Spain’s heavily indebted professional soccer clubs need a new management model that is better suited to the current period of economic stress, secretary of state for sport Albert Soler said on Wednesday.
“We have arrived at a moment when we must reassess whether our soccer model is valid,” Soler said in a speech to the Spanish soccer federation’s (RFEF) general assembly.
“I want to urge those responsible to adjust the management (of clubs) to the times we are living in,” he added.
“I believe it is the time to define, to be the best at a sporting level but also at a management level in the world of soccer. This will be achieved with contributions from all.”
Many of Spain’s top-flight clubs have been living beyond their means in recent years, spending huge sums on players’ wages and transfer fees to try to remain competitive and accumulating crippling debts.
Some, such as first division sides Real Mallorca and Real Zaragoza, are in administration, along with all three teams that were promoted from the second division at the end of last season, Real Betis, Rayo Vallecano and Granada.
Analysts have accused the soccer authorities of sitting on their hands, while the Socialist government’s position has been that the problem must be resolved by the clubs themselves without new legislation.
A study by a professor of accounting at the University of Barcelona published last month showed that the 20 clubs in the top flight made a combined net loss of some 100 million euros ($144 million) in the year to the end of June 2010, up from 19 million in the year-earlier period.
Total debt fell slightly from the previous year, to 3,43 billion euros, but was still more than double revenue of 1,61 billion euros.
SPENDING CONTROLS
Soler praised the professional league (LFP), which groups the 42 clubs in the top two divisions, for a recent initiative that would seek to set down rules designed to control spending.
The proposals are in line with new UEFA regulations that begin to come into force next season and aim to stop clubs on the continent racking up unsustainable debts.
The LFP plans to establish a control committee made up of independent professionals who would assess clubs’ accounts and recommend possible sanctions for transgressors.
These could include docking of points or the withdrawal of licences for the worst offenders.
The rules are due to be voted on at a meeting next Tuesday and would be introduced over a period of three years.
“We are experiencing a period of economic crisis and the worlds of sport and football are not immune to it,” Soler told RFEF assembly delegates.
“The clubs are putting in a significant effort, and this shows it is not true that we are not responsible.”
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