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This included £1.9 millionÌýwhich wasÌýtransferredÌýfrom the charity’sÌýbankÌýaccountÌýto a trade union, The Professional Footballers’ Association,Ìýwithout adequateÌýexplanation or governance.ÌýÌý

Additionally, theÌýcharity allowed theÌýunion toÌýoccupyÌýits propertiesÌýrent free, some for over a decade, resulting inÌýsignificantÌýfinancial lossÌýto the charity.Ìý

Both the £1.9 million, plus interest,Ìýand the outstanding rent plus interestÌý(£627,000) wereÌýsubsequentlyÌýrepaidÌýto the charityÌýduring the inquiry once the Commission had raised concerns.Ìý

The Chief Executive and Director of Finance at the connected union were also trustees of the charity. The Commission’s intervention ensured that theirÌýremunerationÌýwas transparentlyÌýdisclosedÌýin the charity’s accounts as related party transactions, which was not previously the case.Ìý

As a result of these and other findings relating to the charity’s relationship with the trade union, the regulatorÌýissued an Official Warning to the charity on 7 September 2022 for mismanagement that had taken place from its incorporation in 2013 to the beginning of 2019.

ItÌýalsoÌýdisqualifiedÌýaÌýtrustee, Darren Wilson, fromÌýbeing a trustee or holding a position in a charity with a senior management functionÌýfor fourÌýyears.Ìý

The charityÌýand the union are now more clearly separate.Ìý

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The , which was formerly known as The Professional Footballers’ Association Charity, supports current and former professionalÌýfootballers.Ìý

In November 2018, the Commission opened a regulatory compliance case to explore concerns about the charity’s relationship with aÌýconnectedÌýtrade union, The ProfessionalÌýFootballers’ Association,Ìýits management of conflicts of interest and the trustees’ ability to act in the charity’s best interests.ÌýÌý

Funding a trade union is not considered a charitable purpose in law.Ìý

FollowingÌýextensive engagementÌýwith the charity, the Commission’s serious concerns led to the opening of a statutory inquiry inÌýDecember 2019.ÌýÌý

Key findingsÌýÌý

The inquiry uncovered a pattern of poor oversight and financial mismanagement that put charitable funds at risk over several years.ÌýIt found that:ÌýÌý

• Through a longstanding but informal arrangement, the charity paid approximately 80% of theÌýtradeÌýunion’s annual operating costs -Ìýaround £6 million annually, including £5 million on union staff salaries. In return, the union provided coaching and training to further the charity’s aims. This arrangementÌýoperatedÌýfor years without any contractual agreement, proper review, or value-for-money assessment until the Commission raised concerns in April 2019.
• £1.9ÌýmillionÌýof funds theÌýFootball AssociationÌýdeposited in the charity’s bank accountÌýwasÌýtransferred from the charity to the union in two separate transactions, without a clear explanation for the action. In the report, the Commission isÌýhighly criticalÌýof trustees’ failure to spot the huge reduction inÌýfundsÌýduring their reviews. The fundsÌýplus interestÌýwere only returned after the Commission raised concerns.ÌýSubsequently, an alternative explanation was provided by trustees, who suggested that theÌýfunds belonged to the union but were held by the charity pending confirmation of their donation to the charity by the union.ÌýThe inquiry found that the changing explanation providedÌýregardingÌýthe £1.9 millionÌýdemonstratedÌýpoorÌýfinancial managementÌýand controls at the charity.
• The charity owned several properties in Manchester and London and allowed the union and its trading subsidiary to occupy theseÌýrent-free for several years. When interest was included, this cost the charity over £627,000 in unpaidÌýrent, which wasÌýsubsequentlyÌýrepaid afterÌýtheÌýCharity Commission’sÌýintervention.
• Multiple trustees held positions within both the charity and theÌýtradeÌýunion -Ìýtwo trustees held senior unionÌýsalariedÌýpositions,Ìýwhilst three others sat on the union’s Business Advisory Committee, which set salaries for union staff.ÌýThis created inherent conflicts of interest, particularly as the charity funded union salaries to the sum of £5 million annually.
• The charity alsoÌýfailed toÌýproperlyÌýdiscloseÌýrelated partyÌýtransactionsÌýin its published accounts, reducing transparency for the public and regulators.ÌýWhilst trustees placed reliance on professional advisors, theyÌýfailed toÌýfulfil their fundamental duty to actively oversee and review the charity’s operations and relationships.

