The harsh reality of Premier League relegation

Relegation, every Premier League team dreads relegation. Not just for the loss of exposure or loss of pride, but for the loss of revenue.

The loss of funds relegation brings can be catastrophic for some clubs. So how much does relegation from the Premier League cost?

Abhishek Raj writes, Philippe Fenner illustrates.

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#PremierLeague #Relegation

[jubs]

You summed up Everton's positon perfectly. With our insane wage bill and new stadium there would be literally no money left in the championship. Lucky for us were in the best position to avoid the drop at the moment, I just hope and pray we dont bottle it against Bournemouth.

[bigbearrecordingstudio]

It's insane how Leicester miraculously won the league what seemed like only yesterday

[dentonyoung]

Basically, if you get relegated and don't bounce back right away, once that third year hits you're just another team battling it out in the Championship. Look at Stoke City, for instance. Once they couldn't bounce back in the first two years, the last of the parachute payments was in year 3 and now they're not going to come back for a long while.

[DJVmGOD]

Sunderland might even be another example. That club should've went down many years before they even did, and by time they did, it really damaged the club, to the point it took them years to get to where they are now, but if you look at it in context, they're in a far better position, then they were before. Relegation can hurt clubs for sure, but it's always looked at in a negative light, when there are positive lights there too.

[osheafoster]

Leeds going from UCL Semis in 01/02 to being relegated in 03/04 is nuts

[DJVmGOD]

Burnley is another example where relegation can help a club, rather than put it under huge disadvantage. Sure, they got destroyed by Man City, but come on. It's Man City honestly. Burnley were stuck playing a certain way, as it helped them win matches. Now, they're got more about them, and could be ready for the step up. As I'd argue that bottom half of the PL is very beatable for some clubs in the top half of the Championship.

[mashu]

Relegation also hurts for the large number of ordinary employees when they're made redundant by the club due to the deplorable effort and incompetence of the first team football squad

[DJVmGOD]

While I get this, at the same time, relegation can help save a club that's just pushing along and doing the wrong business. If my club Newcastle didn't go down when we did, we would've still had certain poor players in the squad that needed shifted out. A year in the Championship also helped solidify us better under Rafa, and got his play style and such ready to go. Yes, finance wise, would've see a major drop off. But that relegation in effect, bettered us in the long term.

[Matthew-bufg]

As Forest fans, part of the lure of promotion was "well if we go down first season back then we at least get the parachute payments for the following season" sad but true.

[leobestbote]

Wow these Tifo pieces are just what I need every single morning before I start work, thank you guys for these whenever you produce them, thank you so much

I didn't know that a club getting relegated slashes their TV revenue by that much damn it makes sense why clubs celebrate relegation survival like it's winning a title, yess staying in the top flight is great and prestigious and all but the financial impact to dropping is really really devastating, l salute those club who bounce back immediately

[nikotesla]

Great video! Could you do a version on how much not being in the Champions League (or other European competitions) affects or benefits any given team?

[lwandomadikizela]

Relegation is what keeps most leagues engaging and the the financial repercussions it brings to a club should they suffer relegation. Clubs after relegation will either get straight back up within a season or two like Burnley and Sheffield United in that case or take years in the 2nd tier to get the their act right in the case of Leeds United and Aston Villa or never to be promoted ever again due to continued poor decisions in finances, player recruitment, club infrastructure and fan engagement like in the case of Sheffield Wednesday, Derby County and Portsmouth. It's really fun and cruel to see when top league survival is necessary to balance the books.

[derrick-id]

Nicely done. I'm worrying about Wigan and Blackpool, who have both suffered in the previous years, and are now dropping to League 1. Wigan even had a problem this season with wages. I hope the best for their situations.

[CentaurMoe]

Another factor is the economy surrounding the clubs, When I was younger I used to work for a company that had a catering contract with Craven Cottage, when Fulham was relegated in 2013, a lot of ordinary working people lost paid work as a result at the club had to cut back on running costs.

[BOABModels]

I'm surprised you were able to talk about how damaging relegation is without mentioning Portsmouth but I assume that the extent of their administration means Pompey were quite an unusual example of a relegated club.
Whilst we haven't even recovered to where we were in the '90s at the moment, I still believe the club is now in a healthy position.

[billem]

This was awesome. I love watching the PL from USA and i love the relegation/promotion system but I am always interested to learn more about it. Make more like these pls

[johnnywilson]

Clubs with Traditionally strong academies are able to handle relegation better than other teams. Southampton was the prime example, got relegated from the Premier league, went into admin yet still managed to get back in 7 years thanks to their stacked academy (and getting a good owner to bail them out). Middlesbrough have been out for a while but seem poised to go up soon and they have a pretty strong academy as well.

[OrhtejTheGreat]

You mentioned the likes of Fulham and Norwich losing a lot of revenue in the 2019/20 and 2020/21 seasons respectively but there was something that we all know about that happened (but wasn’t mentioned) which made a massive contribution to that.

[milokat]

Can you make a video on Vice Versa, i.e how much will a club improve once they are promoted to PL and also how relegation affects other major leagues

[lel_werewolf]

Fun fact is Leicester will lose all their best players since they actually have decent players but they don’t have a structure at the club. The Maddison miss will hurt them so much. He will move to Newcastle and become an absolute beast in their midfield alongside Guimaraes and Joelinton. Also he will for the first time be able to play UCL