The Political Economy of Football V2

It is not unusual for Championship clubs to make big losses as they seek the prestige and riches of the Premier League. Bristol City have published their 2017/18 accounts and losses have increased from £3.5m to £23.5m because of lower profits from player sales and higher wages. The wage bill was up £5m and player sales were down from £16.7m to £1.8m. Fortunately, they have a generous benefactor in the shape of Guernsey resident Steve Lansdown who wants to put Bristol on the sporting map. He made his money from financial supermarket Hargreaves Lansdown which started as a very small venture and is now quoted on the Stock Exchange. [I am one of their clients and a very satisfied one]. His total commitment is £123m of which £65m is in interest free loans. Bristol City made £600,000 from their cup run, a decent sum, but dwarfed by their losses. Kieran Maguire of the Price of Football has tweeted: 'Bristol City parent Bristol City Holdings changes status from private to public comp

At least one professional football club is under investigation for money laundering, the security minister has told MPs. Ben Wallace criticised the football authorities for failing to raise alerts about suspicious behaviour. Football has been identified by financial investigators as a prime target for money laundering because of its international transfers involving agents, managers and other intermediaries. 'Dirty' money could be used to buy a player or a club. When the club or player is sold, the money is apparently clean A number of football executives were charged with money laundering after the Fifa corruption scandal. Last year Jorge Luis Arzanga, an Argentine who worked for Credit Suisse and Julius Baer banks in Switzerland, pleaded guilty in New York to a money laundering plot. This involved transferring at least $25m in bribes from a sports marketing agency to football officials using accounts at the banks he worked for. Criminals can also become involved in bett

The delay in Tottenham Hotspur moving to White Hart Lane is hitting the club on a number of fronts. One concern is that Mauricio Pochettino, who is clearly exasperated, may accept one of the offers to move elsewhere he will inevitably be made, although probably not until the summer. Spurs were right to rebuild their stadium in the way they have because it offers them a better future. However, they should have been more realistic about the delays that inevitably occur in complex construction projects on brownfield sites - and whatever their apologists say, this one does not seem to have been particularly well managed. Having run into difficulties, they should have been more honest with the fans. The club has now had to extend its borrowing facility from £400m to £637m which will cost them approximately £10m more pounds a year in interest payments alone. They will have to pay rent at Wembley until the end of the season, even if they only use it for a short period in the New Year. I

Leading football analyst Kieran Maguire has provided a set of data charts that permit an analysis of how Bristol City compare with other Championship and Premier League clubs: Financial comparison Bristol City are mid-table in terms of revenue in the Championship. On the whole, Bristol City are about average in comparison to the rest of the Championship and are in the top 40 in each chart. There are some sizable clubs that are below City, which is thought to be very impressive from a Reds point-of-view. Guernsey resident and billionaire owner Stephen Lansdown wanted to see sport in Bristol lose its joke status: Man of ambition Lansdown derives his fortune from financial services 'supermarket' Hargreaves Lansdown which is quoted on the stock exchange. The Times had a list of good owners this morning and Lansdown should be there. I am a client of his company.

Cardiff City lost 4-1 at Liverpool on Saturday. That was not perhaps a surprise, but Burnley losing 0-4 at home to Chelsea was. Last season this would have been a much more competitive game. Burnley may have specific problems because of their Europa League participation, but there is a more general issue, taken up by Oliver Kay in The Times on Saturday where he suggested that the Premier League is losing competitive balance as the top six reach new heights. Before Saturday, of 40 matches so far this season between the 'top six' and the rest, the big teams had won 34, lost three and drawn three. The picture would be even more lopsided if it was not for the early season troubles of Manchester United: they are responsible for two of the draws and one of the losses. On Sunday they managed to beat Everton, one of the clubs with top six ambitions. The top six have collected an average of 2.38 points per game. The comparable figure in the Bundesliga is 2.08 points. The same cl

Fifa has had to postpone for a second time plans to create new global football competitions. One can either see it as further resistance to the globalisation of the game or a turf fight between two wealthy and powerful organisations. For months Fifa has been in talks with a consortium of international investors led by Japan's SoftBank. They had pledged to inject $25bn into a Fifa-controlled joint venture that would expand the Club World Cup, an annual competition between seven of the globe's top clubs. There would also be a new league for national sides. Uefa viewed the plan as a threat to the Champions League which draws about $2.5bn in broadcasting and sponsorship revenues each year. Fifa council members also felt they had insufficient information about the composition of the investor group. It is thought they are from China, Saudi Arabia and the United States. Fifa president Gianni Infantio want to push the plan through at a meeting of Fifa's governing council las

