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Old 09-06-2011, 09:19   #4
Rack
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Here's some figures about the mounting debt crisis in England......

Premier League Racks Up Debt:
Having played with his abacus, Martin Lipman announces “English football is in debt to the staggering tune of 3.5 BILLION pounds… Top flight wages continue to rise, up another £64million to a record £1.389bn 12 months ago, with an all-time high of 68 per cent of income going straight out of the door and into player’s bank accounts.”
The numbers are refined by Rob Davies in the Mail. “England’s elite league boasted record revenues of £2.2billion in 2009-10, leaving Germany’s Bundesliga trailing a distant second by more than £700million. Unfortunately, that is only half the story – Premier League clubs also made record losses of £445m due to another huge rise in wages. According to Deloitte, the clubs spent £1.4bn on salaries in 2009-10, up five per cent on the previous year, and there is no sign of a slowdown. A record 68 per cent of money coming into the clubs goes straight into the players’ wallets.”
According to Ian Herbert, clubs in the Championship are the ones who should be most scared by the new data. “It is the Championship which the Deloitte report implies should give most cause for concern, underlining why the Football League now intends to introduce its own FFP system. The Premier League’s wage inflation and collective debt of £3.5bn are at least offset by rising television money but in the second tier, where Deloitte sees a colossal 88 per cent of revenue going on players, a 25 per cent reduction in live television rights from the beginning of the 2012-13 season spells serious danger… Championship clubs are spending £4 for every £3 they generate in income.”
Matt Scott investigates plans by Championship clubs to regulate their collective spending. “A primitive salary cap is highly unlikely but there will be a discussion among the full body of clubs about how to transform their new desire for restraint into a workable regulatory format. There is great optimism within the Football League that, since this will be a self-regulating system drawn up by the clubs, for the clubs, it will gain traction and teeth… If Championship clubs can work out a voluntary solution, it would be a truly transformative achievement.”
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