The chair of the Independent Football Regulator, David Kogan, says English football must "act before it is too late" to tackle its financial dangers. The IFR's draft 'State of the Game' report found that while English football generated £9 billion ($11.9bn) in revenue last season, 94% of clubs in the top five divisions were loss-making. Thirty-two clubs could not survive more than 30 days without owner funding, and 17 would be loss-making even if their players played for free.
In the report's foreword, Kogan described English club football as simultaneously the "richest, best and most deeply competitive in the world while also standing on the edge of financial disaster." The report forecasts total debt rising above £5bn ($6.6bn) by the end of this season, with net transfer debt of approximately £3.4bn ($4.5bn), at a time when broadcast revenues are predicted to plateau or decline in the next cycle. Kogan told the Press Association: "At the moment, the sun is shining... This is the very moment to address the issues of liquidity and losses and debt."
The IFR's action plan calls for reform of football's distribution mechanisms. It found the average Premier League club earned 8.7 times more than the average Championship club in 2024-25, compared with 2.7 times in 1992-93. Kogan has been involved in discussions between the Premier League and the EFL over a 'New Deal' on funding and cost controls, which includes merit payments tied to league position. Parachute payments, which the report calls "distortive," remain a sticking point, though the report also noted clubs relegated in 2024-25 saw an average revenue drop of £70 million ($92.5m).
To reduce reliance on owner funding, clubs will be required under the IFR's licensing system to commit to an action plan showing how they will meet the 'Appropriate Financial Resources' requirement by 2030.
Source: ESPN Soccer · Summarized by HeadlinesBriefing