Premier League Players' Wages 'top £2.2Bn'

[Sancho Panza]

Sky News 6/5/14

'Premier League clubs secured record revenues of £3.2bn last season as wages topped £2.2bn, according to the latest analysis of football finances.

The sky-high wages were found to have eaten into Premier League profitability, but the Deloitte Annual Review of Football Finance on the 2012/13 season saw no end to the growing riches of England's top flight.

The review revealed a 21% rise in commercial revenue in the Premier League hitting £2.5bn for the first time, with 13 clubs making a profit compared to 10 in 2011/12.

It revealed more than 75% of the revenue increase was spent on wages - the bill for the league as a whole reaching £1.8bn, a rise of 8% or £125m on the previous year.

It meant, Deloitte said, that Premier League clubs' wages to revenue ratio reached a new high of 71%.

However the review forecast that the ratio would fall below 70% for the first time since 2009/10 under its estimates for 2013/14.

Adam Bull, senior consultant in the Sports Business Group at Deloitte, said: "The pattern in spending on wages following previous increases in broadcast deals, suggests it’s likely around 60% or more of the revenue increase in 2013/14 will flow through to wages."

The review said the 2012/13 season was a particularly bleak year for the finances of Championship clubs.

A revenue reduction of £39m was compounded by a £40m increase in wage costs, leading to record operating losses of £241m.

Pre-tax losses also increased by £170m, equivalent to an additional £7m per club, to £323m.

Mr Bull added: "The 2012/13 wages to revenue ratio for Championship clubs of 106% is the highest ever recorded by an English division and is clearly unsustainable without ongoing owner support.

"The introduction of the Championship Financial Fair Play Rules was widely seen, and advocated by the clubs who voted it in, as a necessary step to change clubs’ behaviour.

"The severity of the punishments applied to those who have not complied with the rules in the 2013/14 season and the eventual result of efforts to change the rules, will determine the extent to which they present an effective deterrent to widespread overspending."'

[Corruption]

The elites must hate the fact these working class men make such money, that is rightly theirs.

[TheCountOfNowhere]

We can maybe guess who the idiots who are buying all the houses are

[TheCountOfNowhere]

The elites must hate the fact these working class men make such money, that is rightly theirs.

Dancing monkeys there to entertain the proles and give them hope that themselves or their children could escape the gutter.

[Fromage Frais]

Fans often complain about football being a "business" but it does not look like one to me as the supporters also demand that you do not make any money from it.

For comparison check out the recent sale of the LA Clippers 2 billion dollars and most teams in that league make a profit.

The system in the premier league is a strange setup that automatically drains the market of funds (bit like the UK housing market) and any new deal automatically results in inflation of wages.

The game is now so totally dependant on TV money any reduction would be catastrophic.

Not to mention you start each season knowing that only certain teams can win it, which ultimately means one day it logically should get boring.

The foreign owners are buying in as they know that the only way to make even more money is to go the route of Euro super league and I expect that to come in sooner rather than later.

[Sancho Panza]

The elites must hate the fact these working class men make such money, that is rightly theirs.

The working class people tend the grounds,work in the shop etc and get paid next to nothing.I'd hardly call someone on a salry of £30,000 per week working class.Unless you're one of the bankers rocking around the smoke telling everyone who'll listen that you're working class and from Barnsley.

[Sancho Panza]

The system in the premier league is a strange setup that automatically drains the market of funds (bit like the UK housing market)

More than a bit.

[Corruption]

Dancing monkeys there to entertain the proles and give them hope that themselves or their children could escape the gutter.

I used to go to watch 2nd division football as a 6 year old from 1981 onwards, it was a good day out with the family and good for my parents to get me interested in a sport that kept me fit and healthy which has stayed with me to this day.

All the kids i knew who came close or did make it to professional level played for the love of the game as opposed to the money which outside the top division isnt that great.

[Corruption]

The working class people tend the grounds,work in the shop etc and get paid next to nothing.I'd hardly call someone on a salry of £30,000 per week working class.Unless you're one of the bankers rocking around the smoke telling everyone who'll listen that you're working class and from Barnsley.

Historically its a working class sport .... but chippies, welders, brickies all earn 30K are they middle class?

Try working in the oil industry even labourers earn 50K a year, does the amount a welders mate earn define his class?

[Sour Mash]

[deleted]

[Sour Mash]

Dancing monkeys there to entertain the proles and give them hope that themselves or their children could escape the gutter.

... and the proles pay for the monkeys themselves through their Sky and BT contracts. Perfect!

[interestrateripoff]

If the TV money ever stops the Prem League will be fecked. Luckily every couple of years the price to broadcast football goes up and clearly this trend will continue indefinitely.

And how much of this £2.2bn leaves the country because we are paying foreign players?

[Craig_]

I'm surprised Sky/BTs revenues haven't yet taken a hit given the relative ease of watching games on illegal streams. Surely only a matter of time, as the technology's moved on pretty rapidly in the last few years.