North Ferriby is a relatively small community on the train line from Doncaster to Hull with a population of just under 4,000. Nevertheless, with substantial financial backing from former owners, the club won the FA Trophy and spent one year in the top flight of non-league football. Now the current owner wants to move the Villagers out of the village and rename them East Hull, a proposal that has already led to a petition on change.org: North Ferriby United View from the Allotment End, North Ferriby's fanzine, is strongly resisting the proposal. The petition can be found here: Save North Ferriby

Liverpool earned about £72m from the Champions League last season of which £25.9m came from the market pool. Only Real Madrid (£78.6m) and Roma (£74.2m) earned more. Chelsea ranked sixth (£57.7m) behind Bayern Munich and Juventus. Manchester City were next with £56.5m and Tottenham Hotspur were two places behind with £54.3m. Celtic were 17th with £28.7m, by Scottish standards a lot of money, but yet not enough. Manchester United were 14th with £35.7m. of which £11.9m came from the market pool. They were not eligible for money based on league position in the previous season because they finished sixth. Uefa split a total of £1.25bn depending on the size of each country's television deal; how far each club progressed; and how a team performed compared with others from the same country. United went out in the first knockout phase which in part explains why they only earned £35.7m. The rest of the difference was down to United receiving a smaller share of the English clubs'

I would like to express my condolences to Leicester City fans (especially my friend Stacey) and to family and friends at the death of their popular owner Vichai Srivaddhanaprabha who was killed when his helicopter crashed near the ground after last night's match against West Ham United. One Leicester fan described him as 'The best owner a club could hope for.' The BBC has confirmed that he was on board: Accident It is at times like this that the world of football comes together. As a Leicester University graduate, I was delighted when Leicester City won the Premier League title and that will be a lasting legacy. Apparently, before every match Vichai left a bottle of whisky and glasses in the King Power’s memorial garden for families to toast lost ones.

Tottenham Hotspur will not play in their new stadium at White Hart Lane until January at the earliest. The club has confirmed that they will play at Wembley until at least until the end of December, but could not say when the stadium would be ready. The next update will be in early December. In addition to problems with the fire and evacuation systems, other contractors have not delivered on time. It means that Spurs will use the national stadium for at least nine of their 19 league fixtures this season, having initially asked permission to stage only one in August. The first match at the new stadium was meant to be on September 15th against Liverpool. The first possible opponent at the new stadium is Manchester United on January 13th. It is believed that the limit on full capacity events at Wembley has nearly been reached, but they could host matches with a reduced capacity of 50,835 with the top tier of the stadium closed. The further delays have pushed the cost of the stadium

Worcester City have not played a game in their home city for five years, being exiles first at Kidderminster and then at Bromsgrove. They were forced to sell their historic ground for financial reasons. However, there is now hope that they may be able to return: Steps towards new home A city the size of Worcester should be able to support a National League club, albeit that there is a strong rugby following and some football fans may travel to Birmingham. In exile, the club has slid down the Non-League pyramid and now plays in the ninth tier. Fans of The Archers will note that 'Felpersham' appears to have a Football League club.

Jacksonville Jaguars will never play at the new Tottenham Hotspur stadium despite the collapse of Shahid Khan's bid to buy Wembley: Jaguars rule out games White Hart Lane has been built with NFL games in mind. However, Jaguars club president Mark Lamping said: 'We believe that the infrastructure, the public transport around Wembley is far superior to any other stadium in London. We believe the prestige and the image of the national stadium is far superior to the home ground of a Premier League team. We preferred an alliance with the [English] game as a whole through the FA, rather than an alliance with an individual club.'

Everton have launched a major public consultation on their plans to leave their historic home at Goodison Park and build a new stadium at Bramley-Moore dock: Stadium move The club intends to submit a detailed planning application for the stadium in the second half of 2019 and, at the same time, an outline planning application for the redevelopment of Goodison Park on which there will be a separate consultation. Analysts see the move to the new stadium as key to the club's future progress. In the past a proposed move outside the city attracted widespread opposition.

