Will Brazil 2014 be the last time the football world cup matters?

International football could be the purest of competitions, but the dominance of the global club brands, the bloated finals tournament and lack of surprise factor together with distaste for FIFA mean that it's increasingly becoming irrelevant.

So England will be at next summer’s football World Cup finals tournament in Brazil. It’s possible this might be the last time it matters.

There’s a rich vein to be tapped into when football’s ultimate prize is juxtaposed with Brazil, a country with a romantic tradition in the game and one whose people have a passionate attachment, and no doubt the marketing machine will make the most of it. But the world is changing and it’s not inconceivable that Brazil 2014 will go down in history as The Last World Cup.

For now, qualification matters. It matters for all the reasons to do with sporting achievement and prestige, and it also matters for hard business reasons. The Football Association guaranteed £8m in prize money for making the finals. If the team reaches the quarter-finals, not an unrealistic expectation, it gets £16m. If anyone at the FA is relying on the £26.5m you get for winning the trophy, they may want to seek some advice. But there’s more money to be made.

World Cup-related merchandising could bring in £10m. Nike reckons it can sell more than one million England shirts. And the FA will be looking to build on the £50m a year it makes from its commercial partnerships. Qualification is good for business. When England failed to make the finals of Euro 2008, the British Retail Consortium estimated the economy lost £600m. Such estimates do not usually stand up to forensic analysis – too many assumptions – but what’s more certain is that the FA loses sponsors and income if the team does not succeed.

After England’s dismal performance in the 2010 World Cup finals, major partners Nationwide and National Express opted not to renew their deals. It took the FA six months to sign Vauxhall as a replacement, during which time it missed out on a potential £3m.

So in the short term, some money will be made and Team England will still carry some clout – despite slipping below Switzerland in the FIFA world rankings. But longer term, the World Cup may be losing its shine.

The staging of a big sporting event always prompts questions about the cost and about who benefits. It’s now estimated that over $3bn of public funds will be spent by Brazil to stage the tournament. Last summer’s huge protests around the Confederations Cup tournament, used as a dry run for next summer’s main event, brought public protest to international attention – and in so doing destroyed the myth that Brazilians were so seduced by football they would stand for anything.

Whenever a major sporting tournament is staged these days, there’s always a debate about who benefits. Remember all that stuff about legacy and the London Olympics? That was just one example of how massive public contribution to what is ultimately private profit must be defended to the host population. Potential benefits have to be played up as much as possible, which leads to increasingly wild claims that are believed by decreasing numbers of people.

Public benefits can only be measured longer-term. Ken Livingston recognised this when he saw that only an event such as the Olympics would leverage the kind of funding needed to clean up the deeply polluted land around Stratford. But in the short term, people see public subsidy helping to generate enormous profits for the few. Funny, isn’t it, how the right never question the role of the state in these circumstances?

From Brazil 2014, it is estimated that FIFA – a charitable body based in Switzerland – will earn $5bn. In 2012, the organisation reported a profit of $89m, with reserves totaling $1.378bn. To win the right to stage the finals, countries must agree to FIFA’s stipulations on tax. And they are that it pays no tax whatsoever. Conservative estimates are that this exemption will see Brazil’s Internal Revenue Service lose out on $248.7m. Tax expert Han Kogels told CNN: “I was (and still am) not aware of any other international commercial sport event being subsidised through full tax exemption at the cost of other taxpayers.”

The distaste for the way FIFA conducts itself goes deeper when the controversies over the bidding process that saw the tournament awarded to Russia in 2018 and Qatar in 2022 are factored in. The process is mired in allegations of corruption. Top that off with the serious human rights issues raised over the treatment of workers in Qatar.

If the World Cup business seems a long way from the feel-good factor, so too does the football itself. Once, the tournament was seen as the chance for the world’s best to compete. Now, with a bloated tournament featuring 32 teams, the early stages don’t have the same magic. World Cups also used to throw up surprises, new players, new tactics. Now, the players and the coaches and the tactics are well-known in advance – familiarity and contempt nuzzle up alongside one another.

