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How Sky Sports bankrolls the Premiership

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Sky Sports football newsFacility fees are also played to each club every time they get selected for live TV coverage. These are £582,000 with a minimum income £5.82m even if the club has less than 10 televised games. The Premier League also paid out £15m each to Hull, Burnley, Portsmouth and Middlesbrough and the same amount will be paid out to West Ham, Birmingham and Blackpool next season. All of this paints a very rosy picture of the Premier League and the finance distribution and there is no doubt that there is a lot of money in the Premier League. However, despite the fair picture this data likes to pretend to suggest the reality is quite different; especially because this data does not include TV revenue and prize money gained from being in the Champions League. The recent report in the Guardian looking at football finance in the Premier League really illustrates the difference within the Premier League in TV money and prize money alone. Being in the Champions League is crucial for the financial health of a Premier League football team and Arsenal that were involved in that competition had TV and broadcasting revenue of £85m. Compared with Manchester City’s figure of around £55m mentioned earlier in the report. However, to get a real feel for the difference within the league I think it’s best to look at the difference in TV and broadcasting between the top club and the team that finished bottom and this really does produce startling reading. Manchester United received £104m all told compared with the figure of around £39m West Ham received. So I say there is a massive gap within the Premier League and this is really only part of the story because we are only looking at TV revenue and not even considering factors such as stadium capacity and merchandising that brings in yet more money for a club like Manchester United. A quick look at these two areas quickly shows the widening gap if we do a comparison between Manchester United and Newcastle United. Manchester United made £100m in match day income in comparison with the £21m Newcastle made; that is a difference of £79m. Manchester United made £81m in commercial income compared with the £15m Newcastle made; a difference of £66m. The new financial fair play rules may ensure that clubs will have to spend more sensibly and only the money they actual have but based on the evidence I have just provided they will be a significant difference between what Manchester United can spend and what Newcastle United can. A quick look at Premier League finances tells us that every Premier League club carries some level of debt with Wolves being the only club that currently has no debt. Given the difference between the top and the bottom of the league the TV deals are not as fair as suggested, because the clubs that are making the most commercially and through match-day income are also making the most in TV money. And let’s be fair a club near the top of the table is likely to be featured more than a team that is simply in mid-table. What the data definitely shows is the importance of being in the Premier League because that is where all the money is. But also the limitations that are put within the league itself and with clubs at the top receiving so much more money than the clubs lower down it’s hard to see how clubs can change their circumstances much. It’s a sad reality but there is an ever increasing financial gap in the Premier League. CLICK HERE to read more from James Kent.

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  • Steven says:

    I have to wonder how long this can keep going on ?

    Hopefully, the backside will fall out of the premiership and football can go back to being about football instead of just a balance sheet.

  • jocky bhoy says:

    As Lippi said “What is English football? That of Al-Mansour + Abramovich? That of Mancini + Wenger? That of foreign players?”

    Remember how the English used to whine about the money in other leagues? It’s ironic it’s been a naturalised Aussie Yank that’s swamped the English game with money…

    The good news is that it seems to have paralysed the English national team…

    :o)))))))

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