Days Are Numbered For The Premier League's “pyramid Scheme”

By Author: Abner Maddox
Total Articles: 1
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Whilst Rooney enjoys a hefty salary increase against the backdrop of austerity cuts, the system is starting to break, at least in the UK. Is there a different way?

Rise and Fall

Currently the top flight of English football is organised as a pyramid scheme, with fans at the foundation supporting the entire international organisation. Fans buy the merchandise, watch the games and attend the matches; the prices go up and the money is relentlessly funnelled to the rootless entities that run the show.

Continuing massive profits depend on expanding that army of paying fans, and the amount that they pay. Players, agents, tv companies, sponsors and many others have all become rich from this process. Whilst the quality of the players and the ways we can consume football have undoubtedly increased over this period, has the football business been managed with short term profits, or with the long term security of the club and fans in mind?

Many individual clubs have expanded rapidly and borrowed vast sums of money on the back of even greater potential future expansion. The bubble has now stopped growing, with ...
... attendances dropping in many grounds and a number of clubs trying to navigate troubled financial waters. Many have been left high and dry, with their financial obligations either going to send them into administration (Portsmouth) or get sold at a loss (Liverpool) to the next entrepreneur. Whatever the outcome, it's ultimately the fans that will still be there to support and, if needed, bail out the clubs.
Club and community

The current flow of money away from the grass roots to a handful of ‘investors' does little to improve the local integration of the club into the community. Many will remain fans no matter what befalls their team, but it's more than possible that the experience of Middlesbrough FC will be repeated. Many (although not all) board rooms ignore the social value of a club as there's nothing in it for them or their shareholders, and yet there are great possible benefits to both the club and the local community if they work together. Missing these opportunities could impact on a team's fan base, as fans abandon the behemoth clubs and get back to local teams and more ‘real' football.

Future Paths

The current level of cynicism towards the state of the game is growing and can only increase in times of economic stagnation or contraction. There are alternatives (see the ambitious plans of FC United) which in no way damage the fan's enjoyment of the game, instead they aim to bring back a sense of club ownership and involvement. Community ownership of a club is not a new idea and doesn't have to completely rule out business ownership - in Germany, for example, all football clubs are required to have at least 51% fan ownership.

So what next? There are so many vested interests in maintaining the status quo that the only way the situation will change is from the actions of if the hand that feeds the clubs takes action. And that means the fans deciding which teams to support emotionally and financially. It will be interesting to see how FC United fare.

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