Slump In Pound Triggers Sports Star Wage Demands

Brexit has led to a flurry of highly paid sports stars demanding pay rises to counter the falling value of the fast sinking pound.

Since the vote to leave the European Union was taken on June 23, the pound has slumped to a five year low against the euro.

On the referendum day, a pound bought 1.3 euros.

Today (October 6), the pound is worth 1.13 euros.

This collapse in the fortunes of Sterling has triggered European sports starts renewing their contracts to put in massive wage demands.

Cash frenzy

Leading the frenzy to currency proof their salaries are Arsenal international soccer stars Mesut Ozil and Alexis Sanchez.

The pair are reportedly seeking to increase their contracts to pay £250,000 a week – both are currently receiving around £70,000 a week less and finding times hard to make ends meet on £9.36 million a year.

Team mate Santi Cazorla’s contract with Arsenal is also due for renegotiation and commands similar wages to his colleagues.

This Brexit change of fortune could pull the rug from under future wage and transfer negotiations for all Premier League clubs.

The price of players has already gone up as billions of pounds of TV rights cash has poured into the game.

Brexit gravy train costs millions

But club accountants could not have foreseen or budgeted for Brexit and how the value of the pound would change their figures.

The Brexit gravy train may cost clubs millions as the falling pound affects players worldwide, not just those from Europe.

The Premier League has players of around 64 nationalities, while roughly a third are English (213), the rest are mainly from Europe, South America and Africa.

Other sports that rely heavily on recruiting foreign players are also in the firing line for bigger wage demands.

Cricket, both rugbies and speedway rely heavily on importing foreign players, while other sports that pay overseas stars to compete will also have more costs as well.

Star players may be accused of holding rich clubs to ransom, but the clubs have no option other than to pay if they want to recruit or retain the best talent to compete at the highest levels.