Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Premier League drives European football to huge revenues despite COVID

Premier League drives European football to huge revenues despite COVID

But the story was not as positive for teams in the Championship, the second tier of English football, which faces skyrocketing debt and high wage bills.

European football saw revenues increase throughout the COVID pandemic despite the almost complete absence of fans, reflecting the overwhelming role TV rights play in financing the modern game.

According to a new report from Deloitte, revenues grew by 10% between 2020 and 2021 to £23.3bn, driven by deferred broadcast receipts from the previous year and the success of the postponed Euro 2020 tournament.

Meanwhile, the revenue generated by the five largest leagues - the Premier League, Bundesliga, La Liga, Serie A and Ligue 1 - hit £13.1bn in the 2020/21 season, a 3% increase from the previous year.

This was largely dominated by the Premier League and Serie A, however.

Many top clubs in the big five leagues faced backlash from fans over last year's European Super League fiasco.

Six English clubs - Arsenal, Chelsea, Liverpool, Manchester City, Manchester United and Tottenham - secretly agreed to play in a super league with other elite European teams, but were fined £22m after the plan fell apart in the face of vicious public outrage.

Fans criticised the move as a shameless money grab that further distanced the sport from its grassroots.

The teams face a much larger penalty - a 30-point league deduction and £25m fine per club - if such a breakaway is attempted in future, under a deal with the Premier League.

Manchester City won the Premier League last season


The Premier League was the only one of the big five leagues to see clubs improve total operating profits, according to Deloitte, cumulatively increasing from £49m to £479m.

Premier League clubs' net debt at the end of the 2020/21 season increased just 4% to £4.1bn.

In comparison, Championship clubs' net debt at the end of the 2020/21 season was £1.8bn, an increase of 32%.

Meanwhile, the wage costs at Championship teams exceeded revenues for the fourth-consecutive year, with a record high wages-to-revenue ratio of 125%.

"Clubs across Europe played a significant proportion of matches behind closed doors or with reduced capacity during the 2020/21 season, which caused an almost complete loss of match day revenue," said Tim Bridge, lead partner in the sports business group at Deloitte.

"It's testament to the resilience of the industry, the value driven by broadcast deals and the success of the Euros that the European football market has achieved tenacious growth, in revenue terms, over the past year.

"However, it is important not to overlook the loss-making position of many clubs," he said.

"The impact of the COVID-19 pandemic fundamentally changed the financial management of European football, with leagues and clubs having to seek external investment and responding to a shift in trends around transfer spending and club operations."

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
U.S. and Hungarian Officials Talk About Economic Collaboration and Sanctions Strategy
Technology Giants Activate Lobbying Campaigns Against Strict EU Regulations
Pope Francis Admitted to Hospital in Rome Amid Increasing Speculation on Succession
Zelensky Calls on World Leaders to Back Peace as Tensions Rise with Trump
UK Leader Keir Starmer Calls for US Security Guarantee in Ukraine Peace Deal
NATO Chief Urges Higher Defense Expenditure in Europe
The negotiation teams of Trump and Putin meet directly, establishing the groundwork for a significant advancement.
Rubio Touches Down in Riyadh Before Key U.S.-Russia Discussions
Students in Serbian universities Unite to Hold Coordinated Protests for Accountability.
US State Department Removes Taiwan Independence Statement from Website
Abolishing opposition won't protect Germany from Nazism—this is precisely what led Germany to become Nazi!
Transatlantic Gold Rush: Traders Shift Bullion in Response to Tariff Anxieties and Market Instability
Bill Ackman Backs Uber as the Company Shifts Towards Profitability
AI Titans Challenge Nvidia's Supremacy in Light of New Chip Innovations
US and Russian Officials to Meet in Saudi Arabia Over Ending Ukraine Conflict. Ukraine and European leaders – who profit from this war – excluded from the negotiations.
Macron Calls for Urgent Summit as Ukraine Conflict Business Model is Threatened
Trump’s Defense Secretary: Ukraine Won’t Join NATO or Regain Lost Territories
Zelensky Urges Europe to Bolster Its Military in Light of Uncertain US Backing
Chinese Zoo Confesses to Dyeing Donkeys to Look Like Zebras
Elon Musk is Sherlock Holmes - Movie Trailer Parody featuring Donald Trump's Detective
Trump's Greenland Suggestion Sparks Sovereignty Discussions Amid Historical Grievances
OpenAI Board Dismisses Elon Musk's Offer to Acquire the Company.
USAID Uncovered: American Taxpayer Funds Leveraged to Erode Democracy in Europe Until Trump Put a Stop to It.
JD Vance and Scholz Did Not Come Together at the Munich Security Conference.
EU Official Participates in Discussions in Washington Amid Trade Strains
Qatar Contemplates Reducing French Investments Due to PSG Chief Investigation
Germany's Green Agenda Encounters Ambiguity Before Elections
Trump Did Not Notify Germany's Scholz About His Ukraine Peace Proposal.
Munich Car Attack Escalates Migration Discourse Before German Elections
NATO Allies Split on Trump's Proposal for 5% Defense Spending Increase
European Parliament Advocates for Encrypted Messaging to Ensure Secure Communications
Trump's Defense Spending Goal Creates Division Among NATO Partners
French Prime Minister Bayrou Navigates a Challenging Path Amid Budget Preservation and Immigration Discourse
Steering Through the Updated Hierarchy at the European Commission
Parliamentarian Calls for Preservation of AI Liability Directive
Mark Rutte Calls on NATO Allies to Increase Defence Expenditures
Dresden Marks the 80th Anniversary of the World War II Bombing.
Global Community Pledges to Aid Syria's Political Transition
EU Allocates €200 Billion for AI Investments, Introduces €20 Billion Fund for Gigafactories
EU Recognizes Its Inability to Close the USAID Funding Shortfall Due to Stalled US Aid
Commission President von der Leyen Missing from Notre Dame Reopening Due to Last-Minute Cancellation
EU Officializes Disinformation Code for Online Platforms, Omitting X
EU Fails to Fully Implement Key Cybersecurity Directives
EU Under Fire for Simplification Discussions Regarding Corporate Sustainability Reporting
Shein Encountering Further Information Request from the EU During Ongoing Investigation
European Commission Initiates Investigation into Shein as It Aims at Chinese E-Commerce Regulations
German Officials Respond to U.S. Proposal for Peace Talks with Russia
Senate Approves Robert F. Kennedy Jr. as Secretary of Health and Human Services.
Trump and Putin Engage in Discussions on Ukraine Peace Negotiations Amid Worldwide Responses
Honda and Nissan End Merger Talks
×