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Uefa labels 36 per cent increase in annual losses 'the last wake-up call' for Europe's elite
According to the latest club licensing report, which covers 2010, the continent’s finest recorded an overall loss of €1.6 billion, underlining the need for cost-cutting measures
26-Jan-2012 2:11:00 AM
By Mark Doyle
Getty
Uefa general secretary Gianni Infantino has said that the 36 per cent increase in reported annual loses among Europe’s top-flight clubs represents “the last wake-up call” for those still opposed to the introduction of Financial Fair Play (FFP).
According to Uefa’s latest club licensing report, which covers 2010, the continent’s finest recorded an overall loss of €1.6 billion.
As a result, Infantino believes that there can now be no debate over whether FFP is essential for the future of Europe’s top clubs.
“You will see today some very worrying figures,” he told reporters at Uefa headquarters in Nyon, Switzerland.
“This is the last wake-up call for those that have not realised that FFP will happen. You will see the figures and see something has to be done.”
Infantino acknowledged that while total revenue is growing within the European game, the losses are growing even faster.
“That is why I say this is the last wake-up call for European football,” he pointed out. “This red trend has to be inverted very, very quickly if we want to save European football.
“Net losses have increased in European football every year since 2006. Income has grown but so have losses.
“In two years from 2008 to 2010 net losses have increased by €1bn. In 2006 losses were just €216m.
“If this is not enough to tell us that we need to act, and act quickly, then nothing will.”
The one success story on the continent is the Bundesliga. German clubs agreed to implement cost-cutting measures 18 months ago and the benefits are now being felt.
The Bundesliga’s annual report for the 2010-11 season boasts a record revenue figure of €2.23bn. In addition, the championship also posted a profit of €52.5m.
"The measures for an improved cost control approved by the clubs in August 2010 have borne fruit,” Bundesliga chief executive Christian Seifert is quoted as saying by ESPN.
"With that, professional football continues to have a strong outlook of remaining a success story, also because the Bundesliga is as popular as never before with fans, sponsors and media partners."
As part of Uefa's FFP regulations, clubs must bring their football-related expenditure under control over a three-year period or run the risk of points deductions, transfer embargoes or expulsion from European competition.
According to Uefa’s latest club licensing report, which covers 2010, the continent’s finest recorded an overall loss of €1.6 billion.
As a result, Infantino believes that there can now be no debate over whether FFP is essential for the future of Europe’s top clubs.
“You will see today some very worrying figures,” he told reporters at Uefa headquarters in Nyon, Switzerland.
“This is the last wake-up call for those that have not realised that FFP will happen. You will see the figures and see something has to be done.”
Infantino acknowledged that while total revenue is growing within the European game, the losses are growing even faster.
“That is why I say this is the last wake-up call for European football,” he pointed out. “This red trend has to be inverted very, very quickly if we want to save European football.
“Net losses have increased in European football every year since 2006. Income has grown but so have losses.
“In two years from 2008 to 2010 net losses have increased by €1bn. In 2006 losses were just €216m.
“If this is not enough to tell us that we need to act, and act quickly, then nothing will.”
The one success story on the continent is the Bundesliga. German clubs agreed to implement cost-cutting measures 18 months ago and the benefits are now being felt.
The Bundesliga’s annual report for the 2010-11 season boasts a record revenue figure of €2.23bn. In addition, the championship also posted a profit of €52.5m.
"The measures for an improved cost control approved by the clubs in August 2010 have borne fruit,” Bundesliga chief executive Christian Seifert is quoted as saying by ESPN.
"With that, professional football continues to have a strong outlook of remaining a success story, also because the Bundesliga is as popular as never before with fans, sponsors and media partners."
As part of Uefa's FFP regulations, clubs must bring their football-related expenditure under control over a three-year period or run the risk of points deductions, transfer embargoes or expulsion from European competition.
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