Culture Secretary Lisa Nandy has presented the Independent Football Regulator's draft State of the Game report to Parliament.
The regulator found that English football generated about £9 billion in revenue in 2025-26 but 94 per cent of clubs across the top five men's divisions made pre-tax losses.
Around two-thirds of clubs told the regulator that they could not survive more than 90 days without new owner funding. More than a quarter said they could not last one month, while 60 per cent of EFL and National League clubs had liabilities exceeding the book value of their assets.
The report identifies rising wage, transfer and operating costs, large revenue gaps between leagues and dependence on owner injections or debt. It says parachute payments can add to incentives for Championship clubs to overspend.
Its six-point programme calls for stronger financial-risk management, adequate cash reserves, contingency planning, action on losses, better governance and reform of revenue distribution. The regulator continues to prefer an agreement between football bodies but retains statutory backstop powers.
The draft is open for consultation until 8 December, with a final report due afterwards. The figures are therefore evidence supporting a proposed regulatory approach, not a new sanction on individual clubs.
