Supplementary memorandum from the Department
for Education and Employment (WP 39)
You will recall that during my appearance on
16 February 2000 to give evidence to the EmploymentSub-committee's
inquiry into work permit arrangements for footballers I offered
to write to you in response to two points which were raised on
the day. I have made further enquiries on these matters and am
now in a position to be able to offer you and your members my
views.
The first of these concerned evidence which
the FA Premier League provided you with in relation to the way
they operate the 1995 Bosman judgement for players aged
24 and under. I have obtained further advice on this from the
Department for Culture, Media and Sport. Following this judgement
the FA Premier League met representatives of the European Commission
to discuss the rationale for the regulations governing end of
contract compensation. The main aim was to ensure that the regulations
recognised the contributions of clubs devoting resources to the
development of young players.
In the light of the discussions both the FA
Premier League and the Football League introduced regulations
for players aged 24 and under which they believe are in accordance
with European Law and with the Commission's policies in this area.
Under the terms of these regulations clubs from those leagues
receive compensation, via transfer fees, for young players who
have reached the end of their contract. I understand that the
Rugby Football League has enacted similar regulations in their
own sport. Given the involvement of the European Commission in
discussions, and the overall aim to ensure clubs, particularly
the smaller ones, do not suffer undue financial losses, it would
appear to me that such regulations can only help encourage and
promote home grown talent.
The second issue which I offered the Sub-committee
assistance on related to evidence provided by the League Management
Association (LMA). I know like me you were somewhat alarmed at
the information presented by the representative of that body which
was put forward as the percentage of "overseas" players
who started games for FA Premier League teams "on day one
this season". Your committee planned to check the accuracy
of the 59 per cent figure again with the LMA. I have also sought
details to clarify this data.
I have obtained information from Carling
Opta, the official player performance statisticians to the
FA Premier League, on the nationality of those players who were
selected to start the first game of the current season for their
club on the opening weekend (7-8 August 1999). The data reveals
that of the ten matches played 82 players out of a total 220 starting
those games were from countries outside of the United Kingdom
(29 of these were non-EEA players of which 8 were work permit
holders—the majority either held dual nationality status
or had UK ancestry links and therefore did not require permission
to work in this country). If you and your members are happy to
accept what I believe to be a sensible definition of an "overseas"
player, you will note that 37 per cent of players within that
category started matches in the FA Premier League at the outset
of the new season. Work permit holders made up 3.6 per cent of
the total number of players who made the starting line-ups.
As you will also note, this figure falls some
way short of that stated by the LMA. I have considered how they
may have arrived at the higher percentage. However, even if one
includes players from Scotland, Wales and Northern Ireland
as "overseas" the number of individuals starting games
in the FA Premier League on the 7-8 August 1999 still only rises
to 104 which is 47 per cent of all players commencing those matches.
I hope this additional information assists you
further with your inquiry. I very much look forward in due course
to seeing the Committee's final report.
Ms Margaret Hodge, MBE, MP
Department for Education and Employment
March 2000
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