Update emerges regarding Birmingham City’s financial situation

Birmingham City have conducted some surprising transfer business in recent years with a large proportion of their recruitment proving unsuccessful on the pitch.

Football finance expert Kieran Maguire revealed a very detailed thread on Twitter this morning, exposing some concerning trends around the club’s finances.

He wrote: “Birmingham revenue £9m due to matches BCD (behind closed doors) and commercial income collapsing.

“Wage bill only slightly so wages £230 for every £100 of income.

“Ave (average) weekly wage £14,000.”

Birmingham revenue ⬇️ £9m due to matches BCD and commercial income collapsing. Wage bill only slightly ⬇️ so wages £230 for every £100 of income. Ave weekly wage £14,000 pic.twitter.com/5N9tWexQS0

— Price Of Football (@KieranMaguire) April 12, 2022

For a club that has rode their luck to avoid relegation to League One in recent years, this is very concerning and explains why Lee Bowyer has had very little to spend since stepping into the dugout in March 2021.

Spending over double their income on wages is a scary state of affairs and has led to the demise of Reading this season, with the Royals seemingly guided to safety in the short term by Paul Ince ahead of a very difficult 2022/23 campaign.

If it was not for the lucrative sale of Jude Bellingham, the Blues would be in an even more worrying predicament, therefore it will be interesting to see what happens with Jordan James, 17, this summer after the midfielder has been a regular fixture in the first team this term.

The Verdict

Birmingham’s owners have made controversial calls ever since arriving at the club, and those all seem to be culminating in an inevitable slide to League One in the coming years.

The points deductions of Reading and Derby County