Spanish big two could still dominate Money League with different rights model, says Deloitte

Spanish Liga football clubs Real Madrid and Barcelona are likely to continue recording higher turnovers than all other football clubs in Europe even if there is a change in Spain’s broadcast revenue distribution model, according to a report by financial services company Deloitte.

The company’s latest annual Money League report into the finances of European football clubs, for the 2010-11 season, ranked Real Madrid as having the highest annual turnover with €479.5 million ($628 million) followed by Barcelona on €450.7 million.

The report said that 38 per cent (€183.5 million) of Real’s turnover and 41 per cent (€183.7 million) of Barcelona’s total sales came from ‘broadcasting’ revenues.

Real and Barcelona are able to sell their own media rights, and currently receive a higher percentage of domestic broadcast rights revenues than other Liga clubs.

“Spanish clubs are currently negotiating a collective model for the distribution of La Liga broadcast revenues, potentially from 2015-16,” the report said. “The revenue advantage that Real and Barca enjoy over their European peers indicates that a more even distribution of La Liga broadcast revenues would not necessarily challenge the two clubs’ dominance at the top of the Money League.”

The report said that the two clubs were likely to “contest the top two Money League positions for the foreseeable future” and the revenue gap between them and third-placed Manchester United, from the English Premier League, could widen to more than €100 million in the 2011-12 season, compared to €83.7 million in 2010-11.

United’s broadcasting revenues were €132.2 million, 36 per cent of its turnover of €367 million.

The rankings for the top six positions in the Money League have now remained unchanged for the last four annual reports.