Amid unprecedented demand for tickets, various Premier League clubs are eyeing up expansion and enhancements to their stadiums according to the Financial Times (FT).
Analysis by the financial news outlet estimates that Premier League clubs are collectively looking to expand overall stadium capacity by 110,000 seats over the next decade, amounting to an increase of 14%.
These plans will inevitably lead to significant commercial opportunities. Architecture and construction firms are the most obvious, but catering and beverage, security and technology are other important areas for consideration. The stadiums could also usher in opportunities in fan engagement technology, sponsorship and marketing.
Top-flight blueprints
Various stadium renovation projects, or construction of new stadiums entirely, are taking place across the English football top-flight. Though not the first to do so, Manchester United have arguably caught the most attention with its plans.
The 20-time English football and three-time European champions (European Cup/UEFA CHampions League) currently possess the largest club stadium in England, Old Trafford, which has 74,310 seats – but is long in-need of renovation.
Under the clubs’ new ownership structure, with long-time owners the Glazer family holding a majority stake and English businessman JIm Radcliffe a minority one, the club is pursuing plans to redevelop the stadium into a 100,000-seat “Wembley of the North’.
There is also talk of constructing a brand new stadium, but this is seen as an unlikely option. Meanwhile, the club’s cross-city rivals and 2023/24 Premier League champions Manchester City is also looking to expand its stadium from 55,000 seats to 61,000.
Further west in Liverpool, Everton FC has been in the process of developing a new stadium in Bramley-Moore Dock, on the banks of the River Mersey. Once completed it will have a capacity of 52,888, a 25% increase on the capacity of the current stadium of Goodison Park with 39,414 seats, and is a prospective venue for UEFA Euro 2028.
These plans are not just limited to the footballing giants of the Northwest, with some London clubs also considering growth. Arsenal and Chelsea are reportedly considering upgrades to the respective Stamford Bridge and Emirates stadiums.
The financial rationale
It was also a London team that set the standard for modern football stadia, with the Tottenham Hotspur Stadium arguably one of the most advanced on the planet. Constructed at a cost of over £1bn, the stadium is the third largest in England with 62,250 seats.
The stadium has further maximised revenue for Tottenham, which despite never having won the Premier League is England’s fourth most valuable club. Its multi-purpose nature has likely helped with this, having hosted the NFL International Series, international rugby league and rugby union games, and world title heavyweight boxing.
There is another solid rationale for expanding stadiums, a rather simple one – more capacity means more tickets sold. FT has referenced figures from Deloitte showing that matchday ticket sales accounted for 14% of all Premier League revenue in 2022/23.
The pressure for Premier League clubs to turn a good profit has never been higher, not just because of the financial disparity between some of the biggest teams and the smaller names but also due to regulations.
Last year saw Everton and Nottingham Forest face points deductions for breaching Profit and Sustainability Rules (PSR), spending too much on players but not getting enough in for commercial revenue.
By selling more tickets and creating more space in a stadium to sell advertising, clubs can ensure a more steady stream of revenue and prevent points deductions. Though the club announced stadium development plans before the PSR rules came into effect, it is hardly surprising that Nottingham Forest still has stadium expansion on its agenda in this context.
