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Rovers Financial Situation?

Rovers Financial Situation?

What is the financial position of Blackburn Rovers? Where are the club going, what has the recent transfer of a former player brought (if anything?) and what will the future hold?

Vital Blackburn Rovers member r.waterfall opened this debate on 5th September in the forum when saying:

"Does anyone know how things are in these two financial areas?

"Did we receive any money from Chelsea when they sold Damien Duff to Newcastle? Surely there was a contractual clause for a substantial sell on sum.

"Can the present low gates meet all these improved wage bills that have been negotiated recently?

"I remember Leeds United had financial problems when they got into Europe and increased their expenditure past the gate receipts, we have such a small fan base. Is anyone else worried? If we do well in the UEFA cup I am sure it will be O.K."

His points did raise some cause for concern and my eyebrow was raised much like WWE entertainer and actor the Rocks would have been if he were a Rovers fan, I'm assume he isn't...

However my personal opinion would be that as far as Damien Duff was concerned I wouldn't have thought the club would have got anything as part of his move to Newcastle United as they had already received £17 million for him when he was sold to Chelsea in the first place, so any sell on clause would have been unlikely?

The financial situation itself would lead me to thinking if it was that bad you'd have thought they would have accepted the Lucas Neill bid rather than let him go for free (if indeed he does?) Unless they are gambling that with his help Rovers can go further in the UEFA Cup, therefore earn more money? Although I'd doubt they'd be thinking like that..

Regular to Vital Blackburn and one of the top members Simon Garner Legend would have this to say on the subject:

"I believe we broke even last season just.

"But Hughes is spending wisely and not doing a Newcastle and spending £20 million every season and doing nothing with it.

"We must address the season ticket situation and increase the attendances. One thing that annoyed me last season is that I am at university and can`t really get back to go as I have work as well, but I managed to get time off to go to the Chelsea game but as I had not attended enough matches last season I could not get a ticket, and thus Ewood was not full there were a few thousand tickets left unsold! To progress we must sort this out!"

I found the idea of turning away paying customers for a game, no matter how few games they`ve seen for varying reasons, Chelsea or other ludicrous as they would be turning away money, which is vital to Blackburn Rovers, as there isn`t an endless fountain of money anymore…but SGL would also say this:

"Although I had problems with that game last season I did get tickets for the Wigan game easily!

"The main issue I believe for the Chelsea game being restricted was to give fans that were going regular to watch a guaranteed chance of getting a ticket, but I think they over estimated the demand so people like me could not get one!"

Another regular to Vital Blackburn, and also member Ex Ewood Resident would say this:

"I don't know about the money for Duff but I was reliably informed that Jack Walker's trust fund basically makes up the difference between a full house and what gate receipts we do get, as well as paying for the academy as well...

"Also remember John Williams is a shrew and wily old bird and very good at money management."

It would be very interesting to know for sure if Uncle Jack is still funding the club in this way, which knowing the legend that is Jack Walker (please keep an eye open for his place being added to the Rovers Legend section shortly) would not surprise me, or anyone else at all as his love for the club will live on forever.

If anyone else has anything to add to this, whether or not there actually would be a sell on clause for Damien Duff, or what the financial situation for Rovers really is we would all very much like to know so contact me on this e-mail address or comment below.

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Click here to join in the debate on the club forum.

Date:Monday October 2 2006
Time: 8:54AM

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I heard sometime ago that there was a trust fund set aside from Jack Walkers estate to go to Blackburn every year, I cant imgine why this wouldn't be the case due to his love for the club. I cant see that Chelsea would have allowed a sell on clause after paying £17m.
02/10/2006 15:39:00
It does seem likely that there would be some nest egg fro the club from Uncle Jack doesn't it. I'd agree with you totally though that after getting £17m for Duff Chelsea, despite their billions wouldn't have wanted to pass on more down the line with a sell on clause would they.
Hughes Da Man
02/10/2006 16:05:00
The information that I am aware of regarding Walker's money is that a trust fund is there. It is used to generate roughly £8-£10million a season for buying new players. However, that figure is dependant on Rovers achieving attendances in and around the figure of 27,000. With that in mind last year we averaged 20,000 i think. So the shortfall in gate receipts is made up for out of that transfer budget. That is why we don't go around throwing £4.5million at Ashley Ward types any more. That is what I am led to believe on the situation. We won't have received any additional payments for Duff as the initial £17million triggered a release clause which means we cannot negotiate any further.
02/10/2006 19:45:00
There you have it guys the Duff situation is fully cleared up. The financal situation seems to have been fully explained also, thanks roversman!
Hughes Da Man
02/10/2006 20:51:00
What is the situation re the club's new sponsors bet24 with the problems we have heard about in the USA for sports betting firms does this mean they won't have the money to pay rovers in full for the "lucrative" contract?
03/10/2006 12:00:00
Interesting point petestan, I'm not sure? As this article has now moved off the main page I'll either do an article on you comment to see if anyone can help? Or even put it in the forum and try and get people to respond?
Hughes Da Man
03/10/2006 15:26:00
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