STAND UNITED
Clubs pull together to appeal loan decision
NATIONAL League clubs are issuing a rallying cry to pull together and lobby the Government in a bid to help save the season.
At the end of a dramatic week, the Nation al League North and South were suspended for two weeks following confirmation of fears that the £11m Winter Survival Fund for Steps 1 and 2 were being made up of loans and not grants. Step 1 is continuing for now.
Following a series of crunch meetings, clubs told National League chiefs that loans were not a solution, while an option for the league itself to take on a loan and distribute to clubs as grants is now off the table.
Clubs across the league are now making a last-ditch effort to get their local MPs to lobby Government and change their decision.
NATIONAL LEAGUE interim general manager Mark Ives says listening to the voices of their 66 member clubs will help guide the way forward – with Step 2 now under a two-week suspension while Step 1 continues.
The National League North and South have been temporarily halted at the end of a dramatic week for Non-League’s top tiers.
While there is some anxiety and concern around the overall Covid-19 situation, clubs are also facing up to the reality that further funding for the season will be through government loans despite continued lobbying for the money to be shared as grants.
A potential solution for the National League to take on a loan to grant money to their clubs has also been taken off the table in light of the overwhelming majority of club views.
Responses to crunch meetings on Wednesday also saw the majority of Step 2 clubs indicate they wanted to take a short break, while the majority of Step 1 clubs – where there are some different commercial impacts as well as the sensitive issue around promotion and relegation to the EFL – want to continue for now.
The National League will, in the next two weeks, consult with all clubs to get a definitive position over the continuation of the 2020-21 season.
“We are desperate to fulfil the season with 66 clubs starting and 66 clubs finishing because that is what we are all about,” Ives told The NLP. “We also want to ensure they can do that in a safe environment.”
The National League sought the opinion from all 66 members following confirmation the £11m ring-fenced for Steps 1 and 2 through the Winter Survival Fund (WSF) would be made up of loans, with grants in exceptional circumstances.
The 2020-21 season was able to kick-off in October after £10m was secured through the National Lottery promotional fund and covered the opening three months of the season.
However, clubs were under the impression the funding would continue should the Covid situation still prevent crowds being allowed inside stadiums.
Although a handful were able to host games in front of supporters in December, the latest ongoing lockdown in England has forced all games behind closed doors again with the competition continuing because it is classed as ‘elite sport’.
Non-starter
On Wednesday, via a series of six zoom meetings, Ives laid out potential options with clubs asked to return their views by the end of the day.
The first was to explore individual club loans through the WSF, which is being administered by Sport England.
The second was to see the appetite for the league itself to take on the loan and grant money to the clubs, with the understanding there would be a knock-on effect for future distribution of funds like solidarity payments while the loan is serviced. The clubs were also asked their view on taking a temporary break to the season.
At a board meeting on Friday morning, those views were assessed leading to the suspension of Step 2 before Ives further communicated on Friday evening that the consideration of the league taking on a loan was now a non-starter. Clubs can still apply for individual loans from the WSF.
Ives said: “Whilst we are a competition as an entirety, we are also a competition made up of two different Step levels. Both of which are considered, quite correctly, as elite sport and our decision does not impact that elite status.
“We have analysed the wishes at the moment in time by the differing Step levels.”
Throughout the week, clubs have been lobbying their local MPs to see if the position on loans can be changed.
Ives added: “As a society, we are in unprecedented times and everybody in their own walks of life, National League and member clubs alike, are fighting hard to do the right thing for their own areas. That is absolutely true for the National League and so many people are putting in so much hard work to try and keep the league going.
“I hope this is something we can achieve collectively together.”
Process
The DCMS brokered the initial £10m funding which is not taxpayer money but a promotional deal between the National League and the National Lottery.
A DCMS spokesperson said: “It is untrue to suggest funding to the National League was ever promised as all grants and they have been unable to substantiate this claim.
“In October we brokered a unique deal with the National Lottery to provide a £10 million cash injection to keep Step 1 and 2 clubs afloat, and recently announced another £11 million in low interest loans to support them in line with support offered to other sports.
“If any individual Step 1 and 2 National League club can demonstrate it is in critical need of support and would be unable to repay a loan, grant applications will be assessed on a case by case basis.
“This will of course be through the same rigorous process that we apply to other sports.”
Steps 3-6 are waiting to hear on full details of their £14m WSF support.