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Coronavirus, Brexit tame Premier League spending
LONDON, Jan 8, 2021 (BSS/AFP) – Premier League clubs shrugged off the
coronavirus crisis to splash out œ1.2 billion ($1.6 billion) in the summer
transfer window but reality is expected to bite in a depressed market this
month.
Since the last window closed in early October, hopes for a large-scale
return of fans have been dashed by soaring infection rates across England,
which have led to another national lockdown.
Football is feeling the strain. Forty positive Covid-19 cases were
discovered over two rounds of Premier League testing in late December and
early January, with three matches postponed.
This led to fears that another season could be interrupted by the pandemic,
with clubs taking a fresh financial hit, even if Premier League bosses insist
the season will continue.
“It’s not the best situation for the whole planet, so why should it be for
a football club,” Liverpool manager Jurgen Klopp said on Thursday.
Other potential revenue streams have also dried up. A plan to televise
matches on pay-per-view to mitigate the loss of matchday income was quickly
dropped after a supporter backlash.
– Buyer’s market –
Clubs on the continent were far more cautious in the summer window, with La
Liga and Bundesliga clubs even running at a transfer surplus.
Premier League clubs found they were unable to offload players for the fees
they had hoped for. The net spend of around œ800 million was the second-
highest on record in a single window and could have consequences for the
market over the next month.
January tends to be a seller’s market, with buyers panicked into improving
their squads after a disappointing start to the season.
However, this time around a number of the biggest Premier League clubs,
including Arsenal, Chelsea, Manchester United and Tottenham, are desperate to
offload players to trim bloated squads and cut wage bills.
United and Spurs have already posted major losses from the 2018/19 season,
when stadiums were open for two-thirds of the season.
Tottenham expect to lose œ150 million in revenue for the 2020/21 season
alone due to the impact of the pandemic on matchday income and the
cancellation of events such as NFL games and concerts.
Chelsea’s œ32.5 million profit for last season came in a campaign when they
were serving a transfer ban and they benefited from œ150 million of sales,
with the departures of Eden Hazard and Alvaro Morata.
The œ220 million the Blues spent in the summer is not reflected in those
figures and sales are the priority over signings at Stamford Bridge despite a
run of one win in six league games.
– Brexit effect –
The impact of Covid-19 is not the only factor limiting clubs’ options this
month, with new Brexit rules on work permits for European Union nationals
coming into force on January 1.
West Brom boss Sam Allardyce was the first top-flight manager to express
his frustration at the new rules, with three of his transfer targets ruled
out because they would not pass the new points-based system.
Points will be awarded for senior and youth international appearances, club
appearances and the pedigree of the selling club.
Major signings should not have any trouble fulfilling the criteria but the
new system will have a radical impact on clubs’ ability to recruit young
players from Europe.
Britain no longer benefits from an exception to FIFA’s rules that allows
youth players to sign for clubs in another EU state, under which Cesc
Fabregas and Paul Pogba first came to England.
– Liverpool to make a move? –
Just 10 points separate leaders Liverpool from Leeds in 12th in the most
wide open title race for many years.
Manchester United and Manchester City would overtake the champions at the
top if they win their games in hand.
Klopp admitted in normal circumstances he would definitely be in the market
for a centre-back this month after losing Virgil van Dijk and Joe Gomez for
the rest of the season and with Joel Matip also currently sidelined.
However, the economic impact of empty stadiums may force him to make do
with a defence patched up by midfielders Fabinho and Jordan Henderson playing
out of position.
“You have three senior centre-halves all injured – is that a situation
where usually we would do something? Yes, definitely, but we are not in that
situation so I don’t know if something will happen or not,” Klopp added.
“We have to deal with the situation like we did it so far and we have to
get through this.”
BSS/AFP/GMR/0918 hrs