SPECIAL REPORT: Premier League's top sides are well
placed to be active in the transfer market but it is Florentino Perez
who will once again be top of the transfer food chain.
Unai Emery was interviewed before the Europa League final by the
Guardian
and talk soon turned to Sevilla's transfer targets. "We wanted Gaston
Ramirez," the Spaniard disclosed. "But he went to Hull City. We can’t
compete economically with Hull City."
No other quote has quite
managed to capture the economic disparity between the Premier League's
lucky few and the rest of Europe outside the gates. Sevilla went on to
qualify for the Champions League by virtue of their resounding win over
Dnipro. Hull were relegated.
For the vast majority of players,
England is the best place to go to earn their fortunes. Deloitte's
Annual Review of Football Finance finds itself in perfect agreement with
Emery.
A combination of "regulatory led cost control" and
spiralling broadcast revenues mean all 20 Premier League clubs are
represented in the most recent edition of Deloitte's Money League,
accelerating far from European rivals. Indeed, the "poorest" Premier
League team posted good enough revenue figures to make it into the top
six of all of Europe's next four most powerful leagues.
The
Premier League now generates €3.9 billion in revenue, over €1.2bn more
than its closest competitor, the Bundesliga, which is more than La Liga
and Serie A combined. In 2013-14, 19 of the 20 clubs in the league
posted operating profits with 13 teams posting record operating profits.
What
it means is that any Premier League club has a head start on
practically any other European counterpart in the market. "With
relatively few barriers to movement for players, particularly within
Europe, England’s increased means clearly gives Premier League clubs a
greater purchasing power than ever before," the report states.
Manchester
United have a reported €180m to spend this summer. They took in close
to €115m last season based on their Premier League performances and with
Champions League football returning to Old Trafford, at least another
€30m on top of that will be banked thanks to the club's onfield
displays. A new kit deal with adidas, said to be worth €89m a year, as
well as the existing €63m-per-annum deal with Chevrolet mean that United
leave the rest behind when it comes to generating revenue.
Deloitte estimates United to have made football's highest operating
profit in 2013-14 with €139m banked. That allowed executive vice
chairman Ed Woodward to sanction big money deals for Angel di Maria,
Ander Herrera and others last summer. By current estimations United will
have about the same sum again to lavish on the market this summer in an
attempt to piece together a squad to challenge for the title.
Neighbours
Manchester City claim their initial period of "accelerated investment"
under the Abu Dhabi United Group is at an end. That is probably just as
well considering they had their wings clipped by Uefa's Financial Fair
Play penalties last summer. City were profoundly affected by Uefa's
restrictions last season, being forced to cut spending to a maximum of
around €60m, and must still keep their wage budget at 2013-14 levels for
another year at least.
They must also limit their losses this
year to around €8m. It means that City's spending could still be
severely curtailed if they cannot sell off some squad players, even as
Uefa's regulations look to be relaxed. Manuel Pellegrini is said to be
committed to at least one marquee summer signing with Kevin de Bruyne,
the former Chelsea starlet now excelling with Wolfsburg, and Paul Pogba
linked.
FA Cup winners Arsenal will again be among the high
rollers this summer following last season's capture Alexis Sanchez and
€110m total outlay. The year before the headline arrival was Mesut Ozil
and it should be no problem for the Gunners to find the cash to bring
another star to the club. The club's half-yearly accounts released in
February showed Arsene Wenger sitting on cash reserves of €166m with at
least €60m of that rumoured available for summer transfers.
Arsenal's funds have been boosted by their €36m-per-annum deals with
Puma and Emirates as well as the added cash from the new British
domestic broadcast contracts. A new central midfielder, a centre forward
and a goalkeeper could be brought to the Emirates with Morgan
Schneiderlin and Petr Cech tipped to be the first to move in the off
season.
Chelsea, meanwhile, have managed to free up around €48m
per season from what would have counted against their FFP totals. The
decision to offload Fernando Torres to AC Milan meant that €21m was
wiped from the books in terms of salary and transfer fee amortisation
figures. Furthermore, Eden Hazard's new contract, although increased to
€240,000 per-week, also counted positively towards Chelsea's FFP
obligations. The value of Hazard's transfer fee and wages can now be
spread over a five-and-a-half year period which means the club's annual
books are in better shape.
