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Newcastle Get £18m TV Money Overpayment

7 years ago
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Unless you have been living as a recluse for the last 25 years, you might have heard that clubs in the top division of English football are a little reliant on TV money.

The TV deal for the Premier League is seen as one of the fairest of all the major European leagues, with those getting the least (Cardiff in 2013/14) receiving over 60% of what those (Liverpool) who topped the TV money table got.

Cardiff banked £62,082,302 and Liverpool £97,544,336.

The TV money is handed out on the following basis;

All money earned from overseas broadcasting deals is shared equally between the 20 clubs.

The UK broadcasting money is shared as follows;

50% is shared equally between all clubs.

25% depends on league placing.

25% paid out on how many times you are on TV.

Hence that is why Liverpool banked more than Manchester City despite finishing second, having appeared more times on TV.

However, over at the excellent sporting intelligence where they analyse sport (especially football) finances, they have looked at how the money would be shared based on the customers (viewers) each club attracted over the season.

You could look at it a bit like TV programmes competing for advertisers, you would pay more to advertise during a popular programme than less attractive ones.

The results as you see below are quite striking;

As you can see, the likes of Liverpool and Manchester United would have attracted a massive extra £74m and £70m respectively. While the next four in the table; Chelsea, Arsenal, Manchester City and Spurs would also have benefited to the tune of tens of millions of pounds.

However, every other one of the fourteen clubs, including Newcastle, would have lost cash, an incredible £18m.

The table adds more depressing layers to what has happened under Mike Ashley; broadcasters aren’t as keen to show Newcastle United, then when we are live on TV fewer neutrals and our own fans are interested in watching.

On top of all this, if Newcastle United in the future ever tried to sell the lucrative matchday advertising around St.James’ Park (rather than it going free to Mike Ashley’s empire of brands/businesses) then the reality is that based on the figures in this table, it would be worth less than the same opportunities at Villa, Swansea and…Sunderland.

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