Nota de Prensa
TUE 31.10.2023
A report by professional services firm KPMG "Socio-economic impact of professional football in Spain" presented by LALIGA measures the socio-economic impact of the professional football industry in Spain at 194,381 jobs, €8.39 billion in taxes to the public purse and a turnover equivalent to 1.44% of Spain's GDP.
In economic terms, professional football generated €18.35 billion during the 2021-22 season, including direct, indirect and induced effects, which is worth 1.44% of Spanish GDP.
The report, which has been carried out by accounting for direct, indirect and induced effects in the 2021-22 season, estimates that the direct impact of professional football amounted to more than €8.316 billion, of which more than 78% (€6.522 billion) was the result of fan spending on products and services associated with professional football. An amount of €2.954 billion was spent on online betting and pools, €1.129 billion via the internet, and €827 million on pay-TV, while the remaining €1.613 billion was spent elsewhere (sports press, hospitality, tickets, etc.).
The remainder of the direct expenditure (€1.794 billion) was made by companies to boost their marketing and advertising strategies, taking advantage of the high penetration of professional football in Spanish society. These companies, without any intervention from the clubs, spent a total of €717 million on advertising in media associated with professional football-related content. The remaining €1.077 billion corresponded to total corporate spending at clubs.
The indirect contribution of professional football reached €7.057 billion, with the sectors that benefited the most being cultural, recreational and sporting activities, telecommunications, construction and real estate, as well as restaurants and catering, among others.
Finally, 16% of the contribution (€2.977 billion) was generated as a result of the induced effects associated with the private expenditure of people employed directly and indirectly by professional football in Spain.
PROFESSIONAL FOOTBALL'S CONTRIBUTION TO THE PUBLIC PURSE
In terms of revenue, professional football brought in a total of €8.39 billion to the treasury. Of this revenue, 37% came from Value Added Tax - VAT (€3.082 billion), followed by 21% from corporate income tax.
- ISS (€1.79 billion), 18% of the revenue (€1.52 billion) from Social Security - SS, 21% from personal income tax - IRPF(€1.747 billion) and, finally, 3% of the revenue equivalent to €251 million as a result of excise duties (IIEE).
JOB CREATION
In terms of employment, football activity generated more than 194,381 full-time jobs, of which 66,541 (34%) were employed directly. In addition, professional football boosts job creation in related sectors: more than 65,400 jobs are due to indirect effects and more than 62,350 to induced effects, representing 34% and 32% of the total number of jobs generated, respectively.
SUSTAINABLE INVESTMENT
LALIGA demonstrates its active commitment to sustainability by making annual investments in key strategic lines of action. In recent years, this investment has been increasing, and in the 2021-22 season, the figure of €109 million invested in sustainability was reached, equivalent to 5.6% of LALIGA's turnover. In total, over the last six seasons, the cumulative total investment in sustainability made by LALIGA amounts to €485 million.
ECONOMIC IMPACT OF BOOST LALIGA
Additionally, KPMG, applying the same methodology, calculated an estimate of the impact of the strategic Boost LALIGA project whereby the CVC investment fund will provide the LALIGA EA SPORTS and LALIGA HYPERMOTION clubs with €1.929 billion to boost the development and consolidation of the 44 member clubs that access this investment on an individual level, and competition as a whole through the globalisation and digitalisation of clubs.
According to these estimates, the Boost LALIGA investment will have an economic impact of €6.291 billion, of which €4.149 billion corresponds to the direct, indirect and induced impact of the primary investment in domestic production, and €2.142 billion to the impact of the triggering of additional investments made by the clubs due to the carry-over effect of primary investment. In total, this would be equivalent to 0.48% of GDP.
On the other hand, such investments will produce annual returns in the form of increased revenues for clubs and spending by fans and businesses. In total, up to €377.8 million of potential revenue per year from return on investment.
Additionally, this strategic LALIGA project is expected to contribute €1.274 billion to the state purse, of which €798 million would come from primary investment, and €475 million from additional investment due to the carry-over effect.
In terms of employment generation, Boost LALIGA will create 49,714 jobs, of which 31,185 will come from the primary impact and 18,529 from the effect of carry-over investments.
© LALIGA - 2023