International football could be the purest of competitions. On this stage, you can’t buy in talent, you have to work with what you have – something that appeals to sporting pursists. Despite flurries of controversy over national eligibility, that fact remains. And yet it is club football that commands attention, and the big club brand names that have the global appeal. For many fans, it’s club before country every time, and the growth of the global club brands does not look like slowing. Nor does the global popularity of a Premier League in which players from so many nations are represented.

Put the aggressive growth of the Premier League, the dominance of the global club brands, the bloated finals tournament and lack of surprise factor together with distaste for FIFA and for the whole process of staging the finals together and you can begin to see a future in which the World Cup is increasingly irrelevant. And how then will the FA generate its money?

This might be the last time the World Cup matters. Photo: Getty

Martin Cloake is a writer and editor based in London. You can follow him on Twitter at @MartinCloake.

Getty
Show Hide image

Our union backed Brexit, but that doesn't mean scrapping freedom of movement

We can only improve the lives of our members, like those planning stike action at McDonalds, through solidarity.

The campaign to defend and extend free movement – highlighted by the launch of the Labour Campaign for Free Movement this month – is being seen in some circles as a back door strategy to re-run the EU referendum. If that was truly the case, then I don't think Unions like mine (the BFAWU) would be involved, especially as we campaigned to leave the EU ourselves.

In stark contrast to the rhetoric used by many sections of the Leave campaign, our argument wasn’t driven by fear and paranoia about migrant workers. A good number of the BFAWU’s membership is made up of workers not just from the EU, but from all corners of the world. They make a positive contribution to the industry that we represent. These people make a far larger and important contribution to our society and our communities than the wealthy Brexiteers, who sought to do nothing other than de-humanise them, cheered along by a rabid, right-wing press. 

Those who are calling for end to freedom of movement fail to realise that it’s people, rather than land and borders that makes the world we live in. Division works only in the interest of those that want to hold power, control, influence and wealth. Unfortunately, despite a rich history in terms of where division leads us, a good chunk of the UK population still falls for it. We believe that those who live and work here or in other countries should have their skills recognised and enjoy the same rights as those born in that country, including the democratic right to vote. 

Workers born outside of the UK contribute more than £328 million to the UK economy every day. Our NHS depends on their labour in order to keep it running; the leisure and hospitality industries depend on them in order to function; the food industry (including farming to a degree) is often propped up by their work.

The real architects of our misery and hardship reside in Westminster. It is they who introduced legislation designed to allow bosses to act with impunity and pay poverty wages. The only way we can really improve our lives is not as some would have you believe, by blaming other poor workers from other countries, it is through standing together in solidarity. By organising and combining that we become stronger as our fabulous members are showing through their decision to ballot for strike action in McDonalds.

Our members in McDonalds are both born in the UK and outside the UK, and where the bosses have separated groups of workers by pitting certain nationalities against each other, the workers organised have stood together and fought to win change for all, even organising themed social events to welcome each other in the face of the bosses ‘attempts to create divisions in the workplace.

Our union has held the long term view that we should have a planned economy with an ability to own and control the means of production. Our members saw the EU as a gravy train, working in the interests of wealthy elites and industrial scale tax avoidance. They felt that leaving the EU would give the UK the best opportunity to renationalise our key industries and begin a programme of manufacturing on a scale that would allow us to be self-sufficient and independent while enjoying solid trading relationships with other countries. Obviously, a key component in terms of facilitating this is continued freedom of movement.

Many of our members come from communities that voted to leave the EU. They are a reflection of real life that the movers and shakers in both the Leave and Remain campaigns took for granted. We weren’t surprised by the outcome of the EU referendum; after decades of politicians heaping blame on the EU for everything from the shape of fruit to personal hardship, what else could we possibly expect? However, we cannot allow migrant labour to remain as a political football to give succour to the prejudices of the uninformed. Given the same rights and freedoms as UK citizens, foreign workers have the ability to ensure that the UK actually makes a success of Brexit, one that benefits the many, rather than the few.

Ian Hodon is President of the Bakers and Allied Food Workers Union and founding signatory of the Labour Campaign for Free Movement.