Premier League clubs spend £295 million in January transfer window – marking the second highest January transfer window spend ever

• Premier League clubs’ gross spend of £295m in the 2022 January transfer window is over four times higher than the spend during January 2021 (£70m), and is the second highest January transfer window spend ever.
• Premier League clubs’ net expenditure (i.e. player purchases less player sales) of £180m is the highest ever since the January transfer window was introduced in 2003.
• Premier League gross spend for the 2021/22 season totals £1.4bn (combining Summer 2021 and January 2022 transfer windows). This is c.£85m higher than total gross spend in the 2020/21 season and is the third highest gross spend in a single season ever;
• Gross transfer spend across the other ‘big five’ European leagues (La Liga, Serie A, Bundesliga and Ligue 1) stands at a combined €380m, a €185m increase on January 2021, but still €280m below the total of January 2020 (€660m).
• The five clubs currently at the bottom of the Premier League spent c.£150m in this year’s January transfer window, over 50% of total expenditure. Gross spend amongst these clubs is up £145m on that of clubs in the same position during last year’s January window, which contributed just 7% (£5m) of the overall total;
• The total gross transfer expenditure for English Football League clubs during the January 2022 window totals £20m, £15m higher than January 2021, but only c.57% of the total spend in January 2020 (£35m).

Premier League clubs spent a total of £295m in the January transfer window, more than quadrupling last year’s total of £70m, and marking the second highest January transfer spend ever according to analysis by Deloitte’s Sports Business Group.

This year’s January transfer window reflects the continued world-leading financial resources of Premier League clubs. Gross expenditure (i.e. before including player sales) in the January 2022 window exceeded pre-COVID levels (Jan 2022: £295m, Jan 2016-20 five year average: £246m), up from £70m in January 2021. Premier League clubs recruited 36 players overall in the window, down in comparison to an average of 42 in the Jan 2018-20 windows, but up by 16 in comparison to 2021 (20).

Furthermore, Premier League clubs’ net expenditure (i.e. player purchases less player sales) of £180m is the highest ever since the January transfer window was introduced in 2003, emphasising the significance of the financial resources available to Premier League clubs.

Premier League spending accounted for nearly 50% of gross expenditure across Europe’s ‘big five’ leagues.

Dan Jones, partner and head of the Sports Business Group at Deloitte, commented: “This transfer window indicates that the financial pressures of COVID on Premier League clubs are easing, with spending firmly back to pre-pandemic levels and remarkably among the highest we've ever seen in January.

"The Premier League continues to lead the way globally, retaining its status as the world’s biggest domestic football league in financial terms, once again supported by full stadia and securing strong overseas broadcast deals.

"Other large European leagues are also edging back to higher spending, but it is Premier League clubs that have notched up the largest total spend in this transfer window, spending almost £150m more than Serie A clubs, the closest competitor."

The five clubs currently at the bottom of the Premier League spent c.£150m in this year’s January transfer window, over 50% of total expenditure. Gross spend amongst these clubs is up £145m on that of clubs in the same position during last year’s January window, which contributed just 7% (£5m) of the overall total (£70m).

Newcastle United is responsible for the highest proportion (c.£85m) of Premier League clubs’ overall spend and over half of the bottom five clubs’ gross transfer expenditure. As in the January 2021 window, three of the Premier League’s top six revenue generating clubs (Liverpool, Man City and Tottenham) spent in this year’s January transfer window, spending c.£75m, in comparison to c.£25m in January 2021.

European transfer market

Europe’s ‘big five’ leagues’ clubs have historically driven spend and activity in the transfer market. In January 2022, Europe’s ‘big five’ leagues made up four of the top five global spenders by league (with only the Bundesliga missing out) after only occupying three of the top five positions in January 2021.

Gross spend increased significantly in La Liga (by 275% to €75m) and Ligue 1 (by 225% to €65m) resulting in a rise to third (a rise of eight places) and fifth (a rise of five places) highest global spenders respectively. Conversely, the Bundesliga dropped three places to sixth despite a gross spend of €60m, which marked an increase of 20% from January 2021; this was by far the lowest year-on-year increase in January spend across Europe’s ‘big five’ leagues (Premier League: 344%, La Liga: 275%, Ligue 1: 225% and Serie A: 106%).

