Nine Championship clubs (including Leicester City) could fail first Financial Fair Play test

[Foxblogger]

This is something I've been working on for months and spent a little while discussing on the Football Forum earlier in the week.

It's a documentary on Financial Fair Play and the impact it's going to have on the Championship. There are interviews with Tad Detko, Finance Director at the Football League, Ian Stringer, Ian Bason of the Foxes Trust, the General Manager at Barnsley, Don Rowing and an academic who is an expert in Football Finance, Dr John Beech.

You can also see some of the staggering losses being made in the division at the moment. Hope you find it interesting and if you have any questions just give me a shout.

http://mikejmccarthy.wordpress.com/2012/10/19/nine-championship-clubs-could-fail-first-financial-fair-play-test/

[ADK]

I'm sure we'll fail this years but as there isn't a penalty it dosn't matter

[Happy Fox]

Their are no penalties imposed this year only from next year if we are in the championship, but if we are promoted than we will be fine, and if not we are cutting the wage bill.

[cc_star]

Their are no penalties imposed this year only from next year if we are in the championship, but if we are promoted than we will be fine, and if not we are cutting the wage bill.

We've already cut it a lot & people still spent the whole summer moaning that we weren't splashing out like Forest & Blackburn were perceived of being.

Whilst there are obvious reasons behind this & it's in everybody's interest to have sustainably ran clubs, it all makes any promoted clubs job of staying in the Premiership even harder, because too many signings will need to be made in that first summer to even have a chance, whereas clubs that go in the red & go up will probably have a smattering of Premier talent already on their books.

[SMX11]

Middlesbrough -30mil **** me

[MC Prussian]

Hey, QPR spent £25m in their last season in the Championship and it got them promoted.

[Jonaldinho]

Middlesbrough -30mil **** me

That's over an 18 month period, but is still ridiculously high.

[Leicester_Numan]

We were bound to fail this one as it's the 2010-11 finances, we'll fail the next test with last seasons as well. I think we'll be on target or close to it with this years

[MrSpaM]

Think this part is important

"Clubs will be able to offset some losses against investments in youth development, facilities and community programmes"

Is this why we've been doing the training ground up?

[Mark_w]

I'm sure we'll fail this years but as there isn't a penalty it dosn't matter

Just because there aren't any penalties this year, doesn't mean 'it doesn't matter'.

[Deucalion]

Those figures just show how the playing field is tilted in favour of those with parachute payments. It's not surprising clubs borrow money to give themselves a chance of competing.

Another way round this is to increase turnover. Maybe it should be an entry requirement on entering Thailand to buy a City shirt?

Sounds good to me!

[Jace]

Next season will say £187,563,198.00+ profit King Power accounts Thailand hopefully....

[marty78]

Interesting to see Leeds' figures with the shit that gets levelled at Bates.

[Jace]

*

[Leicester_Numan]

Think this part is important

"Clubs will be able to offset some losses against investments in youth development, facilities and community programmes"

Is this why we've been doing the training ground up?

That's certainly part of it but also it's the one area of investment that having rich owners can make a big difference under FFP rules as there's no restriction on it

[Foxblogger]

That's certainly part of it but also it's the one area of investment that having rich owners can make a big difference under FFP rules as there's no restriction on it

Yeah the 2011/12 accounts will include the £4m spent on things like the new pitch, HD screens at the ground, investment at the training ground etc.

[jamesmilner]

omg , the training ground was improved as it wasnt up to (and still isnt up to ) the right standard for progression we need ,we needed the work done to play in a league we wanted to qualify for , we failed miserably and was rejected . you all know that ! how can you just "make up " it had money spent on it to off set debt to make you feel better and it be better in terms for the club ? it isnt the truth is it ?

[Julian Joachim Jr Shabadoo]

By the time the penalties are being enforced, Pearson (assuming he's still here) will have a few more of the highest earners off the wage bill - the amount of players he's already released/sold will have helped massively already

Think Filbert might have to start eating Asda Smartprice fox food too