£7bn Debts Send European Football Into Chaos

Rising debts coupled with challenges posed by the novel coronavirus have plunged European football into total chaos, with clubs planning to breakaway in order to survive.

At least 12 clubs including Manchester United, Man City, Liverpool, Barcelona, AC Milan, Inter Milan, Liverpool, Tottenham Hotspur, have agreed to breakaway from the UEFA Champions League and form the elite European Super League.

The net debt of the of all the breakaway clubs, accordingly is a little above £7 billion.

For instance, Manchester United, according to its recent accounts, is accordingly saddled with net debts of £455.5m. Its debt has been increased borrowing by £60m during the pandemic as playing to a closed Old Trafford cost the club about £6m a game.

Despite sharp condemnations from football fans around the world, football experts, former footballers and politicians, America’s Investment bank, JP Morgan Chase & Co has announced it will be financing the European Super League.

JP Morgan is to finance the European Super League with an estimated $6bn (£4.3bn).

JP Morgan, according to a statement it issued to AFP on Monday morning, is due to provide about $6bn of funding to set up the league, which could start “as soon as practicable”.

By Melvin Tarlue

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