Scottish football grinds out a financial result
Scottish football clubs can declare a result in the battle with the credit crunch after a report revealed their financial health was improving.
PricewaterhouseCoopers has said ”shrewd business acumen” has led to clubs clearing debt and becoming more efficient.
Eight out of 12 clubs are now recording positive earnings and the highest general profit in the last 10 years.
Just four years ago many of Scotland’s top clubs were technically insolvent and facing a total debt level of £186m.
But better use of assets like stadiums and improved financial management has seen the football fraternity transform its fortunes.
David Glen of PricewaterhouseCoopers said the improved financial performance will help many clubs “weather any financial storms”.
The season of 2006 to 2007 was seen as a turning point, with many clubs sorting out balance sheets and recording improved attendances.
During the year 28,000 extra supporters went to games and St Mirren saw an average attendance increase of 48 per cent.
The total football wage bill continues to climb however, up by seven per cent to £100m with the Old Firm making up more than 50 per cent of this.
Celtic’s finances are doing well in particular, posting a 31 per cent rise in turnover to a record £75m, helped in part by reaching the last 16 of the Champions League.
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