- The
coronavirus pandemic could reduce the value of Europe's topsoccer players by a collective $10 billion, according to financial experts. - KPMG says that with lack of income, clubs will have less money to spend on players during the summer transfer market, which in turn will drive down the value of players.
- "We will most likely witness a 'buyer's market' in which a minority of clubs could exploit the difficult financial position of their counterparts, possibly getting players at a lower price," KPMG said.
- A number of players, including Kylian Mbappe, Neymar, and Jadon Sancho, have already seen their market values drop due to the coronavirus pandemic.
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The coronavirus pandemic could reduce the value of Europe's top soccer players by a collective $10 billion.
That's according to accountancy giant KPMG, which says canceling Europe's top leagues prematurely would have a huge impact on the summer transfer market.
The English Premier League, Italy's Serie A, and Spain's La Liga have all been suspended indefinitely in an effort to combat the spread of COVID-19, while France's Ligue 1 and the Dutch Eredivisie have both been ended prematurely. The German Bundesliga, while also suspended, is set to resume in the coming weeks.
With a lack of income, including that from lucrative broadcasting deals, clubs will now have less money to spend on players during the summer transfer market, which in turn will drive down the value of players across the continent, KPMG's report said.
KPMG said, according to the Financial Times that with less money available to clubs, there will be a "decrease in both in the volume of transactions and in the transfer fees."
If domestic seasons can be completed behind closed doors, the value of players will fall by €6.6 billion ($7.1 billion). If seasons across Europe are canceled, that figure will reach €10 billion ($10.8 billion).
The subsequent market created however wouldn't be bad news for everyone, and would actually benefit the wealthier clubs, likely exacerbating the already enormous financial divide between top clubs and the rest, says KPMG.
"We will most likely witness a 'buyer's market' in which a minority of clubs could exploit the difficult financial position of their counterparts possibly getting players at a lower price than would have been possible up until last summer," the accounting organization said.
A number of players have already seen their market values drop significantly due to the coronavirus pandemic, most notably Kylian Mbappe, Neymar, and Jadon Sancho, who have seen their values drop by an estimated $49 million, $32 million, and $19 million respectively.
The summer transfer window is due to open on July 1, however Fifa, international soccer's governing body, wants the window to be pushed back until the season is completed, says the Financial Times.
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