News Corporation's Fox Sports has sparked a revolt from the powerful NSW and Queensland clubs lobby after proposing massive subscription increases.
The clubs lobby claims the price increases are the equivalent of a 48 per cent price rise that could cost larger clubs up to $30,000 a year.
![It is understood 37 clubs in NSW and Queensland have had big subscription increases recently.](/web/20170328045036im_/http://www.smh.com.au/content/dam/images/g/u/y/s/2/c/image.related.articleLeadwide.620x349.gv7g0k.png/1490655704734.jpg)
It has flagged seeking permission from the competition watchdog to conduct a boycott of the service.
ClubsNSW chief executive Anthony Ball used a piece in the organisation's ClubLIfe magazine to blast the increase.
![ClubsNSW chief executive Anthony Ball](/web/20170328045036im_/http://www.smh.com.au/content/dam/images/g/u/7/c/h/v/image.related.articleLeadwide.620x349.gv7g0k.png/1490655704734.jpg)
"We were recently advised by Fox Sports that there will be an increase in subscription fees for clubs," he wrote
"For some larger clubs it will mean an additional cost of approximately $30,000 per annum. That's the equivalent of a 47.8 per cent price rise.
"This can only be described as a gouge, which must be challenged."
Mr Ball urged members to take up their concerns directly with the pay tv sports service.
"We will keep clubs informed of our progress but as a first step clubs should voice their concerns with their Fox Sports representative," he said.
It is understood 37 clubs in NSW and Queensland have had big subscription increases recently.
Of those clubs 21 are understood to have had increases of $590 a week, or $30,000 a year, while the other 16 had increases of $336 a week, or $17,472.
Other clubs in the network faced increases of 3 per cent.
Clubs Australia executive manager public affairs Josh Landis used a separate article in the same magazine to flag a drastic move to escalate the dispute through the Australian Competition and Consumer Commission (ACCC).
"Clubs Australia is also submitting to the ACCC seeking collective boycott authorisation in regard to Fox Sports' massive fee hike," Mr Landis said.
Under competition law a group of competitors can ask for permission to act as a group and not purchase services from another business as part of a negotiation.
The ACCC will consider whether allowing the boycott would be in the public interest and in its published explanatory material on the process flags that it can be used in cases where many small businesses are negotiating with a larger supplier.
Fox Sports, which is 100 per cent owned by News Corporation, was contacted for comment.
Fox Sports makes most of its $135 million underlying profits in monthly fees from Foxtel – which is owned 50-50 by News and Telstra – based on the number of subscribers that take its programmes.
Foxtel has about 2.9 million subscribers.
Inquiries to Foxtel, which is half-owned by News Corporation and Telstra, were referred to Fox Sports.
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