Regulator's Report: 94% of English Football Clubs Operate at a Loss
The independent regulator of English football has published a report revealing critical financial instability among clubs, despite revenues of £9 billion for the season, reports Sky Sports.
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Photo by Davide Buttani on Unsplash · Размер и формат изменены для сайта; метаданные файла удалены · Прессматериал правообладателяThe Independent Football Regulator (IFR) presented the draft report 'State of Play,' which analyzes the finances of English clubs over the past 18 months. It was found that 94% of clubs across the top five divisions ended the previous season at a loss, despite the industry's total revenue amounting to £9 billion.
The report's authors note that clubs spend more than they earn in order to keep up with competitors. This leads to growing debt and dependence on owner financing. As a result, 32 clubs have cash reserves for fewer than 30 days—without owner support, they could face bankruptcy.
The IFR proposed a six-step reform plan, including requirements for clubs to increase reserves and develop contingency plans in case of owner financing withdrawal. The regulator also insists on changing the revenue distribution system to reduce financial disparities between leagues.
IFR Chair David Cogan emphasized that without structural changes, clubs will face a crisis if the flow of investments or media revenue declines.