Dulwich Hamlet are to return to their home at Champions Hill after an exile of eight months. It will take four to six weeks to prepare the ground: Dulwich Hamlet The final agreement was reached following a meeting involving all parties chaired by sports ministers Tracey Crouch. Southwark Council withdrew a possible compulsory purchase order to be served on developers Meadow. The Hamlet have been playing at Tooting and Mitcham's ground, but attendances have been hit. It is not easily accessible by public transport. Darryl Chamberlain has an interesting article on Hamlet in the latest issue of the Charlton fanzine, Voice of the Valley.

National League South side Truro City are currently playing 100 miles away at Torquay in front of understandably small crowds. Development company Helical Retail had been planning to build a Lidl supermarket and other retail outlets on Truro's Treyew Road ground. However, the development has been delayed and is unlikely to start until May 2019. This means that the Tigers could return for the rest of the season, but would have to go back to Torquay next season. The long-term plan is to move into the new Stadium for Cornwall. The club was going to contribute £2m from the proceeds of the development. The Cornish Pirates rugby club and Truro and Penwith College had each pledged £2m each to fund the stadium with a further £6m coming from Cornwall Council and central government. At present the club has made no decision about a possible return.

Her Majesty's Revenue and Customs (HMRC) have clawed back more than £330m in a crackdown on football, largely through agreed settlements. Pressure is building on the subject of widely used image rights payments in which stars are paid separately from salaries when used in promotional campaigns. In 2010 it was revealed that Wayne Rooney earned £760,000 a year from his image rights. Currently HMRC has open 'inquiries' into 171 players, 44 clubs and 31 agents, a sharp increase from the numbers this time last year. The crackdown follows the end of an agreement between HMRC and the Premier League under which clubs accepted limits on how much they could pay players for their image rights. HMRC has increasingly questioned the practice under which image rights payments are made to the companies holding the rights, rather than directly to the players or managers. While a player's wages are taxed at standard rates, i.e., 45 per cent for most of the income of top flight play

Smaller European countries have fallen behind in continental competitions. Dutch clubs were once leading contenders in European competitions, but are no longer, unable to compete with the likes of Bayern Munich or Real Madrid. An active discussion has now started about a 'super league' for Belgium and the Netherlands: Cross border proposal It wouldn't strictly be a 'Benelux' league as Luxembourg which has semi-professional or amateur teams would not be involved. As such, it might not be super enough, but there is the intriguing possibility of other smaller European countries becoming involved, not least Scotland. The idea of such a league was first discussed in the 1990s. The cited report notes, 'In recent years the Irn-Bru Cup, the Scottish cup competition for teams below the Scottish Premier League, has been revamped to include teams from Wales, Northern Ireland, the Republic of Ireland and England. So far, the development is regarded as being a success

I am always suspicious of stories that claim that 'the Premiership bubble is about to burst'. They usually reflect the tall poppy syndrome, a resentment of success. Whilst it is true that domestic television revenues have plateaued, those from overseas continue to increase. However, there may be some real changes taking place. Karl Marx was wrong about many things, and his disciples got things even more wrong, but he had one important insight, the way in which technology drove change. In a sense, Saint-Simon had already had that insight, but he believed that science and technology would solve everything, a view which is certainly still widely held. Just as satellite broadcasting made the riches of the Premier League possible, so digital technology provides a new set of challenges. It could well lead to a totally free market system in which more power is restored to the consumer, rather than the sofa fan being at the mercy of Sky and other providers. As it is, as someone

West Ham vice-chairman Baroness Brady has said that the club may be willing to buy the London Stadium, but felt it would not be viable if it had to stage athletics. She told a London Assembly hearing that the stadium was not realising anything like its potential. They would have to be clear about the seat moves and the long-term maintenance costs. The club has won its battle to have the pitch surround in claret. As part of the deal the club's honours board is to be restored in the West Stand. Another stand is to be named after Billy Bonds who made 799 first team appearances.

