Xabi Alonso is set to take over as Real Madrid ’s head coach for the 2025–26 season, officially succeeding Carlo Ancelotti after the Club World Cup this June. The appointment comes after weeks of speculation and is now backed by signed agreements and confirmations from key sources, including Fabrizio Romano and Spanish journalist Josep Pedrerol.
Contract details and transfer compensation
According to Fabrizio Romano, Alonso has signed a three-year contract with Real Madrid that runs until 2028. The deal has been finalized with staff sorted, and Alonso is expected to begin officially after the FIFA Club World Cup in June 2025.
Romano wrote on X (formerly Twitter):
“Xabi Alonso to Real Madrid, here we go! Story confirmed and deal sealed for Xabi as new manager until 2028. Staff sorted, contract in place and three year deal for Alonso with Real planning for him to start at FIFA Club World Cup.”
Spanish journalist Josep Pedrerol added further timing specifics, stating:
“Alonso will be Real Madrid’s coach from 1 June. He’s signed for three seasons. There were doubts about the Club World Cup but he will travel for it.”
While earlier reports suggested that Real Madrid might have to pay as much as €20 million to release Alonso from Bayer Leverkusen , more recent reporting by BILD (via 90min) indicates the fee has been negotiated down significantly. Real Madrid is expected to pay between €5 million and €10 million (£4.2m–£8.5m)/($5.45m-$10.9m), reflecting a more modest release agreement.
There’s also reportedly a gentleman’s agreement in place between Alonso and Leverkusen, allowing him to leave for a former club, like Real Madrid, without major resistance. As part of the arrangement, Real Madrid may also send a player to Leverkusen, although the identity and terms of such a transfer are not yet public.
Why Alonso is making the move
Alonso, who played for Real Madrid from 2009 to 2014, has been on the club’s radar for months. His remarkable transformation of Bayer Leverkusen, from relegation battlers to unbeaten Bundesliga champions and DFB-Pokal winners in 2024, made him one of Europe’s most in-demand young coaches.
On Friday, Alonso announced he would be leaving Leverkusen at the end of the 2024–25 season.
In an emotional farewell, he said:
“This week the club and I have agreed that these two games are going to be my last as Bayer Leverkusen coach. It is not a moment to talk too much about the future because we want to have a proper farewell on Sunday… I spoke this morning with the players, the staff, so many people who have helped me during an unbelievable, fantastic three years.”
His departure aligns with the end of Ancelotti’s tenure at Real Madrid. The Italian is expected to take over the Brazil national team after Real Madrid’s final La Liga match on May 25, 2025. Interim management at the Club World Cup could be handled by Santiago Solari , currently a club director.
What Alonso brings: Staff, tactics, and role in transfers
Alonso will bring with him key members of his trusted staff, including Sebas Parrilla, his colleague from Real Madrid’s youth teams, and physical trainer Alberto Encinas. Goalkeeper coach Luis Llopis is expected to remain. The status of current fitness coach Antonio Pintus is still to be determined.
Tactically, Alonso favors a 3-4-2-1 system, with a strong focus on positional play, vertical compactness, and adaptive pressing. His teams at Leverkusen were noted for building from the back under pressure, using wide center-backs and deep-lying midfielders to create numerical superiority in transition and possession.
Despite Alonso’s rising stature, Real Madrid has made it clear that transfer decisions remain with the club. Alonso will be allowed input, but not control. However, sources confirm that his assessments align with the club’s priorities, specifically targeting a left-back, a center-back, and with Trent Alexander-Arnold already widely expected to join as a new right-back.
Pedrerol hinted at these signings in a broadcast, saying:
“He [Alonso] will be one of the new faces, not the only one. Because the three new signings of Real Madrid will also travel [to the Club World Cup]. You already know that Trent Alexander-Arnold is one of those… and two signings… I can’t reveal their names yet. One is a left-back and the other is a centre-back.”
Challenges ahead
Alonso arrives at a time when expectations are sky-high. Real Madrid is enduring a trophyless season under Ancelotti, having fallen short in both La Liga and the Champions League. An upcoming El Clasico against Barcelona on May 11 is being seen as a final pivot point in their domestic campaign.
Given the club’s hunger for silverware, Alonso’s challenge will be immediate: to restore dominance on both domestic and European stages while transitioning into a role that allows for very little margin of error.
He's gonna make admin cry. 🥹 pic.twitter.com/LOoQ27p95t
— Bayer 04 Leverkusen (@bayer04_en) May 11, 2025
Contract details and transfer compensation
According to Fabrizio Romano, Alonso has signed a three-year contract with Real Madrid that runs until 2028. The deal has been finalized with staff sorted, and Alonso is expected to begin officially after the FIFA Club World Cup in June 2025.
