West Ham relegated despite win over Leeds
Less than three years ago, an estimated 70,000 jubilant fans gathered to celebrate West Ham's triumphant return to east London with the Europa Conference League trophy. The 2-1 victory over Fiorentina in Prague ended a 40-year trophy drought and appeared to signal a new chapter for a club long troubled by disputes following their controversial relocation from Upton Park to London Stadium in 2016.
Ironically, one of the few financial benefits of relegation is a reduction in the rent West Ham must pay to use the 62,500-capacity London Stadium in Stratford. London Mayor Sadiq Khan estimates this saving at approximately £2.5 million. However, in the broader financial context, this is a relatively minor relief.
West Ham's departure from the Premier League after 14 consecutive years has been met with significant criticism from supporters, alongside widespread uncertainty and concern about the club's future.
West Ham captain Jarrod Bowen (centre) faces a tough decision over his future
Going into the final match against Leeds on Sunday, West Ham faced a daunting task: they needed to win and hope Everton defeated Tottenham to avoid relegation. Consequently, many fans appeared resigned to their fate in the hours before kickoff, choosing to enjoy the intense heat rather than dwell on a disappointing season.
Frustrations surfaced after West Ham took the lead midway through the second half against Leeds, as fans directed angry chants towards chairman David Sullivan, whom many hold responsible for the club's current difficulties.
Despite the challenges, Sullivan can draw on positive past experiences when considering how to engineer an immediate return to the top flight. He achieved promotion twice during his tenure at Birmingham City, in 2007 and 2009, and again with West Ham in 2012.
On the first two occasions at St Andrew's, Sullivan retained the managers who had overseen relegation—Steve Bruce and Alex McLeish. At West Ham, he appointed Sam Allardyce, who secured promotion via the play-offs.
This iteration of West Ham is different, however. Sullivan no longer has his longtime business partner David Gold, who passed away in January 2023. Gold's daughter Vanessa now owns 25.1% of the club, US businessman Tripp Smith holds an 8% stake, and Royal Mail owner Daniel Kretinsky is in the process of matching Sullivan's 38.8% ownership by acquiring some of Gold's shares. Additionally, Sullivan's trusted vice-chair Karren Brady resigned in April, with Karim Virani stepping in as chief executive.
Financial concerns loom large. West Ham reported a loss of £104 million in their latest accounts ending 31 May 2025 and are projected to incur another significant loss this year, according to sources.
While this is a serious issue, it is somewhat mitigated by the English Football League's announcement of Squad Cost Rules for the 2026-27 season. Although details are pending, clubs will be permitted to spend up to 85% of their income on squad costs. West Ham's revenue is expected to surpass that of any Championship rival, potentially setting a record for the division.
Nevertheless, football finance analyst Swiss Ramble estimated West Ham's squad cost ratio for 2024-25 at 90%. The club itself acknowledged the financial impact of relegation in its latest accounts:
"The Group's principal business risk remains that of the men's football club being relegated with the serious financial consequences which follow. [In the event of relegation] more significant mitigating actions would be required such as further player disposals to generate transfer fee income and wage savings."
Club sources estimate overall revenue will decrease by between 50% and 60%. Recent accounts showed revenue at £227.6 million, down from £269.7 million the previous year.
What happens to Nuno?
West Ham manager Nuno Espirito Santo, who signed a three-year contract after replacing Graham Potter in September, had a challenging start, winning only two of his first 15 Premier League matches as the team fell seven points behind the safety zone. However, West Ham lost just three of their next 13 games, moving two points clear of Tottenham.
Despite a subsequent collapse and a tactical error necessitating a change just 26 minutes into a crucial match at Newcastle, the club reportedly desires stability this summer and would prefer Nuno to remain in charge.
It remains unclear whether the 52-year-old coach is willing to manage in the Championship again, a division he successfully exited with Wolves in 2018.
Following Sunday's game, Nuno declined to comment on his future, stating:
"None of us had a minute to think about our individual future, it was all about trying to stay positive and keep going and focus on the team. Anything with regards to the future first of all we have to go to this bad moment."
Bowen's future and squad considerations
Captain Jarrod Bowen remains the standout player in West Ham's squad. Alongside Tomas Soucek and goalkeeper Alphonse Areola, he is one of only three players who started the 2023 Europa Conference League final victory over Fiorentina still with the club.
Bowen's importance was reflected in the seven-year contract he signed four months after the triumph. The key question now is whether he will remain with the club.
Although Bowen is among West Ham's most marketable assets, the club hopes he will spearhead their promotion campaign. After relegation was confirmed, he told Sky Sports:
"I'm under contract here. There's going to be rumours, talk and nonsense out there but, ultimately, what I see is getting this club back in the Premier League. That's where it deserves to be."
Player departures expected
Several players are likely to leave the squad, where contractual clauses mean most would face significant wage reductions, up to 50% in some cases, following relegation, according to .
Axel Disasi, Adama Traore, and Callum Wilson are all out of contract this summer.
Midfielder Mateus Fernandes has been linked with Paris Saint-Germain and Manchester United and appears certain to depart, with West Ham aiming to recoup a substantial profit on the £40 million paid for him last August.
Senegalese defender El Hadji Malick Diouf, acquired from Slavia Prague for £19 million in July, is another player who could generate a profit if sold.
However, the club faces challenges in offloading other players due to poor recruitment since the 2023 European success. The £105 million received from Arsenal for Declan Rice and additional funds have been largely squandered.
For example, West Ham paid £40 million for Max Kilman from Wolves in 2024 on a seven-year contract, yet he has not played since late January.
German striker Niclas Fullkrug signed a four-year deal in 2024 at age 31 but joined AC Milan on loan in January after scoring only three goals in 29 appearances amid injury problems.
James Ward-Prowse has one year remaining on the contract he signed in August 2023. After joining Burnley on loan in January, he started seven games and appeared as a substitute in five more.
Next season, West Ham must confront challenges that fans celebrating in Prague could scarcely have imagined. Significant work lies ahead to restore the club's fortunes.