Shahid Khan has withdrawn his £600m offer to buy Wembley Stadium: Deal off. It had become evident that the proposal would not receive the hoped for two-thirds majority from the FA Council or anything near it at a meeting scheduled for next week. The 127 person Council is dominated by the 'blazer brigade' from the county associations whom I see strutting around at non-league matches. This of itself says something about the FA's cumbersome and outdated decision-making. One person close to the process told the Financial Times 'There is a reason why England has not won a World Cup since 1966 when decisions are made by a governing body that is organised like this.' Reaction has necessarily been mixed to what was a divisive proposal. Mark Palios, a former FA chief executive and now chairman of Tranmere Rovers, said on Radio 5 that decision-making should not be driven by emotion and sentiment. David Conn among others has said that the Premier League should increas

Every time we have a World Cup the newspapers are full of articles saying what a boost it will be to the economy. It is the case that supermarkets and pubs do well. However, in terms of the economy as a whole, if people spend more during the World Cup, they won't have it to spend later. Real incomes have been stagnant until recently and even though they are now increasing, this is not happening across the board. However, top restaurants in London took a hit during the World Cup. Quaglino's and Le Pont de la Tour lost quarter of a million pounds every time England played. This says something about how much it costs to eat there. I am also quite surprised that their clientele was interested in football rather than rugby or tennis. However, it just underlines the universal appeal of football.

Why should the affairs of a Northern League club attract the attention of the national press, specifically The Times? Well, because they provide an opportunity to attack Jeremy Corbyn. Ashington have made use of financial support from a development corporation owned by the local Labour-led council. More than £1m was spent on a 250-seater stand and clubhouse. This worked out at a higher cost per seat than any Premier League club except Arsenal's Emirates stadium. Two of the club's staff were paid for by the council's development company, Arch, which also paid the club £39,000 for tables at dinners, Christmas entertaining and utility bills. The club had moved out of the town centre (reminiscent of a play I saw about a non-league club I had seen in London last year). It argued that what was being provided was a community facility in one of the most deprived areas of the country. The chairman of the club was Ian Lavery, the MP for Wansbeck and chairman of the Labour Par

Kieran Maguire of the PriceofFootball has taken an in depth look at Celtic's finances: Rattlesnakes Somewhat controversially, Maguire argues: 'Celtic are in a strong position financially but money in the bank is no guarantee of trophies in the cabinet. The SPL looks more competitive this season than for a long time, and Celtic could be accused of resting on their laurels for a season too long.' 'Such are the riches of UEFA competition it could only take one season for the huge financial gap between the two Glasgow clubs to evaporate, and that season could potentially be 2018/19.' Perhaps the more general point is that a club like Celtic does not get the week after week competition they need, even if the SPL has become somewhat more competitive. However, bringing them into an English competition, which has been mooted in the past, is simply a non starter for a whole series of reasons. Creating a competition for smaller Northern European countries is a more feas

Opposition to the sale of Wembley to Shahid Khan is hardening ahead of the FA Council meeting in a week's time. In the minutes of the latest meeting of the Tottenham Hotspur Supporters Trust with the Spurs board on October 9th chairman Daniel Levy was asked whether Shahid Khan’s potential purchase of Wembley Stadium would impact on THFC’s plans for the NFL. Levy said it wouldn’t but he was against the sale of Wembley regardless. He felt any London franchise was a long way off but the NFL still had the International Series so there was ample opportunity for Spurs. He pointed out that the second pitch wasn’t solely an NFL pitch. It was a multi-purpose pitch that was suitable for the NFL. Khan is the owner of the Jacksonville Jaguars NFL team and wants to use Wembley for more of the team's matches. Spurs agreed a ten year partnership with the NFL for their new stadium but delays in completing the ground meant that the Seattle Seahawks played Oakland Rangers at Wembley on Su

What is the relative importance of one pitch and off pitch performance in relation to Manchester United? Where next for United? The authors note, 'Despite MUFC topping the revenue charts, showing excellent growth since 2000, its growth in commercial value has been non-existent since 2016, increasing by a modest £8m in two years. With broadcasting revenue being distributed fairly equally (and fixed by broadcasters) and ticket revenue determined by stadium capacity, commercial revenue is the only way a club can really pull away from its competitors in monetary terms.' Had United had better recent performances, they might have been able to extract even more from sponsors. But they have been smart in tying them down to long term contracts.

