Coping with relegation

Despite enhanced parachute payments relegation from the Premier League is a big financial challenge for clubs, particularly if they have spent heavily in a bid to stay up.   Relegation clauses in player contracts have become more common and can benefit players as well as clubs, but they are not a sufficient answer.

Despite enhanced parachute payments relegation from the Premier League is a big financial challenge for clubs, particularly if they have spent heavily in a bid to stay up.   Relegation clauses in player contracts have become more common and can benefit players as well as clubs, but they are not a sufficient answer.

QPR is believed to have a wage bill of about £80m, one and a half times turnover.   The club and players’ agents are working on sales, but they have also devised a new type of contract.   If they are relegated, as seems increasingly likely, they will offer relatively low basic salaries boosted by apperance payments, possibly linked to where they finish in the league.  

This would overcome the problem of players drawing high wages when they are not even named as substitutes.   It makes a lot of sense, but players may object.   In particular, there would need to be some allowance for periods of absence through injury.