The football season is over but today's British press is focusing greatly on Liverpool Football Club. Despite the continued progress of the playing side the coverage today is of doom and gloom and rightly so. By all accounts the finances of the club are a mess. Even though the club recorded a record high turnover, Liverpool's latest accounts reveal that Liverpool paid £36.5 million in interest on their debts in the financial year ending July 31, 2008. If the current owners don't leave the club we will become paralysed by debt and the recent optimism will be gone. Today's read is indeed a depressing one for any Liverpool fan. The interest loans are potentially crippling.
The others in the so called big for of Manchester United, Arsenal and Chelsea continue to remain in significant debt but probably less alarming than Liverpool. The long term future of the club is the most paramount thing but what have we had in the short term? Despite Man Utd being taken over by the Glazers they have just recorded their third straight Premier League title and got to the Champions League final again whilst signing a number of lucrative commercial deals. Chelsea continue to be funded by Ambramovich via soft loans and with the promise of more summer spending. Arsenal had a modest season by their standards but they have actual bricks and mortar to show for their debt which will bring in substantial funds in the future.
And Liverpool? Despite all the promises of the new stadium coming, so far nothing. Without the new stadium we continue to fall further behind financially week by week and also would appear to be a less attractive option for any potential new owners. We continue to miss out on transfer targets as evidenced by Gareth Barry's move to Manchester City this week. Will Benitez be given enough transfer cash to sign any top quality player?
There are more questions than answers for this regime and the sooner they are forced out the better. what will happen if the club cannot refinance their credit deals with the banks? The Americans have until July 24 to refinance their credit deals with Royal Bank of Scotland and Wachovia. Could this be another key day in the future of LFC? It would appear that Liverpool is a house build on sand, hopefully not quicksand. What would Bill Shankly think?