32 English Football Clubs on Brink of Financial Collapse, Report Warns
Thirty-Two English Football Clubs Facing Financial Crisis
A fresh report from the independent financial regulator overseeing football has uncovered that 32 clubs across England are dangerously close to bankruptcy within the next three months.
This "State of the Game" report calls for immediate attention to the widespread financial instability affecting English football. It highlights that most clubs operate at a loss despite the Premier League's global success.
Financial Struggles Across the Football Pyramid
The watchdog revealed that 94% of teams in the top five English leagues recorded losses during the 2025/26 season. While wealthier Premier League clubs might manage to withstand these difficulties, many lower-tier clubs face collapse akin to what happened with Bury and Macclesfield Town in recent years.
The report notes that nearly all clubs depend heavily on owner funding. Around two-thirds could not survive beyond 90 days without this support, and about one-third would last less than a month.
English football is described as a "game loaded with risk," especially for clubs in the Championship, League One, and League Two. These clubs often overspend in pursuit of promotion, pushing themselves towards financial cliff edges.
Regulator’s Urgent Call for Reform
David Kogan, chair of the regulator, alongside CEO Richard Monks, said: "The conclusion is clear: we can’t afford to waste any more time failing to address the levels of financial risk which have become embedded in English football."They emphasized the social and cultural importance of clubs, stating how the near collapse of teams like Sheffield Wednesday, Derby, and Wigan impacts communities and local economies."This report presents clear and objective evidence. It marks the beginning of a long process to make the game more sustainable," they added. "We look forward to discussions following this report to protect football's future success for all involved."
The final version of the report will be published in early 2027 after public consultation. Meanwhile, the regulator urges the Premier League and English Football League to agree on a new financial framework.
Discussions continue regarding the Premier League’s offer to double solidarity payments to the EFL over ten years, aiming to reach an agreement soon.
- Clubs at Risk: 32 English football clubs may go bust within 90 days.
- Loss-Making Teams: 94% of top five league clubs lost money in the 2025/26 season.
- Dependency on Owners: Two-thirds cannot last more than 90 days without owner funding.
- Revenue Generated: £9 billion in revenue was made last season by English football.
- Financial Overspending: Many clubs overspend chasing promotion, risking collapse.