Regulatory actionÌý

As a result of the inquiry’s findings, the Commission has taken the following action:ÌýÌý

• One trustee, Darren Wilson, has been disqualified from being a trustee or holding a senior management position in any charity for four years after the Commission found him responsible for misconduct and/or mismanagement in the administration of the charity. At the time of his trusteeship, he was also Director of Finance of the union.ÌýThe inquiry found he had a greater culpability than the other trustees, due to his role as a qualified director ofÌýfinance.ÌýThe CommissionÌýtook action to suspendÌýMr Wilson as a trustee until any disqualification tookÌýeffect. Mr Wilson appealed against his suspension and disqualification, resulting in hearings over the course of several years, with the appeal.Ìýultimately withdrawn in January 2025. The period of disqualification isÌýongoingÌýand will end on 14 August 2027.
• The Commission issued anÌýOfficial Warning in September 2022Ìýto the charityÌýfor mismanagementÌýduring the period from when it was incorporated in 2013 to the beginning of 2019.
• Remedial actions have now been implementedÌýat the charity, including proper separation from the union, appointment of new trustees, and establishment of a distinct identity for the charity. It has also adopted a new funding model, after the Football Association and Premier League stopped funding of the charity upon its separation from theÌýunion.

AngelaÌýAscroft,ÌýCriticalÌýCaseÌýLeadÌýat the Charity Commission said:Ìý

In this case, the lines between the charity and Professional Footballers’ AssociationÌýunionÌýwere blurredÌýbeyond distinction, resulting in the multiple instances of conflict of interest and mismanagement at the charity.

Charity trustees have a duty to act in the best interests of their charity, butÌýtrustees at the Players Foundation fellÌýdismallyÌýshort of this expectationÌýand,ÌýasÌýa result,Ìýlet downÌýthe players they were supposed to be helping.Ìý

TheÌýCharity Commission’s extensive regulatory involvement led to the disqualification of trustee Darren Wilson. Since then, the Players FoundationÌýis moreÌýseparated from the union and can now focus onÌýhelping those it was set up to serve.

The full inquiry report is available at gov.uk Ìý

ENDSÌý

NotesÌýto editors

1. The Charity CommissionÌýopened the inquiry into the charity, under section 46 of the Charities Act 2011 On 20 December 2019.

2. The Commission disqualified one trustee, Mr Wilson, from being a trustee or holding a position in a charity with a senior management function for a period of 4 yearsÌýin accordance withÌýsection 181A of the Act. Mr Wilson was a trustee of the charity and the director of finance of the union during the period in which the events and decisions referenced in this report occurred and, as a result, was disqualified for his role in the mismanagementÌýidentifiedÌýabove. The inquiry also used its powers under section 181B(4) of the Act to suspend Mr Wilson from being a charity trustee until any disqualification took effect. Mr Wilson appealed against hisÌýsuspension and disqualification, resulting in hearings in the First Tier Tribunal (Charity) and the Upper Tier Tribunal over the course of several years. His appeal wasÌýultimately withdrawnÌýin January 2025. The period of disqualification is ongoing and will end on 14 August 2027.

3. The Commission issued an Official Warning to the charity on 7 September 2022 for the collective mismanagement by its trustees as described in this report. The trustees sought permission fromÌýtheÌýCommission – which was refused – and thenÌýthe High Court to institute proceedings in pursuit of a declaration under s.1157 of the Companies Act 2006 that they should not be held responsible for the mismanagement cited in the Official Warning. The application was unsuccessful: after a hearing it was refused by the High Court in July 2022.