English Football Regulator Costs Double Initial Estimate
The Independent Football Regulator (IFR) will cost clubs an estimated £20.3 million annually, a figure significantly higher than previously projected.
The annual operating costs for England's new Independent Football Regulator (IFR) are projected to be £20.3 million, roughly double the initial estimates. This figure includes £18.3 million for the watchdog's operations, which will support approximately 100 staff, and an additional £1 million for potential litigation.
The setup costs are estimated at £45 million, to be amortized over the next decade. Starting next season, clubs in the top five divisions of English men's football will be required to contribute to the IFR's funding through a levy.
While the IFR describes the levy as "proportionate and affordable," it far exceeds the £8 million to £10.2 million annual operating cost forecast in a 2019 impact assessment report. IFR chief executive Richard Monks stated that the £10 million figure did not reflect the current financial reality or the regulator's tasks. He added that the proposed levy represents a fair approach, with most clubs contributing approximately 0.1% of their annual revenues.
Under the proposed structure, clubs with higher financial capacity will contribute more. This includes those participating in UEFA and FIFA competitions, as well as clubs receiving Premier League parachute payments. The highest-earning Premier League clubs could face annual charges of up to £1.8 million, while most will pay around £600,000. Championship clubs not receiving parachute payments are estimated to pay £45,000 annually, with League One clubs paying about £9,000 and League Two clubs £6,000. Clubs in the National League will pay less than £600 per season.
The IFR asserts that the proposed £20.3 million levy is substantially lower than the administrative expenses of other regulatory bodies in the UK and football organizations like the Premier League (over £200 million in 2024/25) and the English Football League (EFL) (£35 million).
Recent findings from the IFR's "State of the Game" report indicated that 94% of clubs are operating at a loss, and over 60% of clubs in the EFL and National League are technically insolvent. Since its establishment last year, the IFR has also conducted suitability assessments for 40 owners, directors, and senior executives and has been involved in negotiations between the Premier League and the EFL concerning a new financial settlement.