LaLiga has lost great players in the last five years. Since the departure of Cristiano Ronaldo from Real Madrid in 2018 and that of Messi from FC Barcelona in 2021, the value of LaLiga has fallen by 16.25% compared to the Premier League, which has managed to increase it by almost 21%.
According to Transfermarkt data, the 20 LaLiga first division teams have gone from having a valuation of 5,660 million in 2019 to 4,740 million in 2023, while the English league, in the same years, has gone from 8,380 million to 10,120 million . If compared with the rest of the European competitions, only Ligue 1 has managed to increase its value, going from 2,930 million before the pandemic to 3,510 million now, 20% more. Series A and the Bundesliga, on the contrary, have been devalued by 6% and 4.6%, respectively.
These differences in the valuations of the clubs are due, in part, to the investments carried out by each one. The English competition has been exceeding 1,000 million euros in transfer costs since 2014. In fact, in the 2022-2023 season, it invested close to 2,069 million, compared to LaLiga, which allocated only 46 million. The Premier League has greater investment capacity thanks to shareholder contributions.
Investment in transfers
However, in the long term this mechanism can turn against you, since every investment is accompanied by costs. In addition, the British Government itself has had to take action on the matter. This is explained by the report A sustainable future: the reform of the governance of club football, which points out how “inefficient” regulation is threatening the sustainability of English clubs, making the competition only sustainable through dependence on these injections of money.
CVC agreement
The pandemic wreaked havoc in all the major leagues, as the confinement paused soccer for three months. In just one year the value of the clubs in the Spanish league fell by 10.2%. A year later, in 2021, CVC Capital Partners and LaLiga joined forces. The agreement involved an injection of approximately 2,000 million euros by the private fund. This money would be distributed to the teams in the next three years and they had to allocate 70% to infrastructure, 15% to previous debts and another 15% for signings. For the moment, LaLiga has received three payments, which means around 1,440 million of the total.
The agreement included the creation of LaLiga Impulso, property of the competition, although a part of the participation would belong to CVC. It is still early to know if the agreement is achieving its objective, since in the 2021-2022 season, LaLiga’s income was 4,838 million, 26.7% more; but, the result is still negative, specifically 140 million.
LaLiga is not the only competition that has sealed agreements with private funds. Last year the French league signed a contract with CVC also for which the competition would receive some 1,500 million to promote football. Likewise, the Bundesliga chose Deutsche Bank as a partner to promote its audiovisual rights.
competitiveness
With the signings, the clubs do not seek to have the most valuable players, but those who contribute the most to the team. In this case, LaLiga has proven to be the one with the most successful players. For example, it is the competition with the most footballers (15) who have received the Golden Boot. In addition, 12 of the last 13 players who have been awarded the Ballon d’Or belong to LaLiga, with Real Madrid and FC Barcelona being the teams with more wins in this area. As far as the Champions League is concerned, the Spanish competition is the one with the most cups, accumulating 19 titles compared to the 15 that the Premier has.
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2023-07-15 12:30:09
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