Championship play-off winner to collect £160m revenue boost

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The winner of tonight’s Championship play-off final will score up to £160m in additional revenue over the next three seasons, with contenders Brentford and Fulham competing in the most valuable match in world football, according to Deloitte

The firm’s analysis indicates Fulham could see a £135m boost in revenue across the next three seasons, with Brentford in line for around £160m.

Leeds United and West Bromwich Albion have already achieved automatic promotion from the Championship, and the four new entrants stand to benefit by around £265m if they avoid relegation in their first season in the Premier League.

This year’s Play-Off final sees Fulham, who are looking to regain a place in the Premier League after being relegated at the end of the 2018/19 season, take on Brentford, who are seeking to play in the top flight for the first time in 73 years.

Brentford would benefit more significantly from the win, alongside champions Leeds, due to the fact they do not currently receive Premier League parachute payments.

Fulham are currently in receipt of parachute payments, following relegation in 2019, therefore forgoing any future payments upon promotion to the Premier League.

As a result, Brentford and Leeds can expect a minimum revenue uplift of some £160m over three years, if relegated from the Premier League after just one season.

This is a combination of extra revenue they will earn from playing in the Premier League in 2020/21 (at least an extra £85m, mostly from central broadcast distributions) and parachute payments in 2021/22 and 2022/23 should they be relegated in 2021 (totalling £75m across the two seasons).

These estimates assume that the next cycle of Premier League broadcast rights, due to commence at the start of the 2022/23 season, deliver at least the same value as the current rights cycle.

Given that Fulham would forego a second parachute payment if promoted to the Premier League for 2020/21, their minimum revenue uplift would be £135m.

Promoted clubs surviving their first season in the Premier League could see this figure rise to at least £265m, from a second season of Premier League football alongside the guarantee of a third year of parachute payments, Deloitte calculates.

In the last 10 seasons to 2018/19, 19 (63%) of the 30 clubs promoted to the Premier League have avoided relegation in their first season.

Last season was the first in five years where the Championship winners did not avoid first-year relegation.

Tim Bridge, director in Deloitte’s sports business group, said: ‘The financial prize for Brentford or Fulham, as well as Leeds United and West Bromwich Albion, is likely to be in excess of £265m if they survive their first season in the Premier League.

‘Furthermore, given the recent impact of Covid-19, it is likely that the financial impact of promotion will be better received than ever before. The increased revenue provides these clubs with the platform from which they can develop on and off the pitch.’

Pat Sweet | Reporter, Accountancy Daily [2010-2021]

Pat Sweet was the former online reporter at Accountancy Daily and contributor to the monthly Accountancy magazine, pub...

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