To those that hath shall be given

The authoritative Swiss Ramble takes a look at Champions League finances so far this season. He states, 'What is clear is that qualification for the Champions League is more lucrative than ever – and this reinforces the financial strength of the elite clubs from the Big Five leagues. Huge money from the CL makes qualification more likely, which delivers more cash.'

'As an illustration of how much a club could potentially earn in total, let’s take Manchester City as a hypothetical. If they won the Champions League, winning all their group stage games (and the other English clubs were eliminated in the last 16), they would receive an incredible €134m. The maximum amount a club can earn from the Champions League (excluding TV pool and coefficient) is a substantial €82.5m, which is 44% (€25.3m) higher than the previous cycle’s €57.2m.'

Barcelona have the highest Champions League 2019/20 revenue to date in Spain with €81m, due to earning the most prize money and having the highest TV pool. Followed by Real Madrid €75m (best UEFA coefficient of all the clubs in Europe), Atletico Madrid €73m and Valencia €55m.

Spain have benefited the most from the introduction of the UEFA coefficient payment, thanks to their very successful record in Europe. In fact, Spanish clubs have three of the four highest rankings: Real Madrid 1st (€35m), Barcelona 2nd (€34m) and Atletico Madrid 4th (€32m).

Manchester City have the highest Champions League 2019/20 revenue to date in England with €78m, due to earning the most prize money and having the highest TV pool. Close behind are Liverpool €76m and Chelsea €73m (with the best English UEFA coefficient), though Tottenham Hotspur lag behind with €58m. Their Champions League revenue is adversely impacted by having the least successful record of English clubs in group stage, the lowest UEFA coefficient (based on last 10 years) and finishing 4th in 2018/19 Premier League (smallest TV pool).

Bayern Munich’s €82m is the highest Champions League 2019/20 revenue to date in Germany, due to earning the most prize money, having the best UEFA coefficient and highest TV pool. There is a big gap to Borussia Dortmund €63m, RB Leipzig €43m and Bayer Leverkusen €37m.

Juventus’ €80m is the highest Champions League 2019/20 revenue to date in Italy, due to earning the most prize money, having the best UEFA coefficient and highest TV pool. There is a big gap to Napoli €59m, Inter €41m and Atalanta €40m.

Paris Saint-Germain have the highest Champions League 2019/20 revenue to date in France with €75m, due to earning the most prize money, having the best UEFA coefficient and highest TV pool. Followed by Lyon €57m and Lille €27m.

Inter €41m earned more than Atalanta €40m, despite not reaching the last 16, entirely due to having a higher UEFA coefficient (€17m vs. €3m), which shows how this new distribution model protects the traditional large clubs against the up-and-coming teams. [You may recall that Arsene Wenger was very proud of his UEFA coefficient: I think he would like to have paraded it round Islington].

The UEFA coefficient is based on performances over 10 years, including bonus points for winning UEFA tournaments. The €585m pot is divided into shares with each worth €1.108m, so the highest ranked club (Real Madrid) gets €35.5m and the lowest (Slavia Prague) €1.1m.

The Swiss Ramble notes, 'Looking at how Champions League revenue is distributed in the current cycle, the importance of the UEFA coefficient is evident. the TV pool is much less important than it was before. This rewards historically successful clubs rather than those with larger national TV rights deals.'

In 2019/20 each of the 32 clubs qualified for the Champions League group stage gets €15.25m plus €2.7m for a win and €900k for a draw. Additional prize money for each further stage reached: last 16 €9.5m, quarter-final €10.5m, semi-final €12m, final €15m and winners €19m.

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Threat of financial calamity removed from Baggies

West Bromwich Albion had effectively been in decline ever since the club was sold to a Chinese consortium in August 2016, paying a figure north of £200m to buy former owner Jeremy Peace’s stake. Controlling shareholder Guochuan Lai’s ownership was fairly disastrous for the club, but his unloved tenure finally came to an end after Bilkul Football WBA, a company ultimately owned by Florida-based entrepreneur Shilen Patel and his father Dr Kiran Patel, acquired an 87.8% shareholding in West Bromwich Albion Group Limited, the parent company of West Bromwich Albion Football Club. This change in ownership was urgently required, due to the numerous financial problems facing West Brom, including growing high-interest debt and serious cash flow concerns, following years of no investment from the former owner. Indeed, West Brom’s auditors had already rung the alarm bell in the 2021/22 accounts when they cast doubt on the club’s ability to continue as a going concern without making player s...

Spurs to sell minority stake

Tottenham Hotspur is in talks to sell a minority stake in a deal that could value it at up to £3.75 billion and pave the way for Joe Lewis and his family to sever ties with the Premier League football club. Tottenham chairman Daniel Levy is seeking an investment that values the club at between £3.5 billion and £3.75 billion, including debt. While the terms of any deal have not been finalised, City sources expect Spurs to sell about 10 per cent. The club is being advised by bankers from Rothschild on the sale. Tottenham wants to raise fresh capital for new player signings and to help fund the development of an academy for its women’s team, as well as a 30-storey hotel next to its north London stadium. The financier Amanda Staveley, who brokered the deal for Saudi Arabia’s Public Investment Fund to take over Newcastle United, is understood to be among the parties to have expressed an interest in Tottenham. Staveley’s fund, PCP Capital Partners, has raised about £500 million to ...

Millwall punch above their weight

Millwall’s season was overshadowed by the tragic death of owner John Berylson following a car accident. The American had been an exemplary owner, beloved by the fans for his leadership, passion and generosity. Millwall’s finances had been pretty good during his tenure, which we shall explore by looking at the most recent accounts from the 2022/23 season, when the club narrowly missed out on a place in the play-offs after finishing 8th. Millwall’s pre-tax loss slightly reduced from £12.6m to £12.2m, as revenue rose £0.8m (4%) from £18.6m to a club record £19.4m and player sales improved from a £0.1m loss to £2.5m profit. However, other operating income dropped from by £1.1m from £1.3m to £0.2m, while operating expenses increased £1.7m (5%) from £31.6m to £33.3m. The main driver of the revenue increase was broadcasting, which rose £1.1m (12%) from £9.1m to £10.2m, though match day was also up £0.4m (7%) from £5.8m to £6.2m. In contrast, commercial fell £0.7m (19%) from £3.7m to £3....

The Political Economy of Football V2

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