The banking crisis

http://news.bbc.co.uk/sport1/hi/football/15049604.stm

Monsieur Wenger thinks the financial crisis will result in lower gates throughout football, but what if the banks run out of money again and can't give Premiership clubs liquidity? Could we see the likes of Rooney, Torres and Tevez not being paid?

I wouldn't want to celebrate the economic downturn, especially as I found it hard to get a job for a while, but maybe this could be a catalyst in making bigger clubs cut their cloth?

they will get paid its the lower leagues that will suffer

Can't see it effecting (or is it affecting?) players paid by petrodollars.

Quoted from Abdul19

Can't see it effecting (or is it affecting?) players paid by petrodollars.

Affecting, god taking spelling advise from me is like walking up to a money tree and taking a 20 quid note from the first branch.  

Oh for goodness sake, I had hoped the main stand pseudo intellectuals had stopped using this forum....

Quoted from jackfoster

Oh for goodness sake, I had hoped the main stand pseudo intellectuals had stopped using this forum....

What?

Quoted from AdamHaddock

http://news.bbc.co.uk/sport1/hi/football/15049604.stm

Monsieur Wenger thinks the financial crisis will result in lower gates throughout football, but what if the banks run out of money again and can't give Premiership clubs liquidity? Could we see the likes of Rooney, Torres and Tevez not being paid?

I wouldn't want to celebrate the economic downturn, especially as I found it hard to get a job for a while, but maybe this could be a catalyst in making bigger clubs cut their cloth?

For a start the banks won't run out of money again. They didn't last time as the government stepped in and they will do this again. In all honesty this is fairly academic for British banks as the Eurozone crisis will affect liquidity at continental banks (especially French ones) rather than those in the UK; British exposure to Greek debts (either directly or indirectly) is relatively low at €7bn so when Greece defaults our banks will withstand the fallout. Of course there is a whole chapter to be written on how a Eurozone crisis will affect the UK given our huge trading links with it.

But Wenger has a moot point. The world of football is not immune from the world at large. As people find money tighter than it has been for a while then expenditure on non-essentials such as entertainment will fall. Clubs will find themselves struggling harder to make ends meet than ever before. It is ironic that a club like Arsenal which has been self-sufficient in terms of operational funding and run prudently will be harder hit than say Manchester City who have the immense wealth of Arab royalty behind them. The fans at Newcastle who have jeered Mike Ashley for the way he has run the club may even end up thanking him if the wider economy goes into freefall as the club is now debt-free and with cash in the bank (and a top four Premiership place to boot).

Will it affect the levels of salary being paid? Probably not. Professional footballers at the top of the tree have a reasonably rare skill which makes wage levels inelastic. However the lower down the leagues you go wage pressures will tell and salaries will drop.

Quoted from Super Clive

Affecting, god taking spelling advise from me is like walking up to a money tree and taking a 20 quid note from the first branch.  

Ha, ironic!

Quoted from 75

Ha, ironic!

That s what I mean Vicar, I always loose  

It costs a lot more to get in Mr Wenger's ground than it does in BSP grounds. The lower league clubs may even benefit from hard-up Premier league club fans looking for cheaper live football (not us as we're too far from anywhere else). You never know.