Dr Dan: Leeds United relegation bonus clause benefits club more than players
We’re delighted to welcome football finance expert Dr Daniel Plumley as our exclusive columnist. Each week he’ll be giving his views on the biggest talking points at Leeds United...
Leeds United are in good financial shape even if they’re giving £48million to players for avoiding relegation.
That’s according to Dr Dan Plumley who claims that the model Andrea Radrizzani has implemented along with director of football Victor Orta benefits the club more.
He believes that the revenues generated from being in the English top flight trump those of the EFL Championship.
According to the Athletic’s Phil Hay, £48million will be paid to the players in case the Whites avoid relegation next season as well.
Discussing these numbers with MOT Leeds News, the Sheffield Hallam University expert said,
“£48million is offset by the cost of the club. Then your revenues would be higher than they would in the Championship.
“From a cost-benefit point of view, you’re still winning.
“I think it’s how you have to operate with player contracts.
“The gap between the two leagues is too high to not consider and throw all your eggs into one basket.”
Leeds posted a pre-tax profit of £26 million for the 2020-21 season which was only their second annual profit in the past 10 years.
They’re set to avoid relegation this season so the numbers will be similar for the next financial year as well.
In other Leeds United news, the Whites are leading the race to complete a major signing and have already opened talks to seal a £25m deal.