FINANCIAL advisors have suggested that the European Super League may not be the gold mine clubs think it is.

Brand Finance has been tracking the financial vale of football brands for 15 years and believe that the current ESL proposal is the biggest shake-up in football in the that period. They have calculated that the ‘super league’ clubs could actually lose between €2.5 billion and €4.3 billion as their brands devalue.

Richard Haigh, managing director of Brand Finance, said: “For the ESL ‘Founding Clubs’ the prize seems obvious - more money - but this ignores the huge risk that fans won’t follow, and neither will the money. There is outrage in the home markets from both fans and leagues alike, but it is not clear yet what the repercussions will be

“Will fans vote with their feet and leave the clubs many have supported their entire lives? Will the leagues impose fines, or point deductions leading to relegation and further financial loss?”

Brand Finance estimate that the annual loss for the founding clubs will be €1.1 billion in revenue a year and the brands will all suffer significant reputational damage, leading to a drop in brand value of €2.5 billion.

This loss is a combination of lower broadcasting, commercial, and matchday revenue. It assumes that the UEFA will not allow the teams to compete in Champions League and the national leagues also remove the teams from their rosters.

The analysis indicates the move cause financial damage on the founding clubs, but it would also impact on the other clubs in their leagues. Those clubs could lose up to 25% of their brand value as the entirety of football could lose appeal.

Hugo Hensley, head of sports services at Brand Finance, said: “In our view the result will be damaging for the clubs involved. The sentiment of fans online is overwhelmingly negative, with negative posts outweighing positive ones 3 to 1.”

“Negative sentiment like this will inevitably lead to lower matchday spend and commercial revenue in the clubs’ home nations, which is still the lion’s share of any European club’s income.”

As income could be affected from domestic markets the clubs will may have to rely on revenue streams from either the US or China. Brand Finance see that as a problem as the domestic leagues in those countries are growing in popularity and therefore the ‘super league’ will not have the expected appeal.

The Argus: The European Super League may not be the land of riches that clubs hope for.The European Super League may not be the land of riches that clubs hope for.

David Haigh, chairman of Brand Finance, said: “In 2011, President Xi Jinping announced his dream to see China win the World Cup, a dream many thought impossible, but as a result the game has received investment at all levels in the country”.

”If the ESL Founding Clubs think that the Chinese market is a vacuum available for them to fill, they are in for a nasty shock when they discover there’s only one true ‘super league’ in China.”

If Brand finance turn out to be correct the ‘super league’ may not turn out to be as ‘super’ as the clubs hoped it to be.