Value of a prem place?

At the beginning of the week, the media were rolling out the "most valuable game in football" line about the playoff final with the winner getting £90 million.
By midweek it was apparently worth £120 million.
Yesterday the Times was quoting £135 million.
Surely the value depends on how long the winner can stay up, but assuming the value is for one season, how is the number arrived at and what is the actual value of promotion?

Based on one season’s income.

Something like £50 million difference for being even the bottom of the Premier and being in the Championship - because of prize money (SKY).

Plus £7 million for being on TV - minimum.

Plus £10 million increase on merchandise (shirts sales etc) and season tickets etc.

Plus £40 million on parachute payments when relegated.

Figures approximate but that is how the total is composed.



Trivia - the winners of the Play off final have in the past donated their share if the games receipt to the losers because of the massive difference in future income between the winner and loser!

Sluffy wrote:Based on one season’s income.

Something like £50 million difference for being even the bottom of the Premier and being in the Championship - because of prize money (SKY).

Plus £7 million for being on TV - minimum.

Plus £10 million increase on merchandise (shirts sales etc) and season tickets etc.

Plus £40 million on parachute payments when relegated.

Figures approximate but that is how the total is composed.



Trivia - the winners of the Play off final have in the past donated their share if the games receipt to the losers because of the massive difference in future income between the winner and loser!

So if they win the prem they can get £67 million - but won't get parachute payments a t least in the short term.

So where does this £135 million come from?

They will only get parachute payments if they get relegated and that is split into 4 years - BUT if you get promotion back to the Premiership then the parachute payments stop (e.g. relegated at end of 2013/14 season but get promotion at end of 2014/15 season means 1 part of the parachute money only)

wanderlust wrote:

Sluffy wrote:Based on one season’s income.

Something like £50 million difference for being even the bottom of the Premier and being in the Championship - because of prize money (SKY).

Plus £7 million for being on TV - minimum.

Plus £10 million increase on merchandise (shirts sales etc) and season tickets etc.

Plus £40 million on parachute payments when relegated.

Figures approximate but that is how the total is composed.



Trivia - the winners of the Play off final have in the past donated their share if the games receipt to the losers because of the massive difference in future income between the winner and loser!

So if they win the prem they can get £67 million - but won't get parachute payments at least in the short term.

So where does this £135 million come from?

No quite sure of your question?

I've not researched the precise details but my figures above will give a fair idea of the money the club will get if they win promotion for just one season. The actual figures may well be more than I've stated - and obviously things like attendance income, shirt sales, increased season tickets will obviously be down to individual clubs and their circumstances.

As for parachute payments - they are part of the reward and have to be included.

For instance say Palace lose today - and do not go up next season - and Watford win but come straight back down again - in the season after next they will be something like £15 million richer than Palace due to the parachute payment just for that season alone - with another £25 million to come over the next 3 seasons following also!

Palace compared to Watford would be £40 million worse off - in the same division - simply for losing one game - not to mention everything else Watford would earn in their single season in the Premier.

I can't say how the £135 is arrived at as I've not seen the article to which you refer but I've no doubt it is calculated in much the same way as I've tried to show above - maybe my figures are simply on the low side perhaps and theirs are more exact.