Crystal Palace are currently at loggerheads with UEFA after being demoted from the Europa League to the Conference League.
The Eagles earned a spot in the Europa League after beating Manchester City 1-0 in the FA Cup final last season, but have seen that prize snatched away due to ‘a potential conflict with the multi-club ownership rule’ as UEFA label it on their official website.
John Textor, who has since sold his 45% stake in the south Londoners to Woody Johnson, is the owner of Lyon, who also qualified for the Europa League.
Nottingham Forest have instead been awarded this spot in the Europa League, with Crystal Palace dropping down into the Conference League.
The decision is still subject to an appeal to the CAS (Court of Arbitration for Sport) – but TBR Football have now spoken exclusively to football finance expert Kieran Maguire on what it would mean for Crystal Palace financially if the verdict is upheld.
Crystal Palace staring £25m loss in the face if CAS uphold UEFA decision
When asked what swapping the Europa League for the Conference League would mean for Crystal Palace from a financial aspect, Maguire said: “Well, if we take a look at the figures for the 23/24 season, I think the side that won the Conference League – which was Olympiacos – made €17m (£14.7m) and the side which won the Europa League made €41m (£35.5m).
“That’s a €24m (£20.8m) difference. I think it’s fair to say the revenues, the profits and the distributions this year are probably up somewhere in the region of 15% because we do have this new model, so I guess you’re looking at, probably £25m overall in terms of budget.
“At the same time you could say there’s the fact Crystal Palace are probably one of the favourites now to win the Conference. We’ve seen English clubs win the Conference in two out of the last three years, and that gives you a second bite of the cherry (at the Europa League the following season).
“Other clubs who have broken the rules have only had a fine, so you can understand their frustration.”
Crystal Palace can make £30m back in just one matchday as Woody Johnson arrival set to aid Selhurst Park redevelopment
UEFA effectively seizing £25m in revenue from Crystal Palace on the basis of an issue which no longer exists – now Textor has sold his shares – seems quite harsh.
However, Adam Williams – Head of Football Finance and Governance Content for TBR Football – has already explained how Crystal Palace could soon make £30m every matchday at Selhurst Park following the £190m arrival of Johnson.
More details are provided in the article link above, but effectively, the American carries less debt than Textor, and his NFL (National Football League) contacts as owner of the New York Jets are described as a “money-printing machine” for Crystal Palace, which should help to speed up the planned redevelopment of Selhurst Park.