Home Technology Top Stories Business Most Featured Sports Social Issues Animals News Fashion Crypto Featured Music & Pop Culture Travel & Tourism

5 Biggest Football Clubs in Europe Sinking Under Heavy Debt

Author Avatar
By Dewey Olson - - 5 Mins Read
Barcelona fans waving fans in a staduim
Pexels |

The financial consultancy firm Deloitte released the annual report of the clubs with the highest debt. According to their records, Barcelona has the highest debt load of all the European football clubs. 


Mismanagement and the impacts of the COVID-19 pandemic are the main causes of the astounding debt of €1.35 billion.

A team's ability to compete in the transfer market might be hampered by debt. Instead of having specific regulations that must be observed, financial fair play is based on undefined guidelines.


However, before they start approaching the brink of bankruptcy, a club can only spend so much money. Let's examine the clubs with the highest debt levels in Europe before the transfer market opens in June.


Heung-Min Son of Tottenham looking disappointed during a match
Heung-Min Son of Tottenham (Shutterstock)


1. Tottenham — Total debt: £1.2 billion

Tottenham recently completed the construction of a new stadium, and huge sums of money were spent on it. Covid-19 waves occurred when it was time to recoup. Matchday revenue has decreased as a result of games being played behind closed doors.


According to numerous estimates, Tottenham Hotspur has a £1.2 billion debt. Despite not having won any awards since 2008, the club has experienced many financial issues. Due to significant debt, they are about to agree on a stadium name right transaction. It will provide the club with a financial boost.


2. Barcelona — Total debt: £1 billion


FC Barcelona is the team that experiences the most hardship both before and after the outbreak. Despite being the wealthiest club, their debt and financial woes drag them down. The club's wage structure is one of the factors contributing to the club's massive debt.


Barcelona was paying football's top players millions of euros every year in contracts. They sign players to expensive contracts and loan them money to win the UCL. Their record signings do not demonstrate their talent. To reduce its labor costs, Barcelona ultimately sells these players for low prices.


The predicament under Joan Laporta worsens as the club is forced to sell Leo Messi, its star player, to register their summer acquisitions. Pay cuts for players and a staff debt of about £180 million make the situation worse for Barcelona right now.


3. Real Madrid — Total debt: £651 million


Real Madrid is still the wealthiest team in football, despite being in debt and attempting to launch the European Super League. The team was able to surpass its rivals thanks to its earnings from the previous two seasons.


Real Madrid makes an offer by using money it has saved from two summer shopping seasons. for Kylian Mbappé, a forward for PSG. To purchase him, Los Blacons made an offer of 160 million euros. PSG, though, objected. The decision to spend more than 100 million euros on Eden Hazard is Real Madrid's lone regret.



4. Manchester United F.C — Total debt: £535 million 

Man Utd is one of the world's wealthiest football teams and among the top 50 teams in terms of revenue generated by the sport. Because of the COVID-19 pandemic, the club had a 92.1% decline in broadcast revenue.

The premier league giant currently owes £535 million, a figure that was down at £477.1 million. However, all is not bad for the Reds, as ticket sales have been reaching record levels. The club is looking toward new sponsorship and has also taken a look at curtailing expenditures to handle the current financial situation.


5. Newcastle United — Total debt: £338 million

The £338 million net debt that Newcastle United has is far higher than the £100 million debt that Mike Ashley, the club's new owner, inherited when he took over in 2007. To create it, he does not intend to sell it. Mike spent $140 million to purchase the club, anticipating a £70 million debt, but instead found a £100 million shortfall. Thus, he had to pay an additional £30 million.