With the exception of Real Madrid and Barcelona, Spanish clubs are teetering on the brink of bankruptcy, exacerbated by the intense economic crisis gripping Spain. The mismanagement over the past fifteen years by La Liga clubs, coupled with the economic downturn, has led to a dire financial situation. In the absence of proper financial control, clubs have resorted to accumulating massive debts to fund their ambitious ventures, resulting in a failing economic model.
José Maria Gay de Liébana, an economics professor at the University of Barcelona and author of critical reports on the financial accounts of Spanish clubs, condemns this unsustainable system. He describes Spanish football as a “field of ruins,” reflecting the state of the country’s economy. The clubs, witnessing a surge in expenses due to escalating player salaries and transfer fees, find their financial stability slipping away amid the economic crisis.
With an overall debt of 3.6 billion euros (including 752 million euros owed to tax authorities and 600 million euros in social security contributions), Spanish professional football is on the verge of a precipice. Gay de Liébana warns that the situation has deteriorated to the point where he believes La Liga has only about five years left before widespread bankruptcy if significant changes are not implemented.