Tier 2 non-league side Nuneaton Borough face closure by the beginning of November unless they can find a new investor: Deadline The ground is owned by Port Vale's Norman Smurthwaite, but he cannot run two clubs under football rules. In a statement he said, 'The amount owed to existing creditors is quite small, which is unusual in this situation and, in fact, the biggest creditor is Borough Stadium as no rent has been paid, but this would be waived in the current circumstances. The current monthly payroll of the players is circa £25,000 per month but with the gates as they are the monthly shortfall of the club is between £17,000 and £19,000 per month. Here lies the major operational issue of Nuneaton Borough in whatever guise going forward.' Players have not been paid and any liquidator would have little in the way of assets. Manager Nicky Eaden told The Non-League Paper, 'There are too many grey areas for prospective buyers. I have little confidence of anyone c

Kieran Maguire of the PriceofFootball has taken a look at the case put forward by Leeds United owner Andrea Radrizzani for a Premier League 2. His argument that the club is on TV more than any other in the Championship but has the lowest proportion of broadcast income to total percentage does explain why Radrizzani so unhappy, although he may have ulterior motives too. Maguire points out that Championship clubs already generate 53% of their income from TV, compared to 61% in Premier League, so on a proportionate basis the gap is narrower than many perceive. If one strips out generous parachute payments TV only generates less than one third of Championship money. In the Championship there is much greater reliance on matchday income, especially if parachute payments are excluded. In the Premier League only five clubs have less than half their total income from broadcasting. He observes that in the Championship Leeds leverage on the number of TV appearances by using this to negotiate

Walsall have made a profit for the fifth year in a row: Heading out on the highway Kieran Maguire comments, 'That seems to be enough to satisfy the ambitions of the club owner, Jeff Bonser, though some fans seem to be fed up with his control of the club, and the way he extracts money from it through owning the stadium.' Maguire concludes, 'Walsall, almost uniquely for a League One club, have shown that they can break even season after season by managing their wage budget carefully, and being ultra-cautious in the transfer market.' Promotion to the Championship could bring a financial bonanza, but would also push up costs.

A good general principle is that if you don't understand an investment, you shouldn't buy it. However, what appear to be 'get rich quick' schemes can always attract subscribers, although if the returns appear to be too good to true, they often are. Levels of financial education are not generally high. However, if a brand you trust offers something, you may be tempted. That is particularly the case when it is something you identify with as strongly as a football club. 18 to 45 year old individuals that are affluent or emerging affluent and attend matches at top clubs are attracted by novel forms of investment. Football clubs themselves are often attracted to risky products because they offer an apparent means of boosting financial returns. Although one shouldn't make too much of one week's trading markets are currently in a volatile state, enhanced by geopolitical tensions, not least those between the United States and China. In recent years, a number of

Today is Non-League Day and I am going to a match at my local club in Tier 2 of the pyramid, Leamington FC. I would go even if it wasn't non-league day. Ever since the 1950s there has been a block on showing live games on television on Saturday afternoons with the objective of protecting attendances and amateur clubs. But in the face of modern technology, determined individuals and competitor leagues, can this practice be maintained? The latest threat comes from a plan to show live La Liga games in the UK on Saturday afternoons. The company behind the plan is Eleven Sports, owned by Andrea Radrizzani, who also owns Leeds United. He claims that betting sites and illegal sites are already showing the games live. Radrizzani is also in discussions with Serie A about showing Italian games during the blackout, too. Joris Evers, La Liga’s chief communications officer, told The Times : 'This type of blackout doesn’t make a whole lot of sense. It’s from a different age. We are a

Crystal Palace chairman Steve Parish thinks that Brexit provides a great opportunity for English football: Interview Apart from anything else, he thinks there will be a significant fall in transfer fees. He argues that Brexit offers an opportunity both for more diverse talent from around the world and for more homegrown talent.

A friend who is not particularly interested in football asked me for my opinion on the sale of Wembley Stadium to Shahid Khan, the owner of Fulham. I have been intending to write a piece of analysis on this, but other stories have intervened. However, I told her that I thought the proposed deal was very dodgy and certainly there are signs of increasing resistance from the FA Council, despite the promise of a bonanza for grass roots football. It is interesting that The Economist ran an article on the topic in their last issue. They don't write a lot about football, but what they do is usually quite authoritative (or at least they would like to think it is). They noted that the view that selling Wembley was not the best way to modernise the game was gathering momentum. They admitted that valuing Wembley as a stadium is particularly hard as it is not part of a rich Premier League club. They pointed out that the cash the FA would receive would be substantially lower than the am

Why would one buy a club like Leyton Orient? The answer given by Nigel Travis is that he has been in love with it for sixty years: People said I'd be an idiot to buy this club More solid business reasons are that the club has heritage, a great stadium and there's no hassle getting tickets. Travis argues: 'For many London football fans, it seems that Orient is their second team. That shows we've got true latent support and there's an opportunity for us.' Getting out of the National League is not easy with just one automatic promotion place, but once they have achieved this, Orient could recapture former glories. Well, of a kind.

