It seems that some of the English Premier League teams are in over their heads. Liverpool FC and Manchester United are the ones involved with the money problems.

The House of Commons Culture, Media and Sports Committee will have a look at the club issues. They are going to access whether the government needs to get involved and look at relegations. The Commons and Committee want to know how these clubs do business and will look at the structure of the four associations in Britain. With England loosing the bid for the 2018 World Cup, some worry about the leadership.

The Parliament has been in this position before back in 2009 when they issued 27 recommendations and stated “ludicrous levels of borrowing”. A committee statement said that the "high-profile coverage of Liverpool and Manchester United" was one of the triggers for the inquiry, and there are increasing calls for fans to have a greater say in the running of clubs.

Everybody remembers the Liverpool deal with the new owners NESV and how much media that created. Well Manchester United has liabilities up to $788 million and was debt free in 2005. The American Glazer family own United and has now found themselves in a little trouble.

John Whittingdale, Committee Chairman had to say this, “The Government has said that it will encourage the reform of football governance rules to support the cooperative ownership of football clubs by supporters, and there is widespread concern that the current governance arrangements are not fit-for-purpose”.

The League has said a few things about the situation and is happy to help. They understand the problems with financial decisions within the owners and think the government might be able to regulate the owners to move forward.

Brian Kelly

Chip K
12/7/2010 16:49:48

Good info~!

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