High-level football comes with the promise of fame, fortune, and financial security, but maybe not the last one if recent reports are anything to go by.
A number of former Premier League players – amongst them, Andy Cole, Michael Thomas, and Danny Murphy – are facing financial turmoil due to failed investment schemes and poor financial advice.
They have taken their grievances all the way to parliament, supporting the Investment Fraud and Fairer Financial Services Committee in the hope of preventing other people from falling victim to the same fate.
The cost of poor advice
With a strict training regimen and the press to engage with, footballers often rely on financial advisors to help them manage their newfound wealth; however, in the case of the aforementioned former pros, they were unfortunately steered in the wrong direction.
In Danny Murphy’s case, a £2.5m tax bill fell into his hands following a failed film scheme. Murphy has criticised HMRC for targeting him rather than the true perpetrators of the fraudulent investments.
Who is held accountable?
Whilst the players have been left to pick up the bill, many have argued that the real culprits are the advisors, accountants, and lawyers who enabled and promoted these schemes, using the footballers as their guinea pigs.
Tax fraud and get-rich-quick scams can happen to anyone, as evidenced by the string of famous footballers.
Whilst anyone can fall victim to misleading financial schemes, opting for trusted Gloucester accountants, such as https://www.randall-payne.co.uk/services/accountancy/gloucester-accountants, will ensure you don’t end up in the same situation.
HMRC
HMRC has not stayed silent on the matter. These schemes represent lost tax revenue, which is something HMRC is keen to recover. It argues that regardless of whether tax avoidance is intentional, it must be addressed to protect public finances.
A punishing retirement
Although footballers enjoy their financial success in their youth, statistics find that up to 60% of high-level players face financial difficulty post-retirement. Reports differ, but this specific case proves that financial security is never a guarantee, no matter who you are.