Manchester United endured a season that few at Old Trafford could have foreseen. An erratic start, coupled with a defence riddled with mistakes, saw the team crash out of all European competitions, a blow that hurt not just sporting ambitions, but financial stability too. A club that once stood as the benchmark of English dominance now watches from the sidelines as others seize the spotlight. The Europa League final defeat to Tottenham was the final, crushing blow. Brennan Johnson’s goal sealed the outcome, extinguishing any flicker of redemption. Instead of salvaging pride, United closed their campaign in complete crisis.
Here is the economic blow that Manchester United face after being knocked out of Europe
Steve Borson, a former financial advisor to Manchester City, told Football Insider that Manchester United’s absence from European competition could cost the club around £100 million. However, he also pointed out that there are mechanisms in place to soften the blow. Many player contracts include clauses that trigger salary reductions when the club fails to qualify for the Champions League.
Additionally, the club will save significantly on travel and accommodation expenses typically associated with international fixtures. It’s estimated that wage bill reductions alone could result in savings between £30 million and £40 million. On top of that, the club’s kit deal with Adidas will automatically drop by £10 million, further illustrating the financial ripple effects of a poor season.
“With matchday plus the prize money from Uefa, you’re looking at a loss of about £100million of revenue. They are also going to lose £10million from Adidas because there’s a deal with Adidas where if you’re not in the Champions League, you immediately get a £10million hit to the size of the deal in any season you’re not in the Champions League.But on the other side of things, they are going to make some pretty substantial cost savings in fairness because it is not cheap to take a Champions League team to five away games.
What are the financial consequences for Manchester United after their Europa League final loss to Tottenham, resulting in their exclusion from all European competitions for the 2025-26 season?
You might be taking 50 to 60 people to those games. You will be flying them out and staying five star. It is actually a very expensive situation. Then on top of that, you have the saving they’re going to make on player wages. In the accounts, it does say that they mitigate their loss in a season where they don’t qualify for the Champions League by having within player contracts effectively step downs and they pay less wages. You are probably looking at about a 10-15 per cent reduction from not being in the Champions League, so that could be £30-40million down to offset the £100million of loss, so there will be knock-ons.”
This scenario leaves Manchester United confronting an uncomfortable truth: they can no longer spend freely or compete at the level they once did. The club must now shift towards a more efficient and sustainable structure—one that doesn’t rely on the glamour of its past.
The board must face this new reality head-on and develop a coherent, long-term strategy. That means investing in young, hungry talent, trimming bloated wage bills, and prioritising the implementation of a clear tactical identity. Only with such decisive planning can United hope to rebuild and return to relevance.
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Instead of chasing high-profile signings, Manchester United must focus on rebuilding from the ground up. The financial savings present an opportunity to reset the squad with long-term planning in mind. Being out of Europe, while disappointing, also removes the burden of travel and allows for more focused preparation for the domestic campaign, a silver lining in an otherwise difficult situation.
The coming weeks are critical. If the club continues to spend recklessly, history will repeat itself. But if they take this moment seriously, they can begin to make sensible, sustainable decisions. The situation with Adidas sends a clear message: sponsors want performance, not just big names. And if United continue to drift away from Europe’s elite, those partnerships could fade.
This absence from the continental stage will sting, but it doesn’t have to be fatal. It can be the start of something better. But only if the club stops clinging to its past and starts building for its future.