Which clubs are in the most debt?

by Mystical Mike

Wednesday, May 6th, 2009
 

Fans will never stop watching TV

If it wasn’t for huge TV deals Premier clubs would be in big, big trouble. Over a 3-year period from 2007 to 2010 the combined revenue would have reached a staggering £2,700,000,000. But does this mean the Premier League is Credit Crunch free?

‘

Debt is not necessarily a bad thing for Premier League clubs’, explains Dan Jones from global financial advisers Deloitte. ‘We sometimes draw a high-level comparison with domestic mortgages – it is only when the mortgage becomes unserviceable that difficulties occur’

Take Arsenal for example, they have fixed-rate repayments on their debut for the new stadium which won’t actually be affected by the current financial crisis. Chelsea on the other hand have what is called ‘soft debts’ from their owners, which means they don’t actually have to pay these back. But with lending at an all time low problems could arise if the repayment plans have to be renegotiated.

What it does mean is clubs are finding it harder to source funds; inevitably 67% of the clubs will be trimming their squads.

If anyone will benefit long term it could be the National team, as clubs will be forced to bring through more homegrown talent.

Top 10 debt

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  • James Webb

    Despite spending ridiculous amounts on mediocre players Spurs are still one of the only clubs currently in the black. Whether that continues when our long awaited new ground is built I dont know. But at least we have no worries of going bankrupt. Not many positives to rave about in the current climbs but this is one of them.

  • http://www.ukfootballfinder.co.uk Darren

    i do find it hard to believe that Spurs never feature in any of these lists, they seem to spend more money than anyone else. They have never made the CL and always to seem to spend more then they make. They also have a tint ground.

    Obviously the club is very well run

  • James Webb

    Although we spend a lot on players we have never really exceeded our 60k per week wage cap. I think maybe only 2 players are on more than that but not by much. If you think Berbatov only earnt £25k per week at Spurs. Daniel Levy has promised that the new ground and training complex wont put the club in debt and with 30,000 people on the season ticket waiting list I think he could be right.

  • jackie

    Good article but one major fault is the logo for Middlesbrough is out of date…

  • logo police

    Still the wrong logo for boro I see!

  • logo police

    how long do you need to update that boro logo?

  • Shoeburgers

    Dear Mr Logo,
    I have forwarded your request to the Admin people. They will be touch very soon, in the mean time please except a chicken hair

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