POMPEY’S administration was a ‘wake-up call’ for the Premier League, according to a report on football governance.
The Commons Culture, Media and Sport Committee report, released today, briefly focuses on Pompey in a section titled ‘problems caused by levels of debt’.
It says Premier League chief executive Richard Scudamore told the committee in July last year that the Blues’ administration was ‘a wake-up call’ for the Premier League, but argued that the owners and directors test in place now ‘would prevent the same situation from reoccurring’.
Pompey were the first Premier League club to enter administration in February 2010 after culminating debts of £60m.
The report warns English football that necessary reforms need to be made within 12 months or it could face possible legislation.
A previous report in 2011 concluded that the FA was in need of urgent reform after concerns were expressed about the ‘sufficiency of checks and balances on financial management in football’.
But the committee says it’s ‘very disappointed’ by the football authorities’ response to reform proposals.
John Whittingdale MP, chairman of the committee said: ‘While some progress has been achieved, much greater reform in football is needed to make the game inclusive, sustainable and driven from the grass roots, where it should be.
‘The financial proposals were hugely disappointing: the financial risk-taking by clubs is a threat to the sustainability of football as a family and community-orientated game, which it should be. This is a central issue that must be addressed.’