Crystal Palace's plan to redevelop the main stadium at Selhurst Park could be delayed: Delay There is no problem in principle, it is just that the discussions with Croydon Council are taking longer than expected. The scheme will expand the capacity of the stadium from 26,000 to 34,000.

Kieran Maguire of the PriceofFootball and the University of Liverpool is much in demand these days and the latest club he has been asked to comment on is Bristol Rovers. Shell shocked manager Darrell Clarke has accused the Al Qadi family of not investing enough in the club: Investment drought Maguire admits that the club is very reliant on the family and that they have only spent £8.6m of a promised £15m. He says it's a bit like not using all your credit card limit. Just because someone comes from the Middle East doesn't mean they have deep pockets.

Leeds United owner Andrea Radrizzani has called for the creation of a 'Premier League 2' to help Championship clubs receive more television revenue: Owner's call Leeds earned £7.5m in 2017 under the EFL television deal, compared to a guaranteed £100m for the team that finishes bottom of the Premier League. Six of Leeds' 12 league games this season have been moved for TV coverage. 'We lose money and we are creating a show that is high-interest for everybody,' said Radrizzani. Radrizzani, who became sole owner of Leeds in May 2017, says has received multiple takeover approaches for the club, but values it at 'double what I invested in it'. In a sense there already is a Premier League 2 because of the generous parachute payments that relegated clubs receive. Leeds have, of course, not benefited from these as the capital of 'God's Own Country' has been out of the Premier League for what will be fifteen years if they are promoted this season.

Kieran Maguire of the PriceofFootball reports, 'Peterborough United have borrowed money from Shawbrook Bank, who last week lent to Sheffield United, secured on remaining instalments of £2.5 million for the £4 million transfer of Jack Marriott to Derby County. Interest rate is the same at 6.5 per cent above base.' This is a reasonable rate of interest. Borrowing against a transfer fee paid in instalments is a relatively new development. Sheffield United borrowed £7.5m from the Essex-based bank: Borrowing The loan will be used for bills and day-to-day expenses at the club and will be repaid from the sale of David Brooks to Bournemouth for £11.5m. Shawbrook is a retail and commercial bank established in 2011: Shawbrook

Kieran Maguire of the PriceofFootball takes an in depth look at the recently released accounts of Birmingham City: Do what John? Income was up 12% to £19.6 million but wages were up 78% to £40.1 million. There are some complicated calculations to take into account, but it is evident that some risks were taken. 'The scary news for Blues’ fans is that the holding company made an operating loss of £825,000 a week in 2017/18, a total of £43 million, which is more than two and a half times the loss made in 2017.' Maguire concludes, 'Birmingham gambled on Harry Redknapp weaving some magic in 2017/18 and that the consequences of non-promotion wouldn’t apply to them. This might have been because they saw the EFL taking a soft line with QPR, Bournemouth and Leicester for FFP abuses in recent years. Whether the EFL do have teeth is still to be seen, but there will be many other clubs watching with close interest.' The disciplinary commission dealing with Birmingham City'

More than €100m was wiped off the value of Juventus shares after publicity was given to rape allegations made against Cristiano Ronaldo which he vehemently denies. Shares in the club dropped by nearly 10 per cent on the Milan stock exchange last Friday cutting the club's worth from €1.3bn to €1.2bn. Over the week it fell by close to 19 per cent. Juventus is one of a relatively small number of clubs who still have shares traded on a major exchange. Last week police in Nevada reopened a criminal investigation over a complaint by a local woman that Ronaldo raped her in a Las Vegas hotel nine years ago. Nike and Electronic Arts, two of the player's sponsors, took the rare step of issuing statements of disquiet over the matter. However, they have not severed their commercial links. It is believed that Ronaldo is one of the few athletes to have a lifetime deal with Nike. Sponsors often have morality clauses in contract, allowed them to terminate deals if an athlete's persona

Arsenal have officially confirmed their new five year kit deal with Adidas: New kit deal At £60m-per-season, that marks the partnership out as one of the most lucrative in world football, equal with Chelsea but behind Manchester United's deal with Adidas - the biggest in England - and Barcelona's with Nike - the biggest in the world - which are worth £75m and £120m-a-year respectively. The new deal will start in July 2019 when the current deal with Puma ends.

