Yesterday we looked at the match day revenues of clubs in the Premier League and the huge gap between the big clubs like Manchester United and Arsenal and the smaller clubs like West Brom and Fulham.
Clubs with the highest gate and match day revenue should be able to afford the best players and they can afford their huge salaries.
As you can see, some what we would call in the U.S., small market teams, are seeing their wage bill cover chew up a dangerously high percentage of their income (turnover).
Team Wages Wages as % of turnover
Arsenal £101.3 45%
Aston Villa 50.4 66.7%
Blackburn 39.7 70%
Bolton 39 66%
Chelsea 149 68%
Everton 44.5 59%
Fulham 39.3 73%
Hull 6.9 77%
Liverpool N/A
Man City 54.2 66%
Man United 121.1 47%
Boro 34.8 73%
Newcastle 74.6 74%
Portsmouth 54.7 78%
Stoke 11.9 106%
Sunderland 37.1 58%
Spurs 52.9 46%
West Brom 21.8 80%
West Ham 44.2 76%
By comparison the national Football League spends between 57- 59.5% of its revenues on player costs.
Premier League teams in the 70% range cannot substain that. Either the club goes bust, or the team has to be sold to an owner with deep pockets
Data Source: The Guardian
