It is difficult to see how Sunderland are going to escape relegation. Even in the old days of Division 1 and Division 2, Sunderland were a yo-yo club, but the financial consequences these days are more serious, not least for the staff who face redundancy.
It is difficult to see how Sunderland are going to escape relegation. Even in the old days of Division 1 and Division 2, Sunderland were a yo-yo club, but the financial consequences these days are more serious, not least for the staff who face redundancy.
Ellis Short, who is trying to sell the club, bought it for £22m. The club has not made a profit since 2006, way before Short arrived. Short has lent the club £160m during his tenure interest free, £100m of which he wrote off. Total debts are £140m. Sunderland owe money to Short and a private banking company, with a £6m annual interest payment.
Other clubs with less good catchment areas have managed to consolidate in the Premier League. Sunderland spent £250m on players between 2008 and 2015. Sunderland made a profit on only three out of 46 players they bought.
Relegation might lead to a sale and the opportunity to rebuild, but a long-term plan is needed.