FA facing February deadline
The Football Association have been a set a deadline of the end of February to bring in wide-ranging reforms including taking a leading role in controlling club debt.
The Government on Wednesday published their response to the select committee report on football governance and called for further changes to the make-up of the FA board. The FA, working with the leagues, should take a leading role in monitoring finances as part of a new licensing system, the response said.
Sports minister Hugh Robertson said: "This is an opportunity for football to sort this out for itself. They have until the end of February to do so, otherwise we will introduce legislation to require them to make the necessary changes."
Robertson said the football authorities did not have to agree to follow the select committee's proposals exactly but if not then they had to come up with an alternative solution.
"This is an opportunity to come up with something sensible that tackles the issues that have been raised," he said.
The Government's response says there should be a system of licensing for clubs where financial sustainability and robust checks on club owners directors are included.
The response states: "The Government shares the concern expressed by the committee at the extent of losses and the number of clubs on the edge of viability. Debt per se is not always a bad thing, but it must be genuinely sustainable and should be assessed as a percentage of turnover.
"Government believes that there is a legitimate role for the national governing body, working hand in hand with competition organisers, to ensure that appropriate and consistent checks and balances are in place to protect the overall financial integrity of the national game and its long-term viability.
"The recent moves by the Football League to work towards a break-even rule in the Championship are a welcome indication of the appetite amongst many clubs for a change."
The response adds: "The Government expects that the issue of financial sustainability should be addressed as part of the recommendations on the new licensing model."
