulation could help to support the long term sustainability of the sport and prove beneficial to both clubs and fans.

“It’s brilliant to see English women’s football go from strength to strength - with growing audiences and investment. It looks like this is a business that is now ready to explore new opportunities, separate from the men’s game, to maximise its full potential.”

Norton Rose Fulbright has been producing ‘Keeping possession’ since May 2020. Its lawyers have long-standing experience in the global sports sector and have advised clients on sports-related transactions throughout Europe, North America, Asia, Australia and South Africa, covering football, rugby, Formula 1, NFL, cricket, ice hockey, tennis and horse racing. The firm advises on all aspects of sports law and is particularly strong in the areas of acquisition and disposal of sports franchises, negotiation of sponsorship deals, stadium financings and investigations.

Read Norton Rose Fulbright’s insights on business of sport: https://insidesportslaw.com/.

*Source: Deloitte Annual Review of Football Finance, 12 June 2023