According to the 32nd annual review of football finances by Deloitte’s Sports Business Group, revenues in the European football market increased by 7 percent to €29.5 billion in the 2021/2022 season (from €27.6 billion in the 2020/2021 season). The revenue growth is a result of record matchday revenues and commercial revenues in the 2021/2022 season, following the lifting of restrictions imposed during the pandemic.
Revenues in the ‘big five’ European leagues grew by 10 percent to €17.2 billion, surpassing the pre-pandemic figure of €17 billion achieved in the 2018/2019 season.
– Overall revenues confirm that European football has successfully bridged the most challenging period to date. Following the lifting of restrictions due to the COVID-19 pandemic, the pent-up demand from fans led to record matchday revenues and commercial revenues across Europe. However, operating profit fell by €1.8 billion compared to the 2018/2019 season, indicating that the overall recovery is still ongoing – commented Tim Bridge, lead partner in Deloitte’s Sports Business Group.
European Premier Leagues
The growth achieved in the Premier League continues to outpace the growth of other leagues, establishing it as the market leader. Specifically, the total revenues of its clubs increased by 12 percent in the 2021/2022 season, reaching a record €6.4 billion (£5.5 billion).
The revenues generated by La Liga amount to approximately half of those generated by the Premier League, despite the total revenues of clubs within La Liga increasing by 11 percent to €3.3 billion in the 2021/2022 season. The easing of measures introduced during the COVID-19 pandemic towards the end of 2021 helped the top Spanish clubs achieve total matchday revenues of €409 million in the 2021/2022 season, an increase of €353 million compared to the previous season and the main driver of the overall revenue growth of the clubs.
Following La Liga is the Bundesliga, whose clubs recorded a total revenue increase of 5 percent to €3.1 billion in the 2021/2022 season due to increased matchday revenues (an increase of €254 million) and commercial revenues (an increase of €169 million).
Given the decline in the value of domestic and international broadcasting contracts, Serie A is the only league among the big five that recorded a decline in total revenues in the 2021/2022 season of 7 percent (€171 million) to €2.4 billion. In contrast, clubs within Ligue 1 recorded the highest percentage increase in total revenues among the big five in the 2021/2022 season of 26 percent (€412 million) to a record €2 billion. This growth is primarily due to new commercial contracts and increased matchday revenues following the pandemic.
Overall revenue growth among the big five exceeded the growth in wage costs of 15 percent compared to the 2018/2019 season to €12.3 billion in the 2021/2022 season, resulting in a decline in operating profit of €1.8 billion compared to the 2018/2019 season. The ‘big five’ clubs recorded a loss of €324 million in the 2021/2022 season, a slight improvement compared to the 2021/2022 season (loss of €400 million). – Now all clubs must focus on the long-term financial sustainability of the entire football system, which will be aided by newly timely introduced football regulations at the European level. The record growth achieved by the Premier League deepens the revenue gap between and within European football leagues, each of which faces new challenges caused by increased market competition, regulations, and efforts stemming from a challenging macroeconomic climate. With the gradual introduction of UEFA’s Financial Sustainability Regulations from the 2022/2023 season, European clubs and leagues will find themselves at a crossroads and must commit to some of the most significant regulatory changes in football to invest in global football for changes in the existing system. New leagues will seek to enhance their offerings and secure the best players on the field, and the future of European clubs will depend on how healthy their financial foundations are and whether they can leverage them to remain competitive and relevant – says Bridge.
Premier League Achieves Revenue Growth Due to Fans Returning to Stadiums
The revenue increase of 12 percent among Premier League clubs in the 2021/2022 season is primarily a result of record matchday revenues due to the return of fans to stadiums, as well as unprecedented commercial revenues.
Matchday revenues of the top English clubs rose to £763 million in the 2021/2022 season, an increase of £732 million compared to the 2020/2021 season, which was played behind closed doors. This amount surpassed the pre-pandemic figure of £684 million in the 2018/2019 season when the average league attendance reached unprecedented figures (39,950). Additionally, due to the increased appetite of fans for the game after the forced break, commercial revenues also rose by £245 million (16 percent) to £1.7 billion.
