Tag Archives: parachute payments

Parachute payments – the financial impact of relegation

Relegation is a bitter pill to swallow for all football fans, but for fans of those teams relegated from the Premier League, it can be particularly hard, given the financial implications of no longer playing in England’s top flight. In order to reduce the financial difficulties that can arise from relegation, the Premier League gives the three relegated sides parachute payments, which equate to £90 million, spread over three years. The Premiership relegation odds from Betfair expect to see Cardiff…
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Championship clubs suffering increasing debt threat

Whilst Premier League sides continue to thrive by pulling in huge amounts of revenue each and every season thanks to ticket sales, lucrative television deals and merchandising, things aren’t quite as rosy in the finance departments of many teams in the lower tiers of English football. Accumulated debt in the Championship reached a staggering £1.1 billion last season, nearly double the amount England’s second division currently generates in revenue, so what gives? Despite pulling in £646.4 million in revenue this…
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