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How landmark Everton compensation prevented Burnley record loss

How landmark Everton compensation prevented Burnley record loss

Summary

Burnley’s 2025-26 accounts show a £9 million loss, helped by a £77.7 million payment from its ownership group and £38.8 million in compensation from Everton. The Everton award is under appeal, and without it Burnley’s loss would have been £47.8 million, a record for the club.

Key Facts

  • ALK Capital bought Burnley in 2020 using a £65 million loan secured against club assets and £37 million from the club’s bank balance.
  • Burnley’s borrowings reached £142.3 million in the 2024-25 accounts, including a refinanced loan and debts tied to future transfer payments.
  • Velocity Capital, the owners’ holding company, paid Burnley £77.7 million of the £80.1 million it owed the club for the purchase.
  • Burnley reported a £9 million loss for 2025-26, compared with losses of £24 million to £29 million in each of the previous three seasons.
  • Everton paid Burnley £38.8 million after a ruling linked Everton’s profit and sustainability breach to Burnley’s relegation chances in 2021-22.
  • Everton’s compensation payment is subject to an appeal expected to be heard in January.
  • Burnley said the appeal could result in repayment of anywhere from none to the full £38.8 million award.
  • Without the Everton payment, Burnley’s 2025-26 loss would have been £47.8 million, despite record revenue of £144.5 million.
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