Man City’s £320m hike due to ‘inflated’ deals – O’Rourke
Manchester City may have inflated some of their commercial and sponsorship deals to increase their revenue in recent years.
Speaking on the latest edition of Football Insider’s Inside Track podcast, senior correspondent Pete O’Rourke revealed Man City’s commercial revenue has risen from £21million the season before the takeover took place in 2008 to £341.4million in 2022-23.
The English champions have pursued legal action against the Premier League regarding the associated party transaction (APT) rules in place, with the club claiming the regulations are “unlawful”.
Four of the Manchester club’s 10 biggest commercial and sponsorship deals at present are with companies linked to their Abu-Dhabi ownership group, including their stadium naming rights and shirt deal with Etihad Airways.
O’Rourke suggested some of the deals may have been “inflated” following their rapid growth in commercial revenue over the past 16 years.
Man City’s relationship with the Premier League has already been strained by their 115 charges, which are due to be heard in November across a six-week period.
Newcastle United to support Man City in APT case
If the APT rules weren’t in place, clubs could agree sponsorship deals as high as they wanted with no challenge, increasing the amount they could spend under the profit and sustainability rules (PSR).
O’Rourke revealed Man City believe they haven’t committed any wrongdoing and they are not getting fair market value after taking legal action against the Premier League.
As revealed by Football Insider, the 10-time English champions have demanded they are paid “millions” in damages from the governing body.
The case is on track to be settled after a two-week private arbitration hearing starting on Monday (10 June).
Football Insider revealed Newcastle United are prepared to submit documents in support of Man City ahead of the hearing.
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