Crystal Palace’s (lack of) transfer activity during the current window has been the source of much discussion within the Eagles fan-base but when you examine the current financial picture in SE25, it’s not hard to see why the purse strings are being tightened this summer.
Thanks to the delay in Palace filing their accounts, an analysis of them has taken longer than first expected but the excellent “Tifo Football” have produced a fantastically informative video breaking everything down piece by piece.
Whilst it’s easy to moan about the lack of incoming signings at Selhurst Park, it’s worth highlighting just how much has been spent on player recruitment over the last couple of years. Whether you’re looking at Benteke, Milivojevic, Sakho, Van Aanholt, Schlupp, Townsend or Sørloth, it’s fair to say that the club have spent big when compared with their direct rivals over the course of the last 24 months.
Sadly for those of a red and blue persuasion, it seems as though we’ve reached the upper limit of our spending power; a fact which led directly to the plans for improvements to Selhurst Park, allowing for more match-day revenue. Whilst television remains the biggest factor in our financial picture (roughly 80% of our income comes from it) there is no denying that changes need to be made to the stadium for us to progress in the long-term, regardless of anything you hear to the contrary.
With wages having grown at a rather alarming rate since we regained a place in the Premier League in 2013, this summer is being looked upon by those in the club’s hierarchy as a time to tighten our belts and reverse the increase that has been steadily taking place for half a decade. Fans will understandably be anxious about the plans but it is quite simply unsustainable in the long-term to carry on splashing the cash at the rate we have after hitting a glass ceiling in terms of our annual income.
Other clubs often make up for their transfer outlay with sizeable chunks being made back in player sales but since selling Yannick Bolasie to Everton, Palace haven’t really received a decent chunk of cash for any departing member of the first-team, which was always bound to have an impact on our financial wiggle room in the market.
The above video takes a subject which could be seen as extremely complicated and simplifies it wonderfully. If you’re a Palace fan with even a passing interest in the club’s financial health, it really is a must-watch.