Riverside Stadium

Next Game

M'boro v Blackburn

Saturday, 29 November 2014, 15:00

Sky Bet Ch'ship

DW Stadium

Last Game

Wigan 1 - 1 M'boro

Saturday, 22 November 2014, 15:00

Sky Bet Ch'ship

PL revenues break record

Commercial revenue increased by 21% at Premier League clubs in the 2012/13 season and topped £2.5 billion for the first time, according to the Annual Review of Football Finance by Deloitte.

Last Updated: 05/06/14 at 10:18 Post Comment

More of the games that matter

Upgrade in minutes or watch with a NOW TV Day Pass.

However, over 75% of the revenue increase was spent on wages, which rose by £125m (8%) to £1.8billion and resulted in the overall Premier League clubs' wages to revenue ratio reaching a record high of 71%.

These increases led to the aggregate profit falling by £2m to £82m, although 13 of the Premier League clubs made a profit in 2012/13 compared with 10 in the previous year.

Adam Bull, senior consultant at Deloitte, says that wage costs are forecast to increase again in 2013/14: "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.

"On that basis, we would expect Premier League total wage costs to reach a new record level of around £2.2billion. However, given the forecast increase in revenue, this would also return the wages to revenue ratio below 70% for the first time since 2009/10."

Dan Jones, partner at Deloitte, said: "Once again the global appeal of the Premier League has continued to drive commercial revenue growth, particularly at the highest ranked Premier League clubs. Matchday revenue also increased by 6% with fewer unsold seats at Premier League games than ever before."

Premier League clubs will receive another significant increase in revenue in the 2013/14 season. Deloitte estimates that revenue will have increased by almost 30% to £3.2 billion in the 2013/14 season.

This growth will be driven by the revenue from the first season of the Premier League's new broadcast deals and further commercial revenue growth at the biggest clubs.

However, 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.

Bull commented: "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."

Other key findings include:

The Bundesliga remained Europe's most profitable league with operating profits of £226m, followed by the Premier League, with operating profits of £82m;

The total European football market grew to a record £17.1 billion (€19.9 billion) in 2012/13;

Premier League clubs generated the highest revenue (£2.5 billion) of any league in Europe in 2012/13, followed by Germany (£1.7 billion), Spain (£1.6 billion), Italy (£1.4 billion), and France (£1.1 billion);

The top 92 English clubs invested £211m in stadia and facilities in 2012/13, the highest amount of capital investment since 2006. Capital investment by clubs across the top four divisions since the Premier League began has now exceeded £3.5 billion;

Net debt in respect of Premier League clubs was £2.5 billion, an increase of £139m (6%) on 2012;

The Government's tax take from the top 92 professional football clubs was around £1.3 billion in 2012/13.

More of the games that matter

Upgrade in minutes or watch with a NOW TV Day Pass.

Related News

Most Commented

Readers' Comments

I

want to spend more time with my tit-for-tat Autobiographies . He probably didn't say.

megabrow (cufc)
Keane leaves Aston Villa

B

elieve in the dream Ashley. I have a hot tub, I still think I can get all The Saturdays in there for nekkid sexyfuntime. Failing that, Adele.

hump3.
Young: Man United target title

C

onclusions...we are truely living the dream now

dead yeti
Take Your Marks In The Premier League Sack Race

Footer 365

Premier League: Swansea manager Garry Monk defends Liverpool's Brendan Rodgers

Swansea manager Garry Monk has leapt to the defence of under-fire Liverpool counterpart Brendan Rodgers.

Premier League: West Brom manager Alan Irvine sees a defensive weakness in Arsenal

West Brom manager Alan Irvine hopes Arsenal's gung-ho attitude will be their undoing at The Hawthorns on Saturday.

Premier League: Southampton manager Ronald Koeman confident of continued success

Manager Ronald Koeman believes Southampton can thrive this term and is relishing taking on the Premier League big boys.

Mail Box

Don't Write Arsenal Off Yet (For Third)

That's the message from the afternoon mailbox, which also suggests Manchester City should look to bin Manuel Pellegrini. Can he take them any further?

Sanchez: A Sliding Doors Moment For Pool

One Liverpool fan regrets the club's failure to sign Alexis Sanchez and thinks Brendan Rodgers and Co should now target the domestic cups. A lot has changed in 12 months...

© 2014 British Sky Broadcasting Ltd. All Rights Reserved A Sky Sports Digital Media property