Tottenham chairman and co-owner Daniel Levy’s reputation as a dealmaker is legendary, though not always for the right reasons.
Spurs’ commercial income and stadium revenue have boomed on the 63-year-old’s watch, outperforming just about every other club at the elite end of the football finance spectrum.
Tottenham now have the core turnover of one of the world’s biggest and best clubs but, besides last season’s lightning-in-a-bottle Europa League triumph, not the corresponding trophy record.
However, if Daniel Levy can find the right formula, commercial income could turn the North Londoners into a genuine football superpower. The problem isn’t how much Spurs spend – it’s how they spend it. Yes, the wage bill as a percentage of revenue is low, but that’s a perfectly viable model which, when coupled with smart recruitment and ever-rising turnover, can still bring success on the pitch.
Thomas Frank is the latest man to try and coordinate the football operation, hopefully bringing some Brentford-style resource-efficiency with him.
With Champions League revenue guaranteed in 2025-26, the manager and sporting director Johan Lange have a respectable transfer budget at their disposal. They’ve already spent around £70m, making Mathys Tel and Kevin Danso’s loans permanent and adding youngsters Luka Vuskovic and Kato Takai.
Spurs have huge PSR headroom too, but there is a possibility that the owners will be forced to inject cash into the club to cover costs if there aren’t also player sales this summer, especially if the likes of Mohamed Kudus and Eberechi Eze end up signing for big fees too.
Why? Because, while commercial income has soared in recent seasons, Tottenham’s absence from the Champions League has been costly.
They have the chance to correct that next season and, they will hope, build a platform for sustained success.
But commercial growth will be central to that ambition and, as the latest news shows, Spurs are looking to extract every single penny from their commercial operation going into the new campaign.
Back in 2022, Spurs signed a commercial deal with Ineos to showcase their Grenadier electric 4×4 vehicle.
Back then, Ineos were mostly known within football as the owners of Lausanne Sport and OGC Nice, if at all. Now, however, CEO Sir Jim Ratcliffe is now more or less a household name as co-owner of Manchester United.
One complication of Ratcliffe’s £1.25bn investment in United was that he was effectively continuing funding a direct rival in Spurs through the Ineos sponsorship. As a result, Ineos immediately looked for a way out of the partnership.
In March of this year, Ineos terminated the deal, but it has since emerged via official court documents that Spurs are seeking around £11.5m in compensation from the British multinational firm.
“They have had to recall a lot of units,” says University of Liverpool football finance lecturer Kieran Maguire, speaking exclusively to TBR Football about how the Spurs-Ineos saga might end.
“If you look at sales, they are considerably down. The factory has been closed because they have too much inventory, so there is no point having the production lines open.
“Ineos aren’t in a bad financial position, but it’s not a great position either. They are very, very cost conscious and that’s why they have terminated a lot of these deals.
“I think they were probably a bit naïve if they thought that they could just terminate the contract without incurring the wrath of Daniel Levy. Anyone who has negotiated with Levy will know that he is across the small print of every contract.
“It’s clearly going to be a battle between the two sets of lawyers about whether a settlement can be made that will be satisfactory to both parties.
“As far as Spurs are concerned, they are hell-bent on seeing their commercial income rise every year, and recouping as much as they can from the Ineos agreement is part of that strategy.”
In the last published financial year, Spurs generated commercial revenues of £255m. The details of their legal challenge to the early termination of the Ineos deal suggest that almost £4m in revenue was attributed to the Ineos sponsorship.
Tottenham at risk of being left behind in multi-club arms race
While Spurs have been one of the Premier League’s commercially successful and innovative clubs in recent years, they appear to be getting left behind in another department.
In 2024-25, 16 Premier League clubs, including Ratcliffe’s Man United, will be part of a multi-club network of some description. Spurs, however, are not part of that bloc.
ENIC, Tottenham’s ultimate owners, are no strangers to the multi-club model and its potential pitfalls. In the early 2000s, they sold off their interests in several European clubs – including Rangers, Slavia Prague, and Basel – because of UEFA’s crackdown on shared ownership.
Now, football is at an inflection point when it comes to the multi-club model. On the one hand, Crystal Palace might be barred from competing in next season’s Europa League because of their ownership link with Lyon, but on the other, the multi-club model is being proliferated more and more every season.