After an eight-year tenure and leading the team through 102 matches, Gareth Southgate has decided to step down as England manager.
The decision comes in the wake of England’s 2-1 loss to Spain in the Euro 2024 final in Berlin on Sunday night, marking England‘s second consecutive defeat in a European Championship final.
With a record that includes reaching two Euros finals, a World Cup semi-final, and a World Cup quarter-final, the 53-year-old, who was previously linked with the Manchester United job, will depart from his role with an impressive track record in major tournaments.
Prior to the final, Southgate shared his thoughts with German newspaper BILD, stating: “If we don’t win, I probably won’t be here anymore. Then it might be the last chance. I think about half the national team coaches leave after a tournament – that’s the nature of international football.”
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Southgate has been credited by some for transforming the mindset surrounding the England squad and their historical shortcomings in significant competitions, taking the team further than any manager since Sir Alf Ramsey. However, there are those who feel he failed to lead a highly skilled squad to ultimate success when it counted most.
With his contract set to expire in December, Southgate’s departure means he will not receive severance pay, though the Football Association (FA) may incur costs in seeking a successor, potentially eyeing figures such as Newcastle United’s Eddie Howe.
Southgate’s England salary
Southgate was handsomely rewarded for his tenure as England’s manager, with an annual salary believed to be around £5m. This made him the highest-paid manager at this summer’s Euros, earning slightly more than Germany’s boss Julian Nagelsmann, who reportedly receives £4.8m.
If England had clinched victory in the competition, they would have bagged some £23m in prize money, with Southgate set to receive a substantial bonus. Despite finishing as runners-up, over £20m has been secured in prize money.
This amount will be partially distributed among the 26-man squad, with Southgate and his staff also receiving compensation from this fund based on performance.
Calculating Southgate’s net worth
Estimating Southgate’s actual net worth can be challenging. As per 2020 data, Southgate’s net worth was approximately £9m, including property assets and sponsorship deals, with his £5m annual contract subject to the standard 45% income tax.
However, this figure has likely increased over the past four years due to his yearly salary, rewards for England’s tournament successes, and endorsement deals.
In 2017, like many top-tier footballers and high-profile managers, Southgate established a company, FHS Promotions Limited, to manage his image rights. His wife, Alison, also serves as a director in this company.
The player or manager can establish an image rights company, selling their rights to the company. The club or national team then pays a fee directly to this company for the use of their image rights.
This arrangement is also tax-efficient, as the money received is taxed at a 19% company rate, rather than the 45% tax rate applied to players’ salaries from the club. For some players, this method serves as a sort of savings account throughout their careers, allowing them to withdraw funds later for investment in other areas.
Southgate’s property portfolio with wife
Southgate and his wife are directors of a property company, MAS Investment Holdings Limited. The former England manager also sits on the board of another property firm, Arundel Property Fund Management Limited, where ex-England cricketer Alec Stewart is a fellow board member.
Southgate is among numerous ex-footballers and celebrities who have invested in the British film industry through a limited liability partnership with Inside Track Productions.
Considering his salary, endorsements, bonuses, and property portfolio, Southgate’s net worth has likely nearly doubled since it was last estimated. His time as England boss, with its high profile and associated wealth, has allowed the former Aston Villa and Crystal Palace defender to significantly increase his fortune.