[Splurge]

There was a snippet in the FT some while back comparing the salary of the top earning employee at Juventus as against the top paid employee at Goldman Sachs(The chairman, I think) as a proportion of the revenues of the respective organisations. My memory of the exact details are vague but the general gist was that the footballer was paid vastly more than the banker given the money generated by the football club was so much less. Operating costs for the footballing club was about 35% and higher. When you look at it total revenue of 2.5 billion is not all that much compared with most multinational company revenues. Football clubs live well beyond their means. Only surviving as a money laundering vehicle for Eastern despots.

Surely sometime soon some clubs are going to go bankrupt- although some are probably in reality all ready insolvent now.

[thecrashingisles]

There was a snippet in the FT some while back comparing the salary of the top earning employee at Juventus as against the top paid employee at Goldman Sachs(The chairman, I think) as a proportion of the revenues of the respective organisations. My memory of the exact details are vague but the general gist was that the footballer was paid vastly more than the banker given the money generated by the football club was so much less.

That's a very misleading comparison since a footballer generates revenue directly in various ways but the Chairman of Goldman Sachs doesn't.

[Corruption]

If the TV money ever stops the Prem League will be fecked. Luckily every couple of years the price to broadcast football goes up and clearly this trend will continue indefinitely.

And how much of this £2.2bn leaves the country because we are paying foreign players?

UNless there was a mass amputee of footballers legs the premier league will still exist its players will just earn less.

Kind of like how the world would have kept spinning without bank handouts.

[renting til I die]

The working class people tend the grounds,work in the shop etc and get paid next to nothing.I'd hardly call someone on a salry of £30,000 per week working class.Unless you're one of the bankers rocking around the smoke telling everyone who'll listen that you're working class and from Barnsley.

Historically its a working class sport .... but chippies, welders, brickies all earn 30K are they middle class?

Try working in the oil industry even labourers earn 50K a year, does the amount a welders mate earn define his class?

Read again, 30k per week! Know any brickies that earn that per week? I thought some of the top players were earning cloiser to 300k per week! Not many top bankers that would work for 30k a year though and I think what Sancho was saying was that footballer's still calling themselves working class when they are on 30k per week (or 1.5M a year) is a bit of a joke!

[Corruption]

Read again, 30k per week! Know any brickies that earn that per week? I thought some of the top players were earning cloiser to 300k per week! Not many top bankers that would work for 30k a year though and I think what Sancho was saying was that footballer's still calling themselves working class when they are on 30k per week (or 1.5M a year) is a bit of a joke!

If they were raised in a working class family theyre never likely to think like the pair cnts namely Gidiot and Camoron or their school chums, no matter how much money they have. Id imagine some of those African footballers can relate to poverty better then most no matter how many Ferraris they have.

ANyway here is one footballer with the sense to see the con that is Londons property market..

http://www.dailymail.co.uk/sport/football/article-2649516/Andre-Schurrle-slams-London-property-market-despite-earning-millions-Chelsea.html

[renting til I die]

If they were raised in a working class family theyre never likely to think like the pair cnts namely Gidiot and Camoron or their school chums, no matter how much money they have. Id imagine some of those African footballers can relate to poverty better then most no matter how many Ferraris they have.

ANyway here is one footballer with the sense to see the con that is Londons property market..

http://www.dailymail.co.uk/sport/football/article-2649516/Andre-Schurrle-slams-London-property-market-despite-earning-millions-Chelsea.html

I think that's a fair point.

[200p]

Yay "We" won the game!

[Trampa501]

Fans often complain about football being a "business" but it does not look like one to me as the supporters also demand that you do not make any money from it.

For comparison check out the recent sale of the LA Clippers 2 billion dollars and most teams in that league make a profit.

The system in the premier league is a strange setup that automatically drains the market of funds (bit like the UK housing market) and any new deal automatically results in inflation of wages.

The game is now so totally dependant on TV money any reduction would be catastrophic.

Not to mention you start each season knowing that only certain teams can win it, which ultimately means one day it logically should get boring.

The foreign owners are buying in as they know that the only way to make even more money is to go the route of Euro super league and I expect that to come in sooner rather than later.

I get the feeling the Euro super League will only start after Catalonia achieves independence! The reason is that Barca football club would suddenly lose most of its income - it'd be out of La Liga, and without any opportunity to play Euro games (as the newly formed "Catalan league" would not yet be elgible to take part). At that point Barca would have no option but to start a Euro super-league. One of the first takers (surprisingly?) would be Real madrid as the Clasico mtaches are big earners - then it would only need 1 Premier team (Chelsea? Man City?) to join, to get the ball rolling...

I have no problem with footballers earning big pay packets. But it's sad to see how big the Premier has become, yet at the same time England has become less of a force in world football. Could the two be linked???

[renting til I die]

I have no problem with footballers earning big pay packets. But it's sad to see how big the Premier has become, yet at the same time England has become less of a force in world football. Could the two be linked???

I actually stop watching football 4 years ago (I used to support Spurs, maybe that was the reason! Naa, I think it was the silly money!). I find it impossible to watch now and I can’t believe I ever found it enjoyable to watch! It is such a stupid game! Why don’t they just use their hands??!

P.s. I won’t be watching the kickball world cup!