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Parachute payments and the importance of tonight...



reigate

New member
Nov 10, 2005
921
I just do not understand why a team that gets relegated can be rewarded for failure. I get it that when it was introduced the teams in the premier league voted for it knowing that at least half the teams are under threat of relegation at some point and they are protecting themselves, but they are not protecting football at a lower level are they. wrong wrong wrong

The problem with no parachute payments is that when a club gets promoted, it will normally have to spend £10-£20m to have a chance of staying up, and in the process commit to a number of long term contracts. Without parachute payments, these clubs would either go bust if relegated, or not be able to complete in the Prem once promoted. If clubs didn't take the gamble of speding big once promoted, we might have a situation where every club that gets promoted bust gets relgated in the 1st year
 




Insel affe

HellBilly
Feb 23, 2009
24,335
Brighton factually.....
Without parachute payments, these clubs would either go bust if relegated, or not be able to complete in the Prem once promoted.

Oh wow that is unfair, I had never thought of it like that.....

And there was I thinking it was unfair that a club like ours or say Charlton etc could not compete on a level playing field and how unfair that was....

How stupid am I ?
 


reigate

New member
Nov 10, 2005
921
Oh wow that is unfair, I had never thought of it like that.....

And there was I thinking it was unfair that a club like ours or say Charlton etc could not compete on a level playing field and how unfair that was....

How stupid am I ?

I agree we are not competing on a level playing field with the payments as they are........but by the same token the Prem would basically become a closed shop without any type of payment. People would soon moan of we went up but couldn't compete as we could not sign players on contracts longer than 12 months.
 


Superphil

Dismember
Jul 7, 2003
25,679
In a pile of football shirts
Oh wow that is unfair, I had never thought of it like that.....

And there was I thinking it was unfair that a club like ours or say Charlton etc could not compete on a level playing field and how unfair that was....

How stupid am I ?

Again, I agree. Fairness or unfairness, clubs have to cut their cloth accordingly. If they can afford to mount a promotion push then that's fine, when they get to the EPL they then are afforded the funds to compete, buy players, increase salaries etc. But if they fail, or any other teams fail, relegation should trigger wholesale wage cuts, and if the players don't like it then they can organise a transfer back to a Premier League club. The apparent sense of entitlement is nonsense.
 


Insel affe

HellBilly
Feb 23, 2009
24,335
Brighton factually.....
I agree we are not competing on a level playing field with the payments as they are........but by the same token the Prem would basically become a closed shop without any type of payment. People would soon moan of we went up but couldn't compete as we could not sign players on contracts longer than 12 months.

Sorry not having a pop at you Reigate, but we or say Huddersfield can not already compete already so what is your point we are already talking about a closed shop with former teams from the premiership with a distinct advantage, I dont care about clubs with massive wage bills who come down, cut your cloth accordingly maybe put clauses in contracts saying if we get relegated your wages are x amount or we can release you, that is what happens in the real world.
 






Bwian

Kiss my (_!_)
Jul 14, 2003
15,898
people keep on about the advantage of parachute payments, despite the historical evidence to the contrary. it certainly should make it easier for those clubs, but usually they have poor moral, poor backroom, poor managers, poorly run whatever, to be in the position of relegation in the first place.

The biggest impact that parachute payments have is inflating the wage bill for clubs not receiving them. How many players have we lost out on because a club receiving PP offered a shed load more money than we could? Promotion isn't a guarantee but like everything else Sky touches, it makes life very difficult outside of the elite in whatever sport they get involved in.

I wonder how many clubs will end up in administration because they chased the dream when they didn't have the cash?
 


Daffy Duck

Stop bloody moaning!
Nov 7, 2009
3,824
GOSBTS
Maybe I'm just being stupid or cynical, or both, but on one hand we have the footballing authorities bleating on to everyone about FFP and then throwing money at the Premiership like it's going out of fashion.

What's the difference between an individual giving their club millions and the FA doing the same. Double standards and hypocrites are the words that spring to mind.
 




Blue Valkyrie

Not seen such Bravery!
Sep 1, 2012
32,165
Valhalla
Perhaps Reading should have spent their parachute sorting out their finances rather than offering high wages to new signing Wayne Bridge ???
 




reigate

New member
Nov 10, 2005
921
Sorry not having a pop at you Reigate, but we or say Huddersfield can not already compete already so what is your point we are already talking about a closed shop with former teams from the premiership with a distinct advantage, I dont care about clubs with massive wage bills who come down, cut your cloth accordingly maybe put clauses in contracts saying if we get relegated your wages are x amount or we can release you, that is what happens in the real world.

I just dont think we could attract the players we need if we had significant relagation clauses. Surely players would sign for clubs without such clauses. As you say, we would have to cut our clothe accorrdingly, but parachute payments give a better chance of survival in the Prem.

