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Friday, May 24, 2013

Greedy Arsen Winger: Playoff winners to earn $182m


LONDON (AFP) – The winners of Monday’s Championship play-off final between Crystal Palace and Watford can expect to receive £120 million ($182 million) if they are relegated from the Premier League after just a season in England’s top flight.
Often billed as the ‘richest match in football’, the play-off final has been given extra financial clout by the new improved Premier League television deal, which will see clubs in the top division collect £55 million a year.

The new deal will also increase parachute payments to relegated clubs, meaning that if either Palace or Watford go straight back down to the Championship they will still earn in the region of £120 million.
Financial analysts Deloitte said the Eagles and Hornets will be playing for “the biggest financial prize in world football” at Wembley.
Adam Bull, senior consultant in the Sports Business Group at Deloitte, added: “The winners can expect a revenue increase of more than £60 million in 2013-14.
“The vast majority of this uplift, approximately £55million, will be from broadcast income as the Premier League enters the first year of its greatly-enhanced three-year TV deals.
“Based on existing distribution methods, even if a club is relegated after one season in the Premier League, it will be entitled to parachute payments over the following four seasons of around £60m.”
During the past decade, 17 of the 30 promoted teams have managed to remain in the top flight after their first season.
Bull added: “The continued increase in the value of promotion to the Premier League provides newly promoted clubs the opportunity to make strategic investment on and off the pitch.
“Inevitably, the short-term priority is usually investment in the playing side of the business, but clubs need to also look to the medium and long-term.”

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