The voluntary sector is the largest sector for participation for sport in Britain. Most amateur clubs, like Sunday league football clubs are run on a voluntary basis and some voluntary clubs own their own facilities, but most of the amateur clubs hire out to train in. The facilities that these clubs hire out are usually hired from the public sector and this gives the voluntary clubs the chance to play sport. The voluntary sector is also linked to the private sector because they can have sponsorship from the private sector.
The voluntary sector is funded by the members of there own club, for example in a football team you have to pay a signing on fee, pay for training facilities and pay match fee’s which usually covers the cost of team kit and the fee for the referee. Clubs can also apply for money grants from 4 different sources, which are the national lottery, national governing bodies, government and local authorities.
The public sector is split up into 2 different governments which are central government and local government and each of these have many different jobs to do for sport. Local government invests 1.1 billion a year on British sport and focuses on providing equitable access to sport and recreation facilities and different opportunities for the public. Central government in funded by taxes, VAT and it also receives money from the national lottery.
Its role in sport is to develop policies, passes laws, funds sports councils, which are UK sports council and then one sports council each for England, Wales, Scotland and Northern Ireland. Central government also distributes lottery money which then can be divided out to many plans, such as providing grants and to local governments. Central government has a different number of departments that are responsible for sport and they are the department for culture, media and sport (UK), the Northern Ireland of education and Welsh and Scottish offices.
Private sector The main aim of the private sector is to provide a service for its customers and members while at the same time making a profit for the company. Individuals invest their own money in facilities. There are only 2 reasons why the private sector provides sports facilities and they are to make a profit off sport and to make a profit on their own investment. The areas private sectors are involved in-active sport (tennis, fitness suites), spectator sports (stadiums for football) and sponsorship. The private sectors, such as football clubs may run football camps involving the public sector to set it up with them, or football clubs might invite voluntary clubs to their training facilities and show them round the stadium.
Money in football has increased dramatically since the introduction of the FA Premier league in 1992. The main reason for this is the TV revenue the teams earn by their games being aired live on TV, usually on Sky sports on Setanta sports. This is illustrated by the figures shown by Deloitte, club revenues of over 1.4 billion in 2005-06 while is 2007/2008 it is expected to be above 1.8 billion.
With the new three year deal Sky will pay 1.314 billion for 92 games and Setanta 392 million for 46 games. Foreign TV rights will produce 625 million in revenue whilst Internet and Mobile Phone revenue will be 400 million. The top club in Premiership will receive 50m (including prize money as well as TV revenue) compared to 30.4 million with the current deal. The new deals will, by a significant margin, provide the Premier League with the second richest set of television contracts negotiated by any sports league in the world.
This is a lot of money for a business that started out in public schools in the late 80’s, and there are a lot of drawbacks for the fans because of the media and the sponsorship deals such as: Rule changing Because the game is watched by millions of fans all around the world, on certain channels that have paid millions of pounds to be able to show, they can have the influence to change the rules. In 1994 the golden goal was introduced, this meant that if the game went into extra-time, the first team to score a ‘golden goal’ would therefore win the game. It was introduced to the game to stimulate offensive tactics and flair by teams and effectively reduce the number of penalty shoot-outs.