Leeds United have confirmed that introduction of a new independent regulator is predicted to "materially impact" the club's finances.
The Government confirmed plans in February to introduce a new independent regulator, following recommendations from a fan-led review on football governance launched back in 2021, to oversee the financial sustainability of the game.
After the publication of their 2021-22 accounts, Leeds confirmed that - alongside the threat of relegation - a new independent regulator was listed among the financial risks posed to the club. The Whites said that its introduction is predicted to "materially impact both the club's finances and elements of the way it currently operates".
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The Government plans aim to give fans a greater say in the running of their clubs and help to stop owners changing names, badges and home shirt colours without consulting fans. It will also require clubs to seek regulator approval for any sale or relocation of the stadium.
More stringent tests for new owners and directors will also be introduced following the failings at Derby County, Bury and Macclesfield Town. The resurgence of the European Super League will also be heavily impacted by the regulator, as they will have powers to block English clubs from signing up to it, or any other breakaway league.
Leeds United's chief executive Angus Kinnear has not been afraid to voice his concerns over the introduction of an independent regulator in the past. While he did praise many of the recommendations made in the fan-led football review, Kinnear had the following to say at the end of 2021: "Football is a private sector business and has flourished that way.
"Enforcing upon football a philosophy akin to Maoist collective agriculturalism (which students of 'The Great Leap Forward' will know culminated in the greatest famine in history) will not make the English game fairer, it will kill the competition which is its very lifeblood."
The Government confirmed that they will now begin a process of "engagement and further consultation" with selected stakeholders on the key reforms, with plans to bring forward legislation to be announced in due course.
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