The January 2013 transfer window closed for Premier League clubs last night with spending figures almost double what they were last year. The figures were however substantially less than in January 2011, a transfer window which included the sales of Fernando Torres for £50 million and Andy Carroll for £35 million.

This year Premier League clubs shelled out approximately £120 million on transfers, eclipsing last year’s figure of £60 million. This is evidence of a renewed confidence in the transfer market and also coincides with an increase in the amount clubs will receive as broadcasting revenue. Premier League clubs will receive between £20 million and £30 million each next season. An interesting factor in the 2013 transfer window was that over half of the total amount spent came from only 3 clubs, Queens Park Rangers, Newcastle and Liverpool. This is largely due to the current competition on the playing field as clubs make last ditch attempts to avoid relegation or clinch a European place.

The recent introduction of UEFA’s financial fair play break even laws may have led to some of the other Premier League clubs adopting a more cautious approach in this transfer window as they seek to balance their books and achieve levels of spending which are sustainable in relation to their income.

It would also appear that the majority of Premier League clubs are now looking abroad to purchase new talent. 62% of the total transfer figure for January 2013 was accounted for by overseas purchases, 21% covered transfers between Premier League clubs and the final 17% related to purchases from Football League clubs. This is further evidence to fuel the argument that the English Premiership becoming saturated with foreign talent, making it very difficult for up and coming young English players to break through.

In the eleven January transfer windows from 2003-2013 Premier League clubs have now spent over £1 billion on new acquisitions. The spending in January over this ten year period has largely surpassed the spending levels in the other top European leagues. The reason for this is the lucrative broadcasting revenues awarded to the Premier League clubs which cannot be matched on the continent. The second highest spending figures this year came from Italy, where around 70% of the Premier League 2013 total was spent on players. Rather surprisingly there was very little activity in Spain; where less money was spent on new players than in the top leagues in Brazil and Russia.

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