Dan Jones, partner in the Sports Business Group at Deloitte, commented: “This summer transfer window has again been one of records with Premier League clubs spending more than in any previous transfer window. Gross spending of £835m by clubs across the league has broken the record set last summer by over £200m. This summer has also seen the highest gross spend in a single transfer window by a single Premier League club and a new record transfer fee for an individual player in English football.
“In a summer where the world’s best players were on show at the World Cup we have again seen how Premier League clubs are able to successfully compete on a global stage in terms of attracting talent. We continue to see the increased resources that Premier League clubs enjoy, as a result of improved broadcast deals, translate into investment in players. Last season the average Premier League club received over £25m more in central broadcast distributions than they did in 2012/13, which has helped fuel a new record spend this summer.
“With Premier League clubs in a stronger position to afford increased transfer and player costs than ever before, the key challenge remains pursuing their ambitions responsibly. Regulations are now in place at both a league and continental level encouraging clubs to balance their costs with revenue. We hope that while increased revenues continue to allow the league to attract top players, they will also result in a more profitable picture across the league in the years to come.”
Some of the key findings from the analysis by Deloitte include:
Basis of preparation
The information on player transfers is based on publicly available information in respect of player registration acquisitions by clubs, including from www.bbc.co.uk and www.premierleague.com, and further analysis carried out by the Sports Business Group at Deloitte. The information is based on reported transfers as at 01:00 on 2 September 2014. Further commentary about the transfer market is included in the Deloitte Annual Review of Football Finance. The figures contained in this release will not necessarily be the same as the cost of acquiring players’ registrations as recognised in the financial statements of each club. Under accounting requirements, the cost of acquiring a player’s registration includes the transfer fee payable (including any probable contingent amounts), plus other direct costs such as transfer fee levy and fees to agents.
About the Sports Business Group at Deloitte
Over the last 20 years Deloitte has developed a unique focus on the business of sport. Our specialist Sports Business Group offers a multi-disciplined expert service with dedicated people and skills capable of adding significant value to the business of sport. Whether it is benchmarking or strategic business reviews, operational turnarounds, revenue enhancement strategies or stadium/venue development plans, business planning, market and demand analysis, acquisitions, due diligence, expert witness, audits or tax planning; we have worked with more clubs, leagues, governing bodies, stadia developers, event organisers, commercial partners, financiers and investors than any other adviser.
For further information on our services you can access our website at www.deloitte.co.uk/sportsbusinessgroup
About Deloitte
In this press release references to Deloitte are references to Deloitte LLP, which is among the country's leading professional services firms.
Deloitte LLP is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee, whose member firms are legally separate and independent entities. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms.
The information contained in this press release is correct at the time of going to press.
For more information, please visit www.deloitte.co.uk.
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