When I look at which other clubs friends support, Tottenham Hotspur comes top of the list. I have therefore taken a particular interest in the delays to their new stadium. Let me say first that I think that Spurs made the right decision in going ahead with this project and rebuilding the stadium at its existing location. However, they were not realistic about the delays that invariably arise in big construction projects (think Crossrail) and they have not been sufficiently up front with their fans about the extent of the delays. 3,800 workers, some of them on premium rates, have been working on the project, but it may still not be ready for a game on Boxing Day. There is a serious skills shortage in the construction industry which is pushing up pay rates and leading to delays and cost overruns. There are just not enough workers in London with the right skills and of sufficient calibre. Moreover, the Spurs site is in competition with Crossrail. Electricians on the site are being

Hull head coach Nigel Adkins has admitted that a takeover of Hull City may be some way off. Reports have referred to chairman and chief executive Paul Duffen and two other possible buyers. However, as Charlton fans know, sealing a deal can take a long time. Talks with one consortium have been going on there for over a year, but owner Roland Duchatelet has been insufficiently flexible over the price. Hull fans do not have much confidence in their owners either. Adkins said that he had spoken with owner Assen Allam and added, 'It's a long way from being done from what I can make out.' Adkins was asked if he expected to be kept in the loop about the sale of the club and said, 'I'd like to think I'll be made aware of it.' Good luck with that. Charlton manager Lee Bowyer has largely been kept in the dark and was caretaker manager for months before being given a contract until the end of the season. Hull are currently bottom of the Championship and any n

This article boosts them as a growing phenomenon: Naming rights boom? This may well be true in terms of the number of deals. Apparently Livingston and Dumbarton have had five or six over the last twenty years. Never mind the quality feel the width. However, the real test is whether you can get deals that make a real difference financially to a club as has happened at Arsenal and Manchester City. West Ham United have been trying to get a deal for the London Stadium for some time. The real test will be whether Tottenham Hotspur can get a deal for the new White Hart Lane which will offset some of the costs, now well over budget. I was amused to learn that they have a new line in sponsored headwear: Headwear deal Perhaps they should offer hard hats! Meeting with members of the Tottenham Hotspur Foundation at a reception at Bruce Castle attended by the Mayor of Haringey How, it was a real pleasure to visit Haringey last week and talk with representatives of the Tottenham Hotsp

Jose Mourinho was keen to point out in interviews after yesterday's 3-2 fight back win over Newcastle United that he has a contract that lasts until 2020. If they got rid of him now, it would cost the club £29m which is a lot even for United. If they hang on until the end of the season, depending on how United do in the Champions League, it could go down to £10m which is a more tolerable sum: The cost of sacking Jose I do find Mourinho a miserable individual, the sarcastic one rather than the special one. But I do have sympathy with him on three counts: There is far too much short termism as far as managers are concerned. Average tenures are falling all the time. Events can conspire against even the best managers. He has been under siege from the print media who find that campaigns to topple managers (or politicians) feed their egos and their sales figures The entitlement sense of United fans is very high. There will be not another Sir Alex Ferguson: they broke the mould.

One of the leading football finance experts in this country is Kieran Maguire of the University of Liverpool. I often refer to his work. Using his model he has crunched Hull City's finances and come up with a valuation of £35m-£40m: How much is Hull City worth? Paul Duffen is fronting a consortium backed by a Saudi Arabian investor to buy the club from the Allam family, nine years after he officially resigned from the club. The bid is currently at the due diligence stage and is likely to be approved by the Football League. Hull fans will be pleased to see the back of the current owners, let's just hope it's not out of the frying pan into the fire.

