Newsletter

The Government uses 10 million of the profits of football to help basketball and handball clubs

The Government has agreed to allocate ten million euros to basketball and handball clubs affected by the coronavirus pandemic, money that will come from the remnants provided by LaLiga with its benefits for image rights.

Specifically, the Council of Ministers this Tuesday approved an extraordinary credit of 10 million euros in the budget of the Superior Council of Sports (CSD), which will be the one who calls subsidies in competitive competition to the participating clubs of the professional Basketball leagues ( ACB) and handball (ASOBAL) to alleviate the effects of the COVID-19 pandemic in these sports.

This credit is covered by a decree law of 2015 on the commercialization of the exploitation rights of audiovisual content of professional football competitions.

For the announcement of these subsidies, it is necessary to approve a budgetary modification to enable and provide sufficient credit in the budget of the Higher Sports Council, with amounts from 1.5% of the income obtained in the joint commercialization of football audiovisual rights professional.

THE DAMAGES OF “CLOSED DOORS”
The Government considers that the clubs participating in the basketball and handball leagues need financial support to mitigate the so-called ‘closed door effect’ that carries with it the lack of income from season tickets and ticket sales, as well as to face the additional cost derived of the COVID-19 pandemic. Specifically, the ACB clubs will receive eight million and those of ASOBAL will distribute the other two million.

The subsidies will make it possible to strengthen and clean up the basketball and handball competitions mentioned above as a promotion measure, helping the beneficiary clubs to defray part of the expenses that the aforementioned pandemic has generated.

For its financing, the CSD has a remaining treasury with affected financing from the Professional Football League (LFP) for an amount of 11,486,220 euros, which is derived from the application of that decree-law of 2015.

That rule establishes that each of the clubs and entities participating in the National League Championship, in any of its categories, must annually comply with a series of obligations in proportion to the income obtained from the joint commercialization of audiovisual rights, and this in order to improve the promotion and operation of the competition and contribute to the promotion of sport in general.

Thus, the decree-law established that these participating clubs and entities will deliver to the Superior Sports Council a contribution of 1.5% of the income obtained from the commercialization of audiovisual rights, an amount that will be allocated to the promotion, promotion and dissemination of the federated, Olympic and Paralympic sports, as well as the internationalization of Spanish sport.

A subsequent decree law, of 2020, created the Spain Sports Globa Foundation (FSP) as a non-profit organization, with legal personality and full capacity to operate, but until the approval of its statutes and registration in the Registry of Foundations, the Higher Sports Council will be the one who directly manages the planned aid.

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *

Trending