Liverpool wage bill rockets to £310m
Liverpool’s wage bill rose by £47million last season as they reinvested in a squad who responded by winning the Champions League.
The club’s latest accounts show that Anfield salaries in 2018-19 totalled £310million – below those of the two Manchester clubs.
Sadio Mane, Roberto Firmino, Mohamed Salah, Jordan Henderson, Andy Robertson and Trent Alexander-arnold all signed new contracts, tying them down until at least 2023.
The figures reflect the accounting period ending on May 31 2019 – a day before the win over Tottenham Hotspur brought the sixth European Cup to Anfield. They demonstrate the recent emphasis on retention as much as recruitment, although they also include the signings of Alisson Becker, Fabinho and Naby Keita.
Liverpool spent £223million on their squad over a 12-month period inclusive of purchases and new deals. That means Liverpool’s profit was significantly reduced compared to the results in 2018 when a record pre-tax £125 million was recorded. However, those figures included the £142 million sale of Philippe Coutinho to Barcelona. The profit dropped to £42million (£33million after tax) in 2019. Turnover increased by £78 million to £533 million, with increases in media and commercial revenue.
Andy Hughes, the chief operating officer, said the figures reflected the healthy growth under Fenway Sports Group (FSG), guided by selfsustaining principles. “This continued strengthening of the underlying financial sustainability of the club is enabling us to make significant investments both in player recruitment and infrastructure,” he said.
“Being able to reinvest over £220million on players during this financial period is a result of a successful business strategy, particularly the significant uplift in commercial revenues.
“The cost of football, however, does continue to rise in transfers and associated fees but what’s critical for us is the consistency of our financial position, enabling us to live within our means and continue to run a sustainable club.”
Liverpool continue to invest in their infrastructure as well as the first team, with a new training ground in Kirkby to be completed this summer. Plans for another Anfield extension are also going through a consultation process.
FSG funded the Main Stand extension of 2016 with a £115million loan. After paying back £10 million in 2018, a further £20.7million was repaid in 2019.
Match-day revenue is now worth £84million a season, almost double what Liverpool were generating from that source when FSG purchased the club in 2010.