Real Madrid has overtaken Manchester United as the world's most valuable football club, according to business magazine Forbes, BBC News reported.

It is the first time that Man Utd has lost the top spot since Forbes first started compiling its list in 2004.

Forbes now values the Spanish giant at $3.3bn (£2.2bn), with Man Utd in second place on $3.17bn. Barcelona is third.

Forbes said Real Madrid's financial success came despite the continuing woes of the Spanish economy.

"Real Madrid has been consistently delivering the highest revenues of any soccer team in the world, despite an intense economic meltdown in Spain," said Forbes.

After Barcelona on $2.6bn, Forbes found that Arsenal was the fourth richest club, worth $1.33bn, followed by Bayern Munich ($1.31bn), AC Milan ($945m), Chelsea ($901m), Juventus ($694m), Manchester City ($689m) and Liverpool ($651m).

David Beckham, now with French team Paris St-Germain, was the highest earning player, followed by Real Madrid's Ronaldo.