Tottenham fans WILL face prosecution if they chant the 'Y-word' as FA issue stern warning

David Baddiel's view on use of 'Yid'

Tottenham fans chanting 'Yid Army' sustains anti-Semitism

The Football Association has warned fans against using a derogatory term for Jews in chants at matches.
Variations of 'Yid' have often been hurled by rival supporters of Premier League club Tottenham.

Watch your words: Tottenham fans have been given a strong caution by the FA not to chant the word Yid

Common sight: Spurs fans often chant and display banners with the word

The FA says the abuse has been 'clouded' by fans of Tottenham, which has traditionally drawn a large fan base from the Jewish communities in London, calling themselves the 'Yid Army.'
But on its website, the FA says it's hard to determine which fans are using 'Yid' in an 'intentionally offensive manner.'
English football leaders add that 'rules on acceptable behavior and language need to be simple.'
Determining that using 'Yid' is inappropriate at matches, the FA is encouraging fans to avoid using it in 'any situation' or risk criminal prosecution. 
The abuse faced by Tottenham fans returned to the spotlight last season.
During a Premier League match, some West Ham fans were heard chanting about Adolf Hitler and hissing, a gesture widely seen as imitating the sound of the gas chambers used during the Holocaust.
The FA took no action against Tottenham's London rival.
At a Europa League match in Rome, Lazio fans hurled anti-Semitic chants at the visiting Tottenham fan base, leading to the Italian club being sanctioned by UEFA.

Targets: Spurs fans were subjected to anti-Semitic attacks in Rome last season

FA statement on use of word 'Yid' in full

The FA is committed to promoting equality and inclusion in football and to confronting and eliminating discrimination of every kind.
The FA appreciates that language is a complex issue: the use and meaning of words is constantly evolving. This means that, over time, sometimes neutral words or phrases can come to be understood as offensive; and, similarly, words or phrases previously considered as offensive can become more acceptable.   
The FA also appreciates the difference between the use of language in the private and public sphere. Whilst someone may be free to use the language of his or her choice at home, the same is not the case when he or she does so publicly.
As the governing body of football, it is The FA’s duty to enforce the Laws of the Game and to send out clear messages about what is and what is not acceptable language within the context of football.

The term 'Yid'
Although the term derives from the Yiddish word for a Jew, its use in the English language has been, both historically and in contemporary use, derogatory and offensive.
It is noted that many minority communities have sought to reclaim historic terms of abuse such as this as a means of empowerment.  The process of empowerment through reclaiming language is complex and can often divide opinion within the same community.
In light of the historic and contemporary use of the term, The FA considers that the use of the term ‘Yid’ is likely to be considered offensive by the reasonable observer.
Use of the term by football fans
The FA is aware that there are sections of fans at certain clubs who describe themselves using the term, or variants of the term, ‘Yid’. Those fans claim that use of the term is a ‘badge of honour’ and is not intended to be offensive.
Nevertheless, its use is still liable to cause offence to others, whether Jewish or not.
Also, by using the term in this manner, fans may be clouding the issue by making it harder to differentiate its use by these fans and by those who use the term in an intentionally offensive manner.
Further, use of the term in a public setting could amount to a criminal offence, and leave those fans liable to prosecution and potentially a lengthy Football Banning Order.

Summary
The FA considers that for the betterment of the game, rules on acceptable behaviour and language need to be simple, understandable and applicable to all people at all levels of the game.
As such, The FA considers that the use of the term ‘Yid’ is likely to be considered offensive by the reasonable observer and considers the term to be inappropriate in a football setting.
The FA would encourage fans to avoid using it in any situation.