Romano wrote on X (formerly Twitter):
“Xabi Alonso to Real Madrid, here we go! Story confirmed and deal sealed for Xabi as new manager until 2028. Staff sorted, contract in place and three year deal for Alonso with Real planning for him to start at FIFA Club World Cup.”
🚨🤍 Xabi Alonso to Real Madrid, here we go! Story confirmed and deal sealed for Xabi as new manager until 2028.
— Fabrizio Romano (@FabrizioRomano) May 12, 2025
Staff sorted, contract in place and three year deal for Alonso with Real planning for him to start at FIFA Club World Cup.
Ancelotti farewell soon, then Xabi era. 🎞️ pic.twitter.com/s6jY4DzZmx
Spanish journalist Josep Pedrerol added further timing specifics, stating:
“Alonso will be Real Madrid’s coach from 1 June. He’s signed for three seasons. There were doubts about the Club World Cup but he will travel for it.”
While earlier reports suggested that Real Madrid might have to pay as much as €20 million to release Alonso from Bayer Leverkusen , more recent reporting by BILD (via 90min) indicates the fee has been negotiated down significantly. Real Madrid is expected to pay between €5 million and €10 million (£4.2m–£8.5m)/($5.45m-$10.9m), reflecting a more modest release agreement.
🚨 Fernando Carro and Real Madrid discussed a possible fee of €5m-10m for Xabi Alonso joining Real Madrid.
— Madrid Zone (@theMadridZone) May 9, 2025
It also cannot be ruled out that Real Madrid players will join Bayer Leverkusen. @BILD pic.twitter.com/sSthI21VRq
There’s also reportedly a gentleman’s agreement in place between Alonso and Leverkusen, allowing him to leave for a former club, like Real Madrid, without major resistance. As part of the arrangement, Real Madrid may also send a player to Leverkusen, although the identity and terms of such a transfer are not yet public.
Why Alonso is making the move
Alonso, who played for Real Madrid from 2009 to 2014, has been on the club’s radar for months. His remarkable transformation of Bayer Leverkusen, from relegation battlers to unbeaten Bundesliga champions and DFB-Pokal winners in 2024, made him one of Europe’s most in-demand young coaches.
On Friday, Alonso announced he would be leaving Leverkusen at the end of the 2024–25 season.
In an emotional farewell, he said:
“This week the club and I have agreed that these two games are going to be my last as Bayer Leverkusen coach. It is not a moment to talk too much about the future because we want to have a proper farewell on Sunday… I spoke this morning with the players, the staff, so many people who have helped me during an unbelievable, fantastic three years.”
His departure aligns with the end of Ancelotti’s tenure at Real Madrid. The Italian is expected to take over the Brazil national team after Real Madrid’s final La Liga match on May 25, 2025. Interim management at the Club World Cup could be handled by Santiago Solari , currently a club director.
What Alonso brings: Staff, tactics, and role in transfers
Alonso will bring with him key members of his trusted staff, including Sebas Parrilla, his colleague from Real Madrid’s youth teams, and physical trainer Alberto Encinas. Goalkeeper coach Luis Llopis is expected to remain. The status of current fitness coach Antonio Pintus is still to be determined.
Tactically, Alonso favors a 3-4-2-1 system, with a strong focus on positional play, vertical compactness, and adaptive pressing. His teams at Leverkusen were noted for building from the back under pressure, using wide center-backs and deep-lying midfielders to create numerical superiority in transition and possession.
Despite Alonso’s rising stature, Real Madrid has made it clear that transfer decisions remain with the club. Alonso will be allowed input, but not control. However, sources confirm that his assessments align with the club’s priorities, specifically targeting a left-back, a center-back, and with Trent Alexander-Arnold already widely expected to join as a new right-back.
🚨⚪️ Real Madrid have always planned for Xabi Alonso to be their manager at the Club World Cup… and they also want Trent Alexander-Arnold to be there.
— Fabrizio Romano (@FabrizioRomano) May 12, 2025
Xabi will start new chapter at Madrid with Club World Cup, as reported — he’s ready to start working immediately. pic.twitter.com/tWfDN5F2qL
Pedrerol hinted at these signings in a broadcast, saying:
“He [Alonso] will be one of the new faces, not the only one. Because the three new signings of Real Madrid will also travel [to the Club World Cup]. You already know that Trent Alexander-Arnold is one of those… and two signings… I can’t reveal their names yet. One is a left-back and the other is a centre-back.”
Challenges ahead
Alonso arrives at a time when expectations are sky-high. Real Madrid is enduring a trophyless season under Ancelotti, having fallen short in both La Liga and the Champions League. An upcoming El Clasico against Barcelona on May 11 is being seen as a final pivot point in their domestic campaign.
Given the club’s hunger for silverware, Alonso’s challenge will be immediate: to restore dominance on both domestic and European stages while transitioning into a role that allows for very little margin of error.
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