As well as the new TV deal, Chelsea
can also celebrate a new shirt sponsorship deal with Japanese giant
Yokohama Rubber worth €48m a season. It means that Jose Mourinho will
not be working on the restricting 'one in, one out' basis he has been
since returning to Stamford Bridge. The Portuguese has earmarked "two or
three" signings for the Blues this summer. All are likely to be top
dollar.
“The
battles for the greatest talents will still rage amongst Europe’s elite
clubs, but the Premier League’s resources will continue to allow it to
have an unmatched level of strength in depth,” ran the Deloitte report,
emphasising the lure of those big, traditional winning clubs around the
continent.
Real Madrid may again be restructuring in the dugout
with Rafael Benitez now the man in charge but the identity of the coach
has never detracted from their unique ability to spend, spend, spend.
James Rodriguez and Toni Kroos were the Galacticos last season and David
de Gea is already tipped to follow Danilo to the Santiago Bernabeu for
big money. Madrid's accounts are in rude health. Their most recent
balance sheet shows €577m income forecast for this season with €48m in
profit expected. Their cash balance stands at €174m, an €18m increase on
the year before, and Real reckon they can easily meet their current
payment commitments.
The club disclosed they spent €191m on the
acquisition of player rights during the summer that Gareth Bale arrived
with €102m banked on transfer income. No club can come close to matching
Real's ability to self-finance transfer deals either in terms of player
sales or the exploitation of image rights. That will continue this
summer with Pogba, Marco Reus and Sergio Aguero all linked with Madrid.
Their
transfer destiny looks currently brighter than Barcelona's. A
Fifa-imposed worldwide transfer ban kicked in in January which means
Barcelona are barred from registering any players until January 2016.
They can line up deals but cannot complete them. They embarked on a
€180m-plus spree last summer, adding Suarez, Ivan Rakitic, Marc Andre
Ter Stegen and Jeremy Mathieu among others, and so no money is in the
budget for signings this year.
"It’s truly impossible to
continue with FFP next year. Really, it’s not fair,” was Nasser
Al-Khelaifi's assessment of Paris St-Germain's current transfer
predicament. The PSG chairman was making reference to the current Uefa
restrictions on his side which have, like at Man City, put a temporary
curb on their dash for the top.
They may well have secured a
third consecutive league title in France but they have been unable to
make it past the Champions League quarter finals. That is despite having
the highest payroll in sports at €6.3m per week. PSG simply cannot
match the broadcast revenues of the English sides and are hugely reliant
on their commercial deals such as their partnership with the Qatar
Tourism Authority which drew the ire of Uefa. As such, PSG paid the same
penalties as City last season with a €60m fine, a €60m transfer
restriction and a limit on wage spending and Champions League squad
numbers. PSG must now sell to buy but that is easier said than done.
Yohan Cabaye, Ezequiel Lavezzi and Gregory van der Wiel might be
surplus to requirements but their contracts are immense. The Parisians
have already done a deal for Serge Aurier meaning they are €14.3m in the
hole before spending season has even begun.
RMC says PSG can
spend as much as they like, so long as the books are balanced, while
other French reports suggest that Al-Khelaifi is ready to blow whatever
budget he has this summer on Angel di Maria.
Bayern, meanwhile,
are in total control. Their only spending restrictions might be that
they don't actually want to sign anyone. Again, Di Maria has been linked
but it will probably be gradual tweaks rather than drastic overhauls at
the Allianz Arena. "We could pay €100m for one player," Bayern's
executive board member Jan-Christian Dreesen told
Kicker
earlier in the season. Coach Pep Guardiola has not been turned down once
for a player he liked since arriving at Bayern with Mario Gotze, Thiago
Alcantara and Mehdi Benatia just a selection of those added at
considerable expense by the Spaniard.
English dominance on the
balance sheet has not recently been matched on the competitive field of
play. No English team, for the second time in three seasons, qualified
for the Champions League quarter-finals. Instead, elite sides from
around the continent again took their place in the latter rounds. That
seems to be the chief reason why top talents continue to shun English
clubs for the continent with England's Player of the Year also departing
for la Liga twice in consecutive seasons in Gareth Bale and Luis
Suarez.
Hazard is unlikely to follow suit, even if Aguero does
feel the call of Madrid. But a look at the wider financial landscape
suggests that in general the flow of talent will be going into - not
coming out of - England this summer.