London Daily

Focus on the big picture.
Friday, Jul 10, 2026

Why Super League plan makes financial sense for top clubs

Why Super League plan makes financial sense for top clubs

Sports fans love a bit of jeopardy - a nail biting contest which can end in glory or defeat. But business owners generally hate all of that.

Owners and business managers of football clubs have a peculiar problem.

As one former chief executive of a Premier League club told me: "I won't know till the last day of the season if my budget for next year is going to be £170m or £70m."

That is not only almost impossible to manage, it has another very important consequence. Businesses with steady revenues are worth a lot more than ones with erratic earnings.

In business terms it's known as getting a higher "multiple" - volatile businesses are worth as little as five times average annual earnings, whereas steady ones are worth up to 20 times or more.

Giants v minnows


This is what the European Super League is all about - making the clubs involved worth more by eliminating the jeopardy of being relegated or missing out on Champions League qualification.


This is the moment many football team owners have been waiting for - particularly the American owners of Liverpool, Manchester United and Arsenal - who know for themselves how much more stable and therefore valuable are the earnings of American sports teams.

The backers of the Super League say that the existing Champions League was a poor product - too many meaningless one sided games between minnows and giants of European football before it got interesting.

They also argue that a more stable financial top to the football pyramid is needed to ensure the cascade or trickle down to the smaller clubs that they promise will increase as a result of this.

But many sports fans would argue the prospect of a romantic giant killing in Real Madrid's Bernabeau stadium or Old Trafford is an essential part of the game - while regular meetings between the great clubs normalise and make humdrum what was once an exotic and rare event.

The backers have told the BBC this is not another extreme form of negotiation to make Uefa cave to the big clubs' long-standing demands for more control of the world's most prestigious club event - "this is really happening, it's on, even if Uefa backs down".


If it does it will have far reaching implications for the existing leagues around Europe.

Finishing in the top four of the Premier League is the biggest prize in English football. The six teams joining the Super League have realised that six doesn't go into four - two miss out every year.

'Cynical'


Not any more. An insider at the Super League admitted that the plan will seriously dilute the value of the Premier League as a product - the race which is one of its key attractions will be meaningless.

We have been down this road before and the former Premier League chief executive suggested that the pandemic had provided a window of opportunity for a very radical proposal that would not have a chance of succeeding in normal times.


"There is a cynical opportunism to this," he said. "They realise that things are chaotic right now and that in many ways - anything goes."

But he added: "Football is about two groups of people. Players and fans. You upset them at your peril.

"If fans decide to boycott the matches, that will be a financial disaster, and if Fifa threatens to ban participating players from representing their country in the World Cup - they won't go for it."

If you like jeopardy, the stakes don't get much higher than this.

Newsletter

Related Articles

0:00
0:00
Close
University College London Report Proposes Replacing Council Tax and Stamp Duty With National Property Tax
Treasury Places Amazon, Google, Microsoft and Oracle Under New UK Financial System Oversight Rules
Severe Heatwave Drives Dangerous Ground-Level Ozone Pollution Across Two Thirds of European Union
Westminster in Freefall as Farage's By-Election Gamble Triggers Broader Systemic Crises
Institutional Fractures and Political Volatility Reshape Britain's Domestic Landscape
Deadly Fire, Health Emergencies and Political Upheaval Shape a Volatile Global News Cycle
UK Energy Strategy Focuses on Storage and Offshore Wind to Support Renewable Transition
Regional Governments Gain Greater Role in Britain’s Infrastructure and Economic Strategy
Britain Strengthens Technology Sovereignty Through Tougher Artificial Intelligence Competition Rules
UK Government Expands Artificial Intelligence Use Across Public Services Despite Privacy Debate
UK Universities Warn of Financial Pressure After Sharp Fall in International Student Enrolment
Welsh Government Completes Rail Nationalisation With One Point Five Billion Pound Modernisation Plan
Northern Ireland Records Export Growth as Companies Benefit From Dual UK and EU Market Access
Greater Manchester Launches Two Billion Pound Plan to Convert Empty Commercial Sites Into Housing
National Grid Connects Europe’s Largest Battery Storage Facility in Yorkshire
UK Defence Ministry Plans Royal Navy Autonomous Fleet Deployment to Indo-Pacific
Scotland Approves Europe’s Largest Floating Offshore Wind Project Near Aberdeen
Competition and Markets Authority Blocks Forty Billion Pound Technology Deal Over AI Security Concerns
UK Launches Five Hundred Million Pound Artificial Intelligence Network for National Health Service Diagnostics
Bank of England Signals Possible Interest Rate Cuts After Inflation Falls Below Target
UK Government Unveils Major Wealth Tax Reform to Fund National Health Service Infrastructure Expansion
Flight Instructor Jumped to His Death — Student Landed the Plane: "You Know What You Need to Do"
The Physical and Electronic Barriers Disrupting Domestic Wireless Networks
France and Morocco Open World Cup Quarter-Finals as Collina Defends Refereeing
Prince Harry Suffers Major Court Defeat in Legal Battle Against Daily Mail Publisher
Bonnie Tyler, Welsh Singer Behind Total Eclipse of the Heart, Dies at 75
Barclays and PwC Report Examines Economic Opportunities from Financial Asset Tokenisation
Pound Sterling Strengthens as Investors Anticipate Further Bank of England Rate Increases
British Business Bank Invests Twenty-Seven Million Pounds in Kraken Technology Defence Expansion
UK Business Secretary Peter Kyle Backs State Investment Strategy Inspired by US Approach
UK Electricity System Issues Margin Notice as Heatwave Tightens Evening Supply Outlook
Labour Leadership Contest Opens as Andy Burnham Emerges as Expected Sole Candidate
Tech Pulse: The Future of AI and Screen Culture
Global News Briefing: Escalating Geopolitical Tensions and Corporate Shakeups
Global News Brief: Escalating Conflicts, Public Health Crises, and World Cup Drama
Rare Early Copy of US Declaration of Independence Found in British Archive
Cornish Language Revival Gains Momentum Through Schools and Community Programs
UK Authorities Face Criticism Over Prisoner Early Release Safeguards
Clacton By-Election Set After Nigel Farage Resigns Seat to Trigger Contest
Government Agencies Review Long-Term Fiscal Risks from Aging Population and Low Productivity
UK Heatwaves Expose Pressure on Public Transport and Housing Infrastructure
UK Government Prepares Welfare Review Amid Debate Over Personal Independence Payment Reform
UK Government Expands Rapid Endometriosis Testing Across NHS Services
Vistry Group Issues Profit Warning as UK Housing Market Faces Continued Pressure
Virgin Media Receives Record Twenty-Eight Million Pound Fine Over Contract Cancellation Failures
Office for Budget Responsibility Warns UK Public Finances Face Long-Term Pressure
UK Watchdog Warns Regional Income Gap Has Barely Narrowed in Three Decades
IMF Raises United Kingdom Growth Forecast as Inflation and Energy Pressures Ease
UK Government Launches Regulatory Reform Bill to Speed Up Commercialization of Innovation
Prince Harry Loses Privacy Lawsuit Against Daily Mail Publisher After High Court Rejects Claims
×