FC Barcelona’s Remarkable Turnaround: La Liga Recognizes Dramatic €161.7 Million Wage Bill Reduction

By Xorkpe Sosu 3 Min Read

Over the past few years, FC Barcelona has grappled with financial challenges primarily stemming from financial mismanagement during the Bartomeu administration.

Since Joan Laporta assumed the presidency, there have been notable improvements, yet the club still has room for further enhancement.

In the preceding year alone, Barcelona underwent significant transformations within their squad, leading to a notable reduction in wage-related expenditures for the Catalan outfit.

According to reports from Mundo Deportivo, La Liga is slated to unveil squad cost limits for its member clubs this Thursday.

One of the key considerations for La Liga is the substantial reductions that FC Barcelona has achieved in their wage bill.

Over the past year, the club has managed to trim their wage bill by €161.7 million, resulting in Barcelona’s current wage bill amounting to €404.7 million compared to the previous year’s €566.4 million.

This reduction has brought the wage bill down to 54% of the club’s income, a significant drop from the 74% recorded the previous season.

This impressive reduction is the result of relentless and ongoing efforts by the club’s executives.

Read Also: Maguire’s Misfortune: England’s Defender Scores Own Goal in Clash Against Scotland”

Notably, savings of €212.1 million were realized through the departures of players such as Griezmann, Pique, Trincao, Busquets, Alba, Nico Gonzalez, Kessie, Dembele, Dest, Lenglet, Fati, Garcia, and Abde.

On the other side of the ledger, new additions including Gundogan, Romeu, Felix, Cancelo, and Martinez have added approximately €50.5 million in wages and amortization costs.

Consequently, the club’s overall operations have remained in the net positive over the past year, positioning Barcelona favorably as they enter the winter transfer market.

Nevertheless, Barcelona continues to grapple with challenges, particularly regarding the funds expected from the sale of 49% of Barca Studios’ rights to Orpheus Media and Socios.com.

The revenue projected from this transaction was formally acknowledged in the league’s assessment of Barcelona’s submitted plan.

While the club has already received the initial payment of €20 million, the anticipated second installment of €60 million, due in June, is still outstanding.

As of now, Barcelona has only managed to secure €20 million of this sum, and that too with a personal guarantee provided by the club’s President, Joan Laporta.

As a result, Barcelona now faces the task of retrieving not only the €20 million secured by Laporta but also the remaining €40 million required to align with its financial sustainability plan.

This critical amount must be secured before January 1st if the club intends to participate in the winter transfer window with its financial operations at full capacity.

Share This Article