94% of English Football Clubs Loss-Making, Warns IFR Report

English football generated UK£9 billion in revenue during the 2025/2026 season, far higher than any comparable market, according to the State of the Game report published on 13 October 2026 by the IFR.

The regulator’s 245-page draft assessment concludes that the sport is in poor financial health across all levels of the football pyramid. The findings indicate that 94 per cent of clubs are loss-making and facing severe financial pressure due to an inability to control wage spending.

Regulator Warns of Poor Financial Health and Wage Inflation

According to analysis from Alvarez & Marsal’s Sports Advisory team, clubs continue to spend heavily on players to improve both on-field and off-field performance while growing their enterprise value. This persistent wage inflation drives widespread losses throughout the divisions.

The report points to structural financial cliff edges between divisions as a primary driver of excessive risk-taking. Promotion triggers substantial increases in broadcasting, commercial revenue, and prize money, incentivizing clubs to overspend in pursuit of those rewards. Conversely, relegation proves catastrophic for a club’s long-term financial stability as revenue drops off sharply.

Draft Findings Open for Industry Response Before Final Report

The IFR states that a new package of financial support is required to sustain the football pyramid. This intervention must be paired with actions that reduce financial risk without undermining the success of the game.

Because the October publication is a draft, the IFR must consider any responses before issuing its final report by May 2027, which will offer an early indication of how interventionist it may be in applying its licensing powers.