English football faces crisis as 94% of clubs report deficits

A report titled ‘State of the Game’ by the Independent Football Regulator (IFR) has revealed a significant financial crisis within English football. The findings indicate that 94% of clubs across the top five divisions are operating at a deficit. Despite the Premier League generating substantial revenue, the report highlights a growing structural fragility characterized by rising debt and an extreme dependence on owner capital.

Key statistics from the report show that total debt in the British system is projected to exceed £5 billion by the end of the current period. Furthermore, 32 institutions would be unable to survive for more than 30 days without direct financial assistance from their owners. In the Premier League, average losses per club rose from £20 million to £44 million between the 2021/2022 and 2025/2026 seasons.

The financial instability is even more pronounced in lower tiers, where over 60% of clubs in the English Football League (EFL) and National League face technical insolvency. In response to these findings, Spanish football officials have pointed to the LALIGA economic control model, which has utilized individualized spending limits since 2013 to maintain long-term viability, as a potential counter-example to the English situation.