I do agree though the payments are far too high. I would prefer they were only for 1 year, giving relagated clubs a chance to clear the decks of players on prem wages, even it meant paying off the contacts and writing off transfer fees. After that, they can go bust for all I care.

I hate all this going into Admin and pay 1p in the pound bollocks. It is a joke that football crediors are paid before HMRC etc. The sooner a Portsmouth is actaully wound up the better. Clubs might actually start spenidng within their means if they knew the consequences.
 




reigate

New member
Nov 10, 2005
921
Perhaps Reading should have spent their parachute sorting out their finances rather than offering high wages to new signing Wayne Bridge ???

Completely agree. Maybe transfer embargos for clubs with parachute payments. Or at least they should only be able to replace players at reduced cost
 


BensGrandad

New member
Jul 13, 2003
72,015
Haywards Heath
Perhaps the parachute payments should be set according to a % of ghe wage bill as ut has always been said that is why I was started. It could be 50% and make a club suffer for being relegated rather than get an additional hand out.
 


Pavilionaire

Well-known member
Jul 7, 2003
31,265
Well regardless of whoever has been right or wrong, the issue about the signing of players and budget has done for our last two managers, and the fact that parachute payments are bigger while FFP is constrictive means this is a problem that looks like it will only get worse.

At least we are in the enviable position of having big crowds and match-day revenue. If we could get Category A status for our academy then we may be able to systemically continue to replace the likes of Bridcutt with Ince, providing us with the funds to stay in the promotion race.
 




Chicken Runner61

We stand where we want!
May 20, 2007
4,609
I wonder if the people who constantly go on about parachute payments being unfair will complain if we go up next season and come down the following.

The fallout of relegation from the prem without a financial safety net could in some situations leave a club homeless and we all know how painful that is ............
 


Creaky

Well-known member
Mar 26, 2013
3,862
Hookwood - Nr Horley
Reducing parachute payments will, as others have pointed out, simply make the gap between established Premier League clubs and Championship clubs even wider than it currently is.

I'd like to see payments from the PL made bigger but rather than dividing this simply between the three relegated clubs see a reasonable compensatory amount paid to these clubs, a substantial amount divided between the three clubs promoted from League 1 and the balance split evenly amongst the remaining clubs.

Imagine the difference a £5m payment might have made for Bournemouth, Doncaster and Yeovil.
 


Triggaaar

Well-known member
Oct 24, 2005
53,153
Goldstone
people keep on about the advantage of parachute payments, despite the historical evidence to the contrary. it certainly should make it easier for those clubs, but usually they have poor moral, poor backroom, poor managers, poorly run whatever, to be in the position of relegation in the first place.
But this year, the top 8 consisted of 5 clubs with parachute payments, big FFP flouters Leicester, us and Derby.

I did a bit of research over the last 10 seasons and of the 30 teams that were relegated....
The differences now are that the parachute payments are much bigger, and FFP means that other clubs are not allowed to spend as much as those with parachute payments.
 


SussexHoop

New member
Dec 7, 2003
887
Like it wasn't his fault at Bournemouth,Pompey,Southampton either...if that man ever got close to our club....He'd be the first one against the wall,we have ways of getting rid of leeches.
In defence of 'Arry, most of the damage was done before he came to Loftus Road ... Barton, SWP, Ferdinand were signed by Warnock. Zamora, Johnson, Hoilett, Green, Cesar, Boswanka, Cisse, Diakite, Mbia, Park and many, many more by Mark Hughesless. Not sure what the clause in his contract was but somehow SWP has triggered another year!

The Samba signing was ridiculous but I personally think most of the players signed by Redknapp have been decent. His failure for me was going into this season with Austin, Zamora and Johnson as our strikers cos when Austin got injured, we were screwed. We've had a lot of loans (Krancjar, Doyle, Morrison, Assou-Ekoto, Carroll, Keane, Maiga) and we shipped out about 18 in total after we went down.
 






Gwylan

Well-known member
Jul 5, 2003
31,827
Uffern
I do agree though the payments are far too high. I would prefer they were only for 1 year, giving relagated clubs a chance to clear the decks of players on prem wages, even it meant paying off the contacts and writing off transfer fees. After that, they can go bust for all I care.

I hate all this going into Admin and pay 1p in the pound bollocks. It is a joke that football crediors are paid before HMRC etc. The sooner a Portsmouth is actaully wound up the better. Clubs might actually start spending within their means if they knew the consequences.

A sensible idea. I think we'd need to allow two years of parachute payments - but the second one much reduced. That should clubs a chance to meet wages to their most expensive (or time to offload them)

And I'd love to see clubs hammered for going into admin. Automatic relegation should be the penalty and relegation by two divisions if you go into admin twice within 10 years.
 


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