The elite of English football again in a deficit
Big relapse, or simple bad password ? The twenty football clubs in the Premier League, have seen their accounts go into the red during the 2015-2016 season, after two consecutive years where they were in the green. They found their bad memories, when they had experienced losses during fourteen successive seasons.
According to calculations published Thursday, April 20, by Deloitte, the clubs of the elite of English football have done in 2015-2016 a record turnover at 3.6 billion pounds (4.3 billion euros), up 9 % compared to the previous season. But at the same time, they have shown a loss of 110 million pounds (130 million euros).
The main explanation is the soaring salaries of players. The wage bill, already substantial, has still increased by 12 % compared to the previous season. It now covers almost two thirds of the turnover. And everything indicates that this will continue.
Recently, the british press bruitait of the offer as Alexis Sanchez, striker of Arsenal, would have had to convince him not to change the club : 15.6 million pounds (18.6 million euros) per year. If the case was concluded, he would become the player the best paid of England.
according to Dan Jones, the author of the report from Deloitte, Premier League clubs are not returned to their bad habits ultra-spenders. From the end of the 1990s, under the leadership of multi-billionaires who spent their money buying a picture, the big English teams had become of the hole without a bottom. The archetype was Chelsea, the oligarch Roman Abramovich had made his toy.
The rules of financial fair play introduced by UEFA, under the leadership of Michel Platini, have put an end to this period. Clubs now have the obligation to balance their accounts over a period of three years – with a few exceptions in spite of everything. This constraint allowed the clubs to iron through the green from the 2013-2014 season.
According to Deloitte, the relapse is being driven by a series of special factors, which should not happen again. First, the clubs have anticipated the increase of their revenues from television rights, which have jumped by a third this year. They have therefore multiplied, as early as last season, transfers of players, which is very expensive in commissions paid to their agents. In addition, the rise of wages is a kind of “advance” on the nuts to come. the ” We anticipate that the Premier League will return to a profitability level record for the season 2016-2017 “, said Mr. Jones.