Manchester City has announced that they have achieved a new Premier League milestone, they have posted the worst losses for any club in a single year, at a sum of £194.9 million. The team owned by Sheikh Mansour currently sits on top of the Premier League table, and seems to show that better performance (and potentially championships) can be won by just dumping money into a team. UEFA has now implemented a “Fair Play” financial rule requiring teams to be more financially responsible if they are to be allowed to play in confidential competitions such as Champions League and the Europa League. Man City’s losses would have gotten them banned in future years, but because the losses come before the accounting window begins, they are safe for now.
The ESPN soccernet article linked above did note that the change in financing has taken consistently mid-table Man City to top of the table, and while costs have increased, so has revenue.
The Blues are also pointing out that commercial revenue has risen 49.7% to £48.5 million and TV rights, thanks to the club’s third place Premier League finish, winning the FA Cup to end a 35-year trophy drought and a run to the last 16 of the Europa League, have increased 27.4% to £68.8 million.
The question is, will Man City be able to keep up their performance in future years with more limited ability to spend money because of the “Fair Play” rules.