A quiet storm is brewing in English soccer, one that could shake the sport’s hierarchy. A proposed amendment to the Soccer Governance Bill, led by Labour peer Lord Bassam of Brighton, could force two of the Premier League’s wealthiest clubs—Manchester City and Newcastle—into uncharted territory. Behind the polished façades of St. James’ Park and the Etihad Stadium lies a growing uncertainty that could change everything. But what is this controversial proposal, and how could it possibly dismantle the status quo of two soccer powerhouses?

At the heart of the controversy is the issue of state-controlled ownership in soccer. According to a report from The Times, Lord Bassam’s amendment aims to ban clubs deemed to be under the influence of state actors. The proposal reads: “No state-controlled club may be granted an operating licence, and any affected club must satisfy the IFR [Independent Soccer Regulator] that they have divested themselves of their state-control before applying for an operating licence.”

The definition of a state-controlled club includes those owned by sovereign wealth funds, heads of state, or government affiliates. This description directly implicates Manchester City’s owner, Sheikh Mansour, who is part of Abu Dhabi’s ruling family, and Newcastle United’s ownership group, the Saudi Public Investment Fund (PIF), chaired by Saudi Crown Prince Mohammed bin Salman.

How are Manchester City and Newcastle impacted

For Manchester City, this amendment would add another chapter to their ongoing struggles with regulatory oversight. Already facing Financial Fair Play (FFP) charges, City could be forced to part ways with Sheikh Mansour if the amendment becomes law. Despite their dominance in the Premier League, the club’s future ownership is in serious jeopardy.

Newcastle United, meanwhile, has experienced a remarkable resurgence since PIF’s acquisition in 2021, with significant investments boosting their competitiveness. However, the club could be expelled from the Premier League if PIF remains in control under the new rules. The implications are stark: without their deep-pocketed owners, Newcastle’s ambitious plans to sign marquee players and execute major financial deals—such as a rumored £90 million transfer—would be derailed.

“The success Newcastle has enjoyed under PIF’s ownership could be undone in an instant if the bill passes,” warned one soccer finance expert.

Road to implementation: Political and club reactions

For the amendment to become law, it must gain the support of MPs in the House of Commons and the UK government. While the likelihood of approval is reportedly slim, some English top tier clubs have previously lobbied for stricter regulations on state-backed ownership. The Premier League has expressed concerns over the potential impact on investment and competitiveness, fearing that such restrictions could deter foreign investors.

Meanwhile, organizations like the English Soccer League (EFL) and the Soccer Supporters’ Association (FSA) support the bill. They argue that its primary goal is to protect the financial sustainability of English soccer, citing the near-collapse of clubs in recent years and the ongoing threat of breakaway leagues.