Contact: Amy Thompson
Deloitte & Touche
+44 (0)207 303 3861
The first edition of the Deloitte & Touche Comparative Review of Sports Finances shows that clubs
from every major UK team sport can further improve their business by learning from the experiences
of other sports. Deloitte’s report compares, based on a sample of clubs, financial and business
aspects from County Cricket, the Rugby Union Premiership, Rugby Super League, Football League
Division One in England and the Scottish Premier League.
Whilst there continues to be a huge focus on football finance, there is now an increasing amount of
interest in the business of other sports. Gerry Boon, Head of Deloitte & Touche Sport, the Sports
Business Consultancy, observes "UK football may still lead the commercial race, in terms of income
generation, but there are definitely some areas in which it can learn from other sports. The disciplines
imposed on the clubs in Cricket and both codes of Rugby have a positive influence on the financial
balance."
Boon commented further "There are many commonalities amongst the commercial demands and
political complexities faced by clubs and governing bodies in the UK’s main team sports. The triumph
and disaster, the honour and the glory, that creates the unique fan interest and loyalty continue to be
fundamental for a robust and successful industry. However, in equal measure, the commercial realities
also need to be addressed."
Boon picks out controlling salary costs as an example "This year there has been a convergence of
views across football to address the issues around football’s cost base." Recently, both the English
Football League and the G-14 have announced proposals for systems of cost control.
In the season ending 2001, the average Division One club was in deficit as soon as its wages were
paid out (with a wages/turnover ratio of 101%). For Scottish Premier League clubs the average was
91%. Aided by growing incomes and the salary cap, the average Rugby Union Premiership club had a
ratio of 68