Following on from an investigation carried out by the Gazzetta dello Sport in March, the FIGC released a report last week on the current financial state of Italian football in conjunction with the Arel think-tank and accounting group PwC. While the facts and figures come as no great shock, considering the disturbing state of financial reports from their European counterparts, there is a sense of acceptance rather than a push to correct what is a concerning issue.
Italian football suffered a net loss of €428 million in the last financial year, a deficit increase of €80 million (23.2%). The total debt of Serie A alone now stands at €2.6 billion, which is an increase of 14% from last year. While the sums unpaid begin to accumulate, the proverbial value of Serie A declines. Just 19 of the 107 professional clubs in Italy closed the financial year with a profit, as Italian football as a whole generated €2.5 billion, €204 million (1.2%) less than the previous year.
Leaving the numbers and percentages behind, the blame most often falls at the feet of the broadcasting industry. It is widely assumed that televison subscriptions provide a cheaper alternative to match-day expenses in a time of credit crunching and budgeting. In fact, the ‘pink paper’ went so far as to concede that the ‘whole system is based on revenue from broadcasting companies; which is a difficult and dangerous tight-rope. But as long as it lasts we’ll keep our balance’. Therein lays the problem. As long as it lasts…
GdS reports there has been a 4.4% drop in spectator attendances in the past year, with an average turnout of only 56% of stadium capacity. This is despite the average top division ticket in Spain and England costing €50.40 and €48.30 respectively, compared to the €20.90 average in Italy. Evidently the emptier the stands, the emptier the club coffers, with a net €22.4 million ‘lost’ on half-full stadia. High-flying Juventus have made the jump into the unknown and ‘murky’ waters of a self-owned arena, while presidents and sporting directors of rival clubs continue to tell those who will listen they have a plan.
In October last year, Gazzetta ran a similar report into the financial state of calcio. They stated that since 2008, season ticket sales have fallen by 20.4%. As that number declines, television subscriptions sky-rocket, rising 69% in the same period. While it is acceptable for an everyday supporter to admit the price of tickets, travel and other expenses involved on a Sunday afternoon are beyond their limits, the clubs have somehow not moved for change sooner. Last year broadcaster Sky Italia agreed to pay $768 million per season over the next three years to broadcast all Serie A games, while Mediaset pay $367 million per annum to broadcast selected games involving 12 of the 20 Serie A clubs.
Most of the findings above will have been regurgitated numerous times, the troubles of Italian football are well documented, as is the need to invest in privately owned stadiums. Back in October, junior Government minister Rocco Crimi suggested that a bill relating to the building of stadiums had been approved and was set to be passed in Parliament. They would then assess the framework of the plans to have modern, secure and efficient stadia across the country. Six months on, where is the progress?
Thomas Di Benedetto, Aurelio De Laurentiis and various other owners have all shared their visions of new stadiums, those which will provide a family orientated atmosphere, beyond the limited realms of just coming to see a football match. Earlier this month, Barbara Berlusconi gave her opinion on the situation. ‘Today the Italian clubs are too closely dependant to income from TV rights. With the fences, lack of ticket points and lack of places to buy food, it is hard to enjoy a game in Italy’. She went on to add: ‘We’ll keep discussing the new stadium ideas and we will, together, deliver answers to the development questions’. Without singling out Signora Berlusconi for criticism, where are the answers?
CONI president Gianni Petrucci hailed Juventus for their innovative move, and simultaneously criticised the remaining Serie A clubs. ‘I believe if people really want something, then they can have it, but it’s counter-productive to sit and wait for the approval of a law. I still don’t understand why the law hasn’t been passed. I hope the situation can be cleared up as soon as possible. The law is stuck in red tape, and we are close to the risk we won’t even have any games ready to play for Euro 2020’.
So while supporters of clubs up-and-down the peninsula continue to lament the lack of privately owned stadiums, it appears the situation is at a standstill. Perhaps it isn’t as simple as how it is often portrayed, yet there appears to be no solution to the ongoing problems surrounding this law. Do Italian clubs really believe in owning their stadium? Do they really want to take the risk of investing such money in a project such as this at the expense of spending on player acquisition and wages? Despite Juventus setting the blue-print, the never-ending saga continues. While those inside the country await news of initial progress, those outside look on at the empty seats.
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