Aston Villa Football Club has revealed losses of £37.6m in its latest accounts, making the total loss £112.75m during Randy Lerner’s five years as owner.
During the five year spell, Villa’s turnover has significantly risen from £22.4m to £79.9m but the club’s wage bill now accounts for 88% of the club’s turnover compared to 60% when the American acquired the club.
The Barclays Premier League side entered Deloitte’s Money League in 20th position this year, but this is based on turnover alone. Villa received £52m from television revenue whilst commercial turnover reached £14.4m and matchday receipts £24m.
Manager Gerard Houllier conceded the club had to reduce its wage bill. "We probably need to have a better balance between the salary [wage bill] and the turnover of the club," Houllier told BBC Sport.
"It won't be done overnight - it will be done gradually."
Whilst UEFA’s financial fair play regulations aren’t set to begin until 2012-13, Villa would be in breach of the proposed £39m losses allowed within a three season period in order to compete in competitions such as the Champions League and Europa League.