Despite the late pressure applied by Liverpool, Manchester United are on the brink of securing Champions League football, needing only a point from their remaining two fixtures against Chelsea and Fulham. But if the unthinkable did happen, it could have major financial consequences for the club…
It’s been a funny season for Manchester United, but with one trophy in the bag, another final to look forward to, and the potential for Champions League football for next season only a point away, it could end very well. But a slip on that latter target could have major financial implications for the club, as it would represent the second year in a row that they would’ve failed to qualified for the Champions League, triggering a clause in their contract with adidas that would see a big hit to the payment from the German brand.
In 2015 United signed a 10-year deal with kit suppliers adidas that earns them £75m a season. But should they fail to qualify for the Champions League in consecutive seasons, a penalty clause will be invoked that will see the adidas payment as part of the £750m deal fall by 31 per cent, which equates to about @22.5 million. As well as the brand sponsorship, there are other financial factors as to why securing elite European football is so important for the club, including being able to fully capitalise on UEFA's broadcasting revenue distribution system.
Of course, the chances of United losing out on a Top Four spot seem slimmer than the chances of VAR being used effectively next season, especially given Liverpool’s draw with Aston Villa on the weekend; were they to win their two remaining fixtures they would, in fact, leap frog Newcastle into third. And failing that, if the unthinkable were to happen, they’ve also got the FA Cup final and any financial bonus that would come from adidas were they to win that. Just have to beat Manchester City…
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