Barcelona and Real Madrid dealt a blow in new Spanish TV rights deal

[Lebohang]

Barcelona and Real Madrid dealt a blow in new Spanish TV rights deal

 

New legislation to bring Spain in line with Britain and Italy

 

According to new legislation in Spain, Barcelona and Real Madrid will no longer be able to negotiate their own lucrative TV deals.

 

A new Spanish law governing the sale of television rights to broadcast football matches and the distribution of the income, was approved by the government on Thursday.

 

The law will regulate the rights to transmit first and second division games as well as the Copa del Rey and Super Cup competitions, the sports minister, José Ignacio Wert said.

 

The legislation will come into effect in 2016 and replace the current arrangements. Currently, individual clubs negotiate their own TV contracts in what is known as the “rights of arena” agreement.

 

The law aims to bring Spanish football in line with how Britain’s and Italy’s football leagues are marketed, and will correct existing “imbalances” in earnings that allow top clubs to claim a disproportionate amount of the TV income, leaving lesser clubs struggling for money.

 

Most of Spain’s 42 professional clubs were pressing governing bodies to negotiate a collective rights deal similar to that employed by the English Premier League, which in February struck a deal for 2016-19 worth £5.14bn.

 

Wert said the Spanish leagues obtained “somewhat less than €800m” for the 2013-14 season from the worldwide sales of its audiovisual rights. Spain’s two biggest clubs, Real Madrid and Barcelona, were able to reach lucrative TV deals that enabled them to consistently outbid rival clubs for players.

 

The sport ministry spokesman Miguel Cardenal, who heads Spain’s sports council, said the changes allow Spanish football to “adapt to modern times”. “You just have to see that last year the club that came last in the Premier League earned more than Atlético Madrid,” which won the Spanish league, Cardenal said.

 

The new legislation must still be approved by parliament before coming into effect as a law, but it is unlikely to meet much opposition as the ruling Popular Party of Mariano Rajoy, the prime minister, enjoys a majority in both chambers.

 

The Guardian

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