LaLiga chief says Premier League spending is driving an unsustainable transfer arms race

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LaLiga chief says Premier League spending is driving an unsustainable transfer arms race

LaLiga has launched a strong criticism of the Premier League, accusing its clubs of operating an economic model “based on losses” that is fuelling unprecedented inflation in the transfer market.

The Spanish league’s executive general manager, Javier Gomez, said the widening gap between English spending and that of other major European competitions was damaging football’s wider financial balance.

Transfer-market figures show LaLiga clubs spent about €748m during the summer window, compared with almost €4bn spent by Premier League clubs. The difference highlights the contrasting economic models used by the two competitions.

“The Spanish model is based on academies, while the Premier League model is based on losses,” Gomez told El Mundo.

He added: “If the Premier League’s revenues are double those of LaLiga or the Bundesliga, it would be logical for it to spend around €1.5bn, but it spends close to €4bn. That money does not come from revenues, but from the owners. This is a model permanently based on losses and it creates inflation across the entire football sector.”

The LaLiga executive said the issue was no longer limited to the biggest clubs in England. According to the figures cited by the Spanish league, the seven highest-spending clubs in the world during the summer transfer window all came from the Premier League.

Real Madrid ranked eighth in the global spending list, while Barcelona were 10th. Ipswich Town, who were recently promoted to the Premier League, spent close to €200m – a level of investment that would be difficult for most Spanish clubs to match.

LaLiga officials said the financial-control rules introduced by the competition in recent years were designed to protect the long-term sustainability of its clubs. They argued that transfer spending backed by owners’ funds pushes player prices higher and has a negative effect on transfer markets across Europe.

The Spanish league’s criticism comes as Premier League clubs continue to operate with a spending power far beyond most of their continental rivals. Gomez’s comments focused not only on the total sums involved, but also on where that money comes from, arguing that spending beyond clubs’ regular revenues creates an economic model that cannot be sustained across football.

The figures also underline the changing distribution of financial power in European football. While Real Madrid and Barcelona remain among the continent’s most prominent clubs, they were outside the top seven global spenders this summer, with all of those positions occupied by Premier League sides.

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