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Home Business News

Chelsea’s total payout on sacked managers in the last 20 years could rise up to £177.5m following Potter’s dismissal

Timothy Dehinbo by Timothy Dehinbo
April 3, 2023
in Business News, Sports
Chelsea’s total payout on sacked managers in the last 20 years could rise up to £177.5m following Potter’s dismissal
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Key highlights

  • Chelsea paid £21.5m in compensation to Brighton last September to allow Graham Potter to join them.
  • Despite spending an estimated £289.7m on players in January, Potter struggled to steady the ship.
  • A series of disappointing performances and results, including last weekend’s loss to Aston Villa, led to Potter’s sack.
  • He now becomes the 14th Chelsea manager to be sacked in the last 20 years, the second of the Todd Boehly era.
  • Potter is due for a world record £50m payout fee, but he might settle for considerable compensation.

Chelsea has sacked head coach, Graham Potter after Saturday’s 2-0 defeat to Aston Villa left the Blues languishing in the bottom half of the Premier league table.

Potter was announced as Thomas Tuchel’s successor in September, signing a five-year contract. He went unbeaten in his first nine games, winning six of them. That run was ended by a 4-1 loss in October to his former side, Brighton.

Further defeats in the Premier League and in the first leg of their Champions League last 16 ties against Borrusia Dortmund saw Potter come under intense scrutiny, but there were reports he had the full backing of Todd Boehly and the board.

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Three straight wins at the start of March, including a 2-1 aggregate turnaround against Dortmund seemed like they were getting it figured out, but dropping points against Everton and Villa was the last straw that cost Potter his job.

A statement on Chelsea’s official website read: “Chelsea FC has announced that Graham Potter has departed the club.

“Graham has agreed to collaborate with the club to facilitate a smooth transition. In his time with the club, Graham has taken us to the quarter-final of the Champions League, where we will face Real Madrid.

“Chelsea would like to thank Graham for all his efforts and contribution and wish him well for the future.”

Graham Potter’s sacking came just seven months after he replaced Thomas Tuchel. Although he had an underwhelming start to the season, Tuchel’s sack came as a shock to many, as it’s been reported it had more to do with off-the-pitch reasons.

Hire and Fire Policy at Chelsea FC

It might be a new era – the Todd Boehly era, but the club’s ruthlessness with managers is for sure, one of the traits passed down from Roman Abramovich’s time. Potter now becomes the 14th manager in 20 years to be sacked at Chelsea.

Chelsea is the most successful English team in the last 2 decades, and a major contributor to this is the club’s ability to make quick and audacious managerial changes when it is not going so well.

Chelsea racked up 19 trophies in Roman Abramovich’s 19 years at the club. 2 Champions League, 2 Europa League, 5 Premier League, and 5 FA Cups amongst others. But they came at a cost – Huge managerial payouts.

Managerial payouts

While some managers already have their terms of contract termination clearly outlined in their contracts, others rely on their legal advisors to reach a deal. Some others insist on being paid for the remainder of their contracts (where they will be put on “gardening leave” until a settlement is reached).

Roman Abramovich spent a staggering £112.5 million paying off sacked managers since he became Chelsea owner in 2003. Thomas Tuchel became Todd Boehly’s first after the takeover.

Past Chelsea managers, duration, and payouts

  • Claudio Ranieri (2000 – 2004) – £6million
  • Jose Mourinho (2004 – 2007) – £23.1million
  • Avram Grant (2007 – 2008) – £5.2million
  • Luiz Felipe Scolari (2008 – 2009) – £12.6million
  • Carlo Ancelotti (2009 – 2011) – £6million
  • Andre Villas-Boas (2011 – 2012) – £ 12 million
  • Roberto Di Matteo (2012 – 2012) – £10.7million
  • Rafa Benitez (2012 – 2013) – None
  • Jose Mourinho (2013 – 2015) – £8.3million
  • Guus Hiddink (2015 – 2016) – None
  • Antonio Conte (2016 – 2018) – £26.6million
  • Maurizio Sarri (2018 – 2019) – None
  • Frank Lampard (2019 – 2021) – £ 2 million
  • Thomas Tuchel (2021 – 2022) – £15million
  • Graham Potter (2022 – 2023)*

Graham Potter had a £ 16 million release clause written in his six-year contract signed at Brighton in 2019. Chelsea agreed to pay a £ 22 million compensation package to release Potter from that contract at the AMEX stadium. Members of his backroom staff such as Billy Reid, Bjorn Hamberg, and Kyle Macaulay all joined him at the Bridge.

Potter penned down a five-year deal worth £ 12 million per year at Chelsea. Hence, the total cost of the contract is £60million. Considering he has spent just a little over half a year of his contract, the total severe procedure is said to be worth around £ 50 million. This would be a world-record payout fee for a manager.

No exact fee has emerged just yet, but it is understood Chelsea won’t be paying out all of his remaining contracts. He will, however, receive a ‘significant compensation’ for his untimely department at Chelsea.


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Timothy Dehinbo

Timothy Dehinbo

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