Total gross spend across the ‘big five’ leagues in this spending window reached €735m, exceeding last January’s total by €460m, but still some way below the c.€965m of January 2020. Net expenditure across these five leagues also exceeded the January 2021 total, by €225m (Jan 2022: €300m, Jan 2021: €75m), but was €110m lower than the January 2020 net expenditure of €410m.

Calum Ross, assistant director in the Sports Business Group at Deloitte, commented: “In stark contrast to January 2021, the wider European transfer market appears buoyant. Many clubs are starting to bounce back from significant COVID-induced reductions, with rising revenues re-activating activity within the transfer market.

“Provided fans continue to return to stadiums and disruption to the football season ahead remains limited, we should see revenues, and therefore transfer spend, continue to increase in the seasons ahead. For some clubs, the benefit of the investment boom in sport, and football clubs in particular, has acted as a catalyst for January transfer window activity.”

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Notes to Editors

Summary of key findings from analysis by Deloitte’s Sports Business Group:

• Premier League clubs spent £295m in the January 2022 transfer window, the second highest January transfer window spend ever. An overview of Premier League clubs’ player transfer spending in each of the January transfer windows (2003 – 2022) is set out in the chart below;
• Premier League clubs recorded a record January transfer window net transfer spend of £180m in January 2022 (2021: net spend of £45m; 2020: net spend of £165m; 2019: net spend of £55m; 2018: net spend of £90m; 2017: net receipts of £40m);
• As in the January 2021 window, three of the Premier League’s top six revenue generating clubs spent in the 2022 January transfer window. However, spending totalled c.£75m compared to c.£25m in January 2021;
• Premier League clubs’ deadline day expenditure totalled c.£80m, compared to deadline day expenditure of £7m in January 2021.
• Premier League gross spend for the 2021/22 season totals £1.4bn (combining Summer 2021 and January 2022 transfer windows). This is c.£85m higher than total gross spend in the 2020/21 season and is the fourth highest gross spend in a season ever (see chart below);
• The volume of Premier League transfers in in this year’s January transfer window increased by 80% to a total of 36 transfers, including loans, compared to 20 transfers in January 2021;
• Premier League clubs spent just £1m with English Football League clubs, the lowest amount since the January transfer window was introduced in 2003.
• Championship clubs spent a total of £20m during the January 2022 window, £15m higher than January 2021, but c.57% of the total spend in January 2020 (£35m);
• Since the introduction of the player transfer window system in January 2003, aggregate gross player transfer spending by Premier League clubs has exceeded £16.5 billion, with this representing c.28% as a proportion of aggregate revenue. Around 17% (£2.8 billion) of the aggregate gross player transfer spend has been in the January transfer windows;
• The Premier League was the highest-spending league amongst Europe’s ‘big five’ leagues in the January transfer window (£295m / €355m), followed by Serie A (£145m / €175m), La Liga (£65m / €75m), Ligue 1 (£55m / €65m), Bundesliga (£50m / €60m).

Basis of preparation

Deloitte has collated and analysed clubs’ player transfer fees for each transfer window since January 2003. The information on player transfers is based on publicly available information in respect of player registration acquisitions by clubs, including from club websites, www.bbc.co.uk and www.premierleague.com, and further analysis carried out by the Sports Business Group at Deloitte. The information is based on reported transfers as at 00:30 on 1 February 2022. Further commentary about the transfer market is included in the Deloitte Annual Review of Football Finance. The figures contained in this release will not necessarily be the same as the cost of acquiring players’ registrations as recognised in the financial statements of each club. Under accounting requirements, the cost of acquiring a player’s registration includes the transfer fee payable (including any probable contingent amounts), plus other direct costs such as transfer fee levy and fees to agents. The exchange rate at 31 January 2021 has been used to convert figures between euros and pounds sterling (£1 = €1.20).

About the Sports Business Group at Deloitte

Over the last 30 years Deloitte has developed a unique focus on the business of sport. Our specialist Sports Business Group offers a multi-disciplined expert service with dedicated people and skills capable of adding significant value to the business of sport. Whether it is benchmarking or strategic business reviews, operational turnarounds, revenue enhancement strategies or stadium/venue development plans, business planning, market and demand analysis, acquisitions, due diligence, expert witness, audits or tax planning; we have worked with more clubs, leagues, governing bodies, stadia developers, event organisers, commercial partners, financiers and investors than any other adviser.

For further information on our services you can access our website at: www.deloitte.co.uk/sportsbusinessgroup

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