Evans, Richard and Scelles, N. and Walters, G. (2025) The use and abuse of financial regulation in professional team sports: the case of parachute payments in the English Football Championship. Working Paper. Birkbeck Sport Business Centre, London, UK.
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Abstract
Research question: The research aims to assess whether the parachute payments to clubs relegated from the Premier League to the Championship in English football should be reformed. Research methods: The research uses an eight-steps approach including abuse calculation, regression to test the impact of parachute payments and abuse on sporting performance and comparison between actual competitive balance and intensity and their simulated levels without parachute payments and abuse. Results and findings: The system of parachute payments is abused and this had an effect on promotion, play-off and relegation places and on the competitive balance of the league but contrary to previous research, the later effect is not significant for the league as a whole. Implications: Parachute payments do not need to be abolished to increase competitive balance in the Championship but are in need of reform to reduce both the amount and duration of payments and abuse of the policy.
Metadata
| Item Type: | Monograph (Working Paper) |
|---|---|
| Additional Information: | Birkbeck Sport Business Centre Research Paper Series 17(1) - ISSN: 1756-8811 |
| Keyword(s) / Subject(s): | football finance, relegation, competitive balance, competitive intensity |
| School: | Birkbeck Faculties and Schools > Faculty of Business and Law > Birkbeck Business School |
| Research Centres and Institutes: | Birkbeck Sport Business Centre |
| Depositing User: | Administrator |
| Date Deposited: | 06 Mar 2025 10:11 |
| Last Modified: | 13 May 2025 10:54 |
| URI: | https://eprints.bbk.ac.uk/id/eprint/55115 |
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