Man Utd denied Money League top spot by currency decline

MANCHESTER United’s hopes of returning to the pinnacle of football’s wealth league was thwarted by the slump in the value of the pound against the euro, a new study revealed today.

The Reds won both the European Cup and the Premier League title last season, and would have toppled Spanish giants Real Madrid but for the effect of the 15% slump in the value of the pound between June 2007 and June 2008, analysts at Deloitte said.

Dan Jones, a Manchester-based partner at Deloitte and the editor of the annual global Football Money League report said: “Last year we said United would topple Real Madrid it if they had a successful season on the pitch, and they did, only to be undone by the currency movements.

 “I’m not sure they’ll be too upset though as they are still much more profitable than Real Madrid.”

United’s turnover for the season 2007-8 was £257.1m, Real Madrid’s £289.6m and third placed Barcelona £244.4m.

The club’s three big Premier League rivals, Chelsea (£212.9m), Arsenal (£209.3m) and Liverpool (£167m) make up fifth, sixth and seventh place. Local rivals Manchester City are just included in the league table – in 20th place with £82.3m turnover, thanks to a rise in TV revenue last season.

Mr Jones said more English teams – nine, rather than seven, would have made the Money League without the impact of currency movements.

In 2007/8 Deloitte said the combined income of the top 20 clubs grew 6% to £3.1bn.

Despite the global economic downturn, revenue growth in football is forecast to be resilient – particularly on the back of continued growth in media incomer, as
evidenced by last week’s latest Premier League domestic broadcast deal.

Clubs’ match attendances are holding up well and clubs across Europe, but one area of concern, according to Dan Jones, is commercial and corporate revenue streams.

“The big test for clubs for the next couple of months is how they price for next season. I think they are going to have to work harder to sell corporate seats and sponsorship because the wider economy is so tough.”

Mr Jones’ colleague Paul Rawnsley says English Premier League clubs – thanks to the strength of the collective TV rights deal – remain better placed than their European rivals.

“The English Premier League currently generates the highest level of broadcast rights value of any football league in the world.  Despite the challenging economic environment, the Premier League has just secured a record value for live domestic broadcast rights for the seasons 2010/11 to 2012/13, up 4% to £1.782bn.

“Given the worldwide popularity of the Premier League there is likely to be further uplift in value from overseas rights when they are marketed later this year.”