Fair Game Index 2024

Key findings

THE Fair Game Index is out and we are delighted that people are talking about the issues that truly matter in the game. The data is primarily sourced from Companies House accounts and publicly available information from club websites.

Overall, what is clear is that the incoming Independent Regulator has a big job if it is to truly fix the problems that are endemic in the game.

The new regulator must have teeth and the ability to incentivise good behaviour, or the underlying problems will not be resolved.

The Index looked at 206 touchpoints across four broad metrics: finances, governance, equality and ethics, and fan and community engagement.

The Index aims to foster greater transparency in football by evaluating clubs solely based on publicly available data, ensuring that fans are empowered to hold their clubs accountable.

So what are the findings...

Overall State of Play for Football Score: 41/100

The findings highlight a pressing need for improvement in the sustainability practices of football clubs. While there are some bright spots in governance and fan engagement, the overall score suggests that the industry faces significant challenges, particularly in finances and equality and ethical standards.

Overall Financial Standards  Score: 19.0 / 40 | [47.5 / 100]

Systematic flaws revealed

On finances, there are serious problems. Publicly available data is very limited and is overly reliant on accounts filed at Companies House. Yet these accounts – largely filed in April and May – refer to, at best, the 2022/23 season and a lot can happen in 16 months, including promotion, relegation and changes in ownership.

What might be slight concerns can become terminal – as was the case in recent history with Bury and Macclesfield.

In addition, not all clubs file full accounts, especially outside the very top of the football pyramid. This makes it difficult to get a good overview of the financial health of football as it can be like comparing chalk with cheese.

Combined, this means there are a couple of examples where clubs that are currently struggling financially have still scored higher than expected because of the time lag and the fact that they provided full accounts.

It means that the lofty aim of the regulator to secure the financial sustainability of the game is facing a huge hurdle right from the start.

The regulator must have access to real-time reporting and it must provide support, both financial and systems, to lower league clubs to help them deliver full accounts.

Financial flow is flawed

The broadcasting revenue in English football has grown over the last 20 years, yet at the same time the distribution of those funds has seen gaps between the divisions widen dramatically.

This is demonstrated by the findings of the Index. Once full accounts details are stripped out, the results reveal that the current financial model heavily favours top-division clubs, creating a stark disparity that fuels a risky "gambling" culture.

Clubs often sacrifice long-term financial health chasing the ambition of promotion, exacerbating financial instability.

The regulator needs the powers to ensure that there is a more balanced distribution of resources to guarantee the long-term viability of clubs at all levels.

Overall Governance Score: 13.0 / 30 | [43.3 / 100]

The pyramid needs urgent support

There is overwhelming evidence that football needs better governance if it is to thrive. This is borne out by our data which shows a strong correlation between accountability and governance.

On the plus side, clubs at the top end are under huge scrutiny and as such often have rigorous processes in place. This is especially the case at clubs who are also PLCs and have additional legal requirements. Similarly, fan-owned clubs demonstrate robust governance practices, driven by the expectations of their supporters.

However, lower down the pyramid an increasing number of clubs, some of whom only have a handful of staff, naturally struggle to get close to the standards that would be expected from a new governance structure run by the incoming independent regulator. And yet for them, the burden of legislation could be the difference between survival and collapse.

The regulator must provide adequate support for clubs to adjust to a new governance regime.

Overall Equality and Ethical Standards Score: 6.2 / 20 | [31 / 100]

Football pays lip service to equality and ethical standards

Equality and ethical standards implementation across football clubs remains disappointingly low.

The Index shows there is significant work to be done on equality and ethical standards, with only 16 of the top 164 clubs in England scoring 10 or more out of 20, and just one in Scotland.

Despite its critical importance to the future and inclusivity of the sport, EDI and ethical initiatives are underdeveloped across the board. The low scores in this category highlight an urgent need for greater support and regulation, suggesting that EDI should be a key focus for an Independent Regulator. Addressing these issues is essential for creating a more equitable and sustainable football industry.

Overall Fan Engagement Score: 5.0 / 10 | [50 / 100]

Fan engagement is strongest among clubs with fan ownership or significant fan involvement. Smaller clubs in lower leagues tend to outperform their top-tier counterparts in this area. As top-division clubs increasingly focus on global audiences, the needs of local communities can sometimes be overlooked. In contrast, lower league clubs, with their closer ties to local fans, tend to foster deeper connections and more meaningful engagement.

It is a similar story in Scotland – seven of the top 10  for fan engagement are fan-owned.

In England, the regulator needs to provide mechanisms that empower supporters – particularly at top clubs – if it is to meet the objective of protecting club heritage and the fan voice.

Conclusion

The Fair Game Index reveals a football industry at a crossroads. While there are areas of strength, particularly in governance and fan engagement, the overall picture is one of missed opportunities and pressing challenges. Financial standards and equality and ethical standards are areas where urgent action is needed to ensure the long-term health of the game.

To move forward, the introduction of an Independent Regulator will be pivotal in driving the necessary reforms.

The regulator must have the powers to deliver. By ensuring that clubs are held to higher standards of transparency, accountability, and inclusivity, we can create a football industry that is not only sustainable but also truly reflective of the communities it serves.

To deliver the culture change required, Fair Game believes that the financial distribution must also reward clubs that have good fan and community engagement, strong commitments to equality and ethical standards, good governance and are financially secure.

We encourage football clubs to reach out to Fair Game to gain a deeper understanding of their individual scores and to learn how they can improve their transparency and sustainability moving forward.

This review serves as a call to action for all stakeholders in football - clubs, fans, and governing bodies alike - to work together towards a fairer, more sustainable future for the game we love.