Premier League clubs' combined pre-tax losses surged by 600% to £948m in the 2024-25 season, up from £135m in 2023-24, according to Deloitte's annual review of football finance. Net debt also increased to £3.6bn from £3.5bn the previous season.
Drivers of the Losses
Deloitte attributed the sharp rise to increased transfer spending and the absence of significant profits from one-off sales. The financial services firm noted that the losses highlight the growing financial pressures on top-flight clubs despite record revenues.
Championship Clubs Also Struggling
In the Championship, pre-tax losses rose 12% to £355m, with only three clubs reporting a pre-tax profit in 2024-25. The revenue gap between the Premier League and the second tier remains vast: Premier League clubs earned £6.8bn compared to £942m in the Championship, which represented a 2% decline in revenue for second-tier clubs versus the previous season.
Revenue and Regulatory Context
Overall, the European football market grew 6% to €40.2bn (£34.4bn) in 2024-25, the first season featuring Uefa's expanded men's club competitions. However, discussions over a 'new deal' to redistribute television revenue more equitably between the Premier League and the English Football League have stalled since 2024. The Independent Football Regulator may have 'backstop' powers to impose a settlement if a deal cannot be agreed.
Tim Bridge, lead partner in the Deloitte Sports Business Group, said: 'Upcoming regulatory changes could support future improvements, but the focus must now shift to stronger commercialisation and sustainable growth, or a plan to bridge the gap to the Premier League to unlock the huge amount of value within football at all levels.'
Sustainability Concerns
Deloitte expects revenue to plateau and potentially fall in the years ahead. Bridge warned: 'The expansion of Uefa and Fifa competitions has delivered financial benefits across Europe's 'big five' leagues, but football cannot rely on simply adding more content to deliver sustainable growth. An increasingly saturated market may not be good for players or fans, particularly if it weakens the on-pitch spectacle. This approach, without a collective mindset from all rights-holders, risks prioritising short-term gain over long-term prosperity.'
He added: 'European football has forged the dominant position on the world stage, but as US sports consider moves to the European market, and competition from other entertainment businesses intensifies, there are undoubtedly challenges ahead. Now is the time for leaders to concentrate on diversifying business models, while collaborating with others on a shared plan for the future. Strong leadership and innovation, underpinned by fit-for-purpose regulation are paramount.'
