It read: "We agree with the committee that while substantial progress has been made to promote equality and tackle discrimination in the game, challenges remain for all of the football authorities.
"We will continue to work across the entire breadth of the sport to deliver our inclusion and anti-discrimination agenda. In doing so, we will consider in detail how the committee's recommendations can support and influence this work."
Steve Rotheram MP, a member of the Culture, Media and Sport committee, argued that a lack of ethnic diversity in management and boardroom positions at many English clubs was holding back the fight against racism.
He said: "There appears to be a lack of people from black and minority ethnic groups who are making their way to senior positions in the game.
"Some boards are all-male and all-white with no diversity there, and managers in the top tier of the Premier League and the Championship are almost all white, so there are some glass ceilings that need to be broken down."
While collating data for the inquiry, the report found evidence which suggests homophobia may now be a bigger problem in football than other forms of discrimination.
"Recent research found that 25% of fans think that football is homophobic while 10% think that football is racist. About 14% of recent match attendees also reported hearing homophobic abuse," the report stated.
As a result, it called for a high-profile campaign to highlight the damaging effect of homophobic language and behaviour around football at every level.
The report also called on governing bodies Uefa and Fifa to take stronger leadership on tackling racism.