Real Madrid’s Bale conundrum

Tottenham Hotspur v Manchester City - Premier League

The problems, then, are not rooted in the current ability on the pitch or, as it stands, trophy ambitions. No, they’re financial. It seems that, after years of being afforded ‘special status’, Madrid could – along with Barca – lose their status as a member-owned club and be forced to become a PLC.

Asier Illarramendi New Real Madrid Signing Press Conference

This comes about after a four-year investigation by the European Commission competition office (EC) into allegations of illegal state aid. The club are also under pressure for a land deal with Madrid’s city council in 1996, which is claimed by critics to be state aid.

The allegations stem from a ruling by the Spanish government in 1990, which demanded that all clubs become limited companies, apart from a chosen four. Madrid, Barca, Athletic Bilbao and Osasuna. These clubs remained member-owned, and therefore apparently reaped the benefits of advantages in corporation and property tax, as well as getting not-for-profit status under Spanish law.

According to the Independent, the professional clubs in Spain’s top-two divisions owe about £575m in unpaid tax. However, this figure doesn’t include the tax debts of the four clubs mentioned. So, with an alleged unfair tax advantage over most of La Liga, Spain’s top two have been able to pull away from their rivals, splitting around 50% of La Liga’s television revenue between them for good measure.

It could therefore be argued that the fees that both clubs regularly pay out (Madrid have already spent £68m this summer, while Barca paid over £50m for Neymar) are partly possible because of their tax advantages.

What makes this all the more intriguing is the bid for Gareth Bale. Madrid president, Florentino Perez, has refused to back down in his pursuit of the Welshman, despite Tottenham raising his price to £105m. If successful, it’s likely that Bale’s wages could also reach the £100,000 mark. That’s a huge commitment for Perez.

However, the pressure of the EC investigation could halt this and make him think twice. But, it’s been in the pipeline for four years and in that time Madrid have continued to spend.

Real Madrid v Real Zaragoza - La Liga

There are reports that Bale may not be welcome at the Bernabeu, with a brewing dressing-room backlash. A source is quoted in the Daily Mirror as saying one senior player was “surprised they were willing to pay so much for one player”. Another asked: “What about us?”

Bale may be entitled to ask: “What about me?” Madrid have probably gone too far to turn back now. The player’s head has been turned. He expects the move to happen. But, unlike previous years, there is now a growing EC shadow of discontent hanging over one of the most iconic venues for international events, the Bernabeu.

The legendary venue is well worth a visit, even for the neutral, the atmosphere is always electric. The reputation for hosting the finest football in the world, well earned. There are always a wide range of tickets available and if you haven’t been yet, you really should.

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