The authoritative Swiss Ramble has been examining Real Madrid's accounts for 2017/18. These accounts cover a season when they finished third in La Liga, but won the Champions League for a third consecutive year, the fourth time in five years, plus the Club World Cup and European and Spanish Super Cups. A club that once seemed mired in financial troubles, despite its success on the pitch, now enjoys considerable financial success. They will once again officially have the highest revenue in world football when the 2017/18 Money League is published, as their €751m is much higher than Manchester United’s estimated €673m (£590m converted at 1.14). Profit before tax increased by €17m from €26m to €43m (profit after tax up €10m from €21m to €31m). Revenue (Madrid’s definition) rose 11% (€76m), their largest rise since 2000, to a record high of €751m, while profit on player sales was 4% (€2m) up at €54m. Most clubs in La Liga are profitable, but Real Madrid's 2017/18 €31m profit a

Kieran Maguire of the Price of Football has reported that Birmingham City Holdings in Hong Kong has published financial results for year to 30 June 2018. The UK numbers will differ as they are dependent upon the exchange rate used, and also the parent company owns a couple of other minor businesses. Income was up 14% overall with double digit increases for matchday (11%) broadcast (12%) and commercial (17%). This gives a total of £19.9 million which compares to average of £29.8 million in 2017. Costs rose significantly, most noticeable in relation to wages up 81% to £40.7 million. Birmingham paid out £202 in wages for every £100 of income in 2017/18. The wage bill in the Championship averaged £29.8 million in 2017. Birmingham losses rose 168% to £43.6 million which explains why they were being closely monitored by the EFL for financial fair play purposes, which limit losses to £39m over three years. The Blues spent £15.6 million on new players in 2017/18, a 34% increase on the prev

Planning for a sacking asks Kieran Maguire of the PriceofFootball? On September 27th Aston Villa received a £2.7 million injection from the club's owners. On 3 October Steve Bruce was sacked with a £2.3 million settlement for him and his team. Steve Bruce is a nice guy and he has had a bad year with the death of both of his parents. A friend of mine bumped into him in a local pub and was very willing to talk football. It is, of course, a results business. But I still feel there is something structural and/or cultural about Villa punching below their weight.

Some interesting revelations are emerging from a legal dispute between Mike Ashley and former Magpies vice-president Tony Jiminez (he was later involved at Charlton and was the subject of legal action arising from his involvement there: Leaving the Valley ). It is alleged that Sheikh Mansour was originally interested in buying Newcastle United rather than Manchester City. However, Mike Ashley blotted his copy book by first refusing to meet with him and then being involved in a disturbance in a bar in Dubai: Mansour and Newcastle

How big the gap is on the pitch between Valencia and Manchester United remains to be seen, but the financial gap is huge. Valencia's position is precarious, particularly when it has to compete the fourth Spanish Champions League place. Barcelona, Athletico Madrid and Real Madrid usually get the other three. Valencia have returned to the Champions League for the first time in three seasons. It wasn't always that way, of course. In 2000 and 2001 the club reached the Champions League final and in 2004 it won the Uefa Cup. But the financial stakes in football have changed and the gap between the clubs with a global profile and those in the second tier has widened. One time heavyweights like AC Milan and Olympique de Marseille have fallen behind the pack. Valencia were bankrupt before a Singaporean billionaire, Peter Lim, rescued them in 2014. Lim has invested €200m of his own fortune in the club as he tries to turn a large fortune into a small one. But, as is so often the

A European super league and global matches are on their way as Barcelona president Josep Maria Bartomeu hails the relentless march of the globalisation of football. He was talking to Oliver Kay of The Times. He suggested that as it stood many matches in the domestic leagues and even in the Champions League were boring for fans [or at least for global television audiences who are now the watchers that matter]. 'So why not one day have a new format of the Champions League which could also be a new super league within Europe?' He admitted that that La Liga didn't want to reduce matches, 'but it's something that will come in time because, in the end, there will be a demand of the fans.' Perhaps those of the top Spanish clubs, but the others? In my view one of the key markers of the progress of globalisation in football will be whether league matches (not friendlies or special tournaments) are played abroad. La Liga is trying to stage Girona's home fixture

Peter Kenyon, the former Chelsea and Manchester United chief executive, is lining up a bid for Newcastle United. He is working with Wall Street investment firm Rockefeller Capital Management and has held preliminary talks with owner Mike Ashley. He has owned the club for 11 years, but is deeply unpopular with fans who believe that the club has stagnated under his 'stewardship'. Kenyon will have to raise funds from investors. He is believed to have sounded out a number of private equity firms and wealthy individuals. As always, the key question is how much Ashley is prepared to sell for. Up to now he has asked for rather unrealistic sums. It has been suggested that Kenyon would be prepared to pay £300m - if he can raise it. Ashley has recently taken over House of Fraser, but has run into trouble with landlords who are reluctant to accept his lowball offers. Somewhat ironically, he has called them 'greedy'.