Leicester City’s Premier League title boosts local economy
21 November 2016
- Club’s success in 2015/16 helped increase the region’s GDP, created jobs and increased tax contribution
- 120,000 visitors travelled to Leicestershire to watch the club play in 2015/16
- Champions League football now presents the club and the region with significant opportunities
The success of Leicester City Football Club in the 2015/16 season has boosted the local economy by over £140m in Gross Value Added (GVA), supported over 2,500 jobs, and generated over £78m in tax revenues, a new EY study has found.
The EY report, conducted for Leicester City and the Premier League, assessed the direct and indirect economic contribution of the Club to the Leicestershire region. It estimates that during the Club’s 2015/16 title-winning season, around 120,000 visitors travelled to Leicestershire to watch Leicester City matches. The study estimates that visiting fans spent over £6.5m on local travel, accommodation, retail and food & drink, stimulating additional economic activity and supporting over 380 jobs.
The economic contribution of the Club was also boosted by its investment in its local community through two charitable foundations; the Leicester City Football in the Community Trust and Leicester City Foxes Foundation. In 2015/16, the Trust provided opportunities for local young people to play sport and improve their education and employment opportunities, spending around £580,000 on projects that benefited 6,600 local people. The Club has also announced a £2m donation to the Leicester Hospital Charity.
Mark Gregory, EY’s Chief Economist, says: “The sporting and commercial success of the Club in 2015/16 and the projected growth in 2016/17 has allowed it to further embed itself as a key participant in the local economy. As the Club grows it attracts more fans, employs more people, engages more local suppliers, invests more in community facilities, increases the region’s global profile and elevates its attractiveness to visitors and businesses alike.”
Success on the pitch stimulates a major investment programme
With strong performances in its first-ever UEFA Champions League campaign, the economic contribution of the Club is also expected to increase. The EY study shows that additional stadium revenue of up to £4m, based upon additional home matches, and prize money of between £29m and £96m, depending upon the Club’s performance, is up for grabs. European fixtures are also expected to attract up to 10,000 additional international visitors, contributing up to £8.4m to the region.
Mark Gregory concludes: “The success of Leicester City has provided an additional platform for growth for the Club and can be expected to attract investment into the region. It is clear that with the expected uplift in activity as a result of winning the Premier League and from the additional investments in their stadium and training facilities the Club is likely to contribute significantly more to the regional economy going forward.”