Brussels threatens to investigate the debt of Spanish football

  • Almunia, vice president of the European Commission and responsible for Competition, admitted that it is possible that the debt of Spanish football is investigated.
  • He did not rule out a possible liquidation or restructuring of some clubs.
  • The debt of Spanish football with the Treasury is 660 million and the total of 3,600.
  • Seven clubs are already being investigated for alleged public assistance.
Koke y Parejo en el Atlético - Valencia

Koke and Parejo at Atlético – Valencia EFE

The announced investigation of the European Commission may not be limited only to the seven clubs under study at this time for alleged public support. The debt of Spanish football worries in Europe and Joaquín Almunia, vice president of the European Commission and head of Competition, admitted on Wednesday that it is possible that not only those teams will be investigated, but the entire League.

The pressure from the rest of European clubs seems to be behind this investigation, which may not have just begun. The ‘all is worth’ that dominated the League a few years ago and the flexibility that these clubs now have to return the money they owe (around 3,600 million euros ) upset Europe, which threatens to take action on the matter.

“We are watching,” said Almunia on the debt of Spanish clubs


The first step has been to investigate seven teams ( Real Madrid, Barcelona, ‚Äč‚ÄčAthletic, Osasuna, Valencia, Elche and Hercules ) for alleged illegal public aid, but it may not be more than the beginning. Almunia warned that “I do not exclude any possible opening of investigation into possible illegal aid, either because we act ex officio or because of complaints from third parties”, when asked if the debt of Spanish football with the Treasury would be investigated.

And is that within the alleged illegal aid investigated by Brussels could enter the enormous debt of the Spanish clubs, unapproachable for many of them in the short and medium term. The amount owed is 3,600 million ( 2,700 if you do not count the two ‘giants’, Real Madrid and Barça ), while with the Treasury is 660 million (at the end of 2012). That’s where Competition can open an investigation . Why has the clubs been allowed such a huge amount? Why is the payment of this amount so flexible? Could it be considered a kind of disguised credit and, therefore, illegal public aid?

The League has established strict economic control of football clubs for this and the following seasons, but should an investigation be opened, it would be necessary to assess whether it is sufficient. For now, the information has already been requested and will be studied to see if an investigation is opened: “We are looking at it”.

The threat, for the moment, looms over the Valencian clubs involved, and the shadow of a possible liquidation or restructuring , something that has happened in other cases, has not been ruled out by Almunia. “Companies in difficulty must be analyzed according to the European rescue and restructuring guidelines, we will see how the investigations progress and we will reach a conclusion,” he said.

Therefore, should an investigation into the debt of Spanish football in general be opened, many would be in serious danger of disappearing. Historical as Deportivo de la Coruña, Zaragoza, Mallorca, Espanyol Valencia or Atlético must very important amounts of money.

Tranquility in the League

The Liga de Fútbol Profesional ruled on the investigation on Monday, even before it was confirmed, and publicly showed its unconditional and absolute support both to the clubs under investigation and to the rest of them, ensuring that all of them have acted “in accordance with the acquis communautaire and current Spanish legislation at all times. “

The LFP has also been made available to all those clubs that need their support. Absolute support

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News Question of the week: What are capital-related benefits?

News Question of the week: What are capital-related benefits? News always well informed

Friday, 25.08.17 , written by Juliane Wellisch Even people on lower incomes can build a solid financial cushion by making smaller monthly payments. Employees and civil servants are sometimes supported by the employer or employer through capital-efficient benefits. Partly the state even increases the

Zusätzliches Geld vom Arbeitgeber

This is how asset-based services work

  • Employees and civil servants can receive from their employer up to € 480 per year in capital contributions.
  • In addition, there is the possibility for people with low and middle income to claim a bonus from the state.
  • In view of the low interest rates for subsidized savings contracts, it is advisable to find out about pension options before signing the contract.

What are capital-efficient services (VwL or VL)? These are regular additional payments from the employer , which can be invested in a bank or fund savings plan or home savings contract or can be used to pay off mortgage financing. The employer thus directly supports the asset retirement or debt reduction of his employee. The monthly support is up to 40 euros per month .

The money saved is available to the employee after seven years at the earliest – so savers need to be patient. However, with maximum payment after the minimum term 3,360 euros saved plus interest and, where appropriate, state support. If you want to have as much money as possible in the pot at the end, you should deal with the conditions of various forms of savings in advance, for example with the help of an expert.

Employee Savings: State support for low-paid workers

People with a low income profit particularly from the capital-efficient benefits. Because they receive up to a taxable annual income of 17,900 euros (35,800 euros for spouses and life partners) in addition to the so-called worker savings for housing purposes. This can be, for example, a home savings contract.

Those who prefer to invest the money in a bank or fund savings plan are entitled to additional government support up to an income limit of 20,000 euros or 40,000 euros . The employee savings bonus amounts to up to € 43 per year for singles who invest in a home savings contract, and up to € 80 for savings plans .

But beware: If the employer does not pay the maximum amount of 480 euros of capital contributions per year, the entitlement to the additional premiums is reduced. Savers can, however, increase the amount independently, in order to secure in this way the full support from the state.

Double benefit with two contracts

The employee savings allowance can be claimed simultaneously for two contracts. This means that singles can receive up to a total of € 123 annually for a savings contract and a home savings contract from the state.

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Housing Premium: Alternative support for home ownership

People whose taxable income is just above the ceiling for the employee savings bonus may be eligible for the Housing Plan Premium. To do this, they must invest the capital-building benefits in a home savings contract or use them to acquire cooperative shares or savings agreements that also serve to acquire residential property.

The income limit for the housing premium is € 25,600 (€ 51,200 for co-disputed spouses / partners) . If at least 50 euros per year are paid, savers receive 8.8 percent of the expenses as a premium, but a maximum of 45.06 euros per year (90.11 euros) .

Are duties payable on capital goods?

Asset-based services are neither tax-free nor tax-free . This means that the employer pays the full promised amount into the contract. However, the benefits are actually factored into the gross income, so that the amount of the levies increases accordingly. Depending on factors such as the personal tax rate and the tax code, this reduces the net income .

For example, with an income of 3,000 euros per month, around 615 euros will be payable monthly . If the employer pays additional capital contributions of 40 euros, the taxes rise to 624 euros .

However, there is the possibility of investing the capital gains into a company pension plan. Then in the deposit phase no taxes and social security contributions are due, but in the pension phase .

Does the employer have to pay capital contributions?

Asset-based services are generally voluntary support by the employer . Therefore, workers can not insist on the benefits. However, some collective agreements and employment contracts provide VwL in a certain amount. In particular, workers who are entitled to the employee savings bonus or the housing premium may also ask their boss to pay VwL instead of a salary increase, as they may benefit more from the allowances .

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Financial test: debt repayment can save money


Berlin – Who pays a installment loan, should think about a rescheduling. Because of the currently low interest rates consumers can potentially save a lot of money, explains the Stiftung Warentest in the journal “Finanztest” (issue 2/2014). The higher the residual debt and the original interest rate, the more borrowers benefit from the currently low interest rates.

Picture: Zero provision 

Two examples: A consumer took out a loan of 10,000 euros three years ago at an interest rate of 8.9 percent. The term is six years. If a new loan with 5 percent interest is taken and the old loan is replaced, the consumer saves 278 Euro. With a loan amount of 20,000 euros, the interest savings by rescheduling even 556 euros. A prepayment penalty of 1 percent of the remaining debt was taken into account in the examples.


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