The Magpies were on the verge of breaking the Premier League Profitability and Sustainability Rules (PSR) until they raised an estimated £68 million on Sunday night by selling Anderson to Nottingham Forest and Minteh to Brighton & Hove Albion. After Manchester United and Newcastle United agreed on a compensation package for the sports director, Newcastle will also get a price for Dan Ashworth.
According to The Telegraph, there was a £60 million deficit in the club’s records 48 hours prior to the June 30 accounting period deadline. PSR permits teams to lose £105 million during a three-year rolling cycle.
Minteh, who signed a £33 million contract with Brighton, left Danish side Odense Boldklub after United spent £7 million to sign the 19-year-old. After spending the previous season on loan at Feyenoord, he departs having never kicked a ball in black and white.
In contrast, Anderson’s exit from the academy is seen as “pure profit” in terms of PSR. The 21-year-old midfielder’s £35 million purchase from Forest equals the club record Andy Carroll to Liverpool 13 years ago.
The real scenario was unknown to anyone outside the football team, but Craig Hope of the Daily Mail claims that Newcastle would have lost ten points if they hadn’t raised the required money. At one point, according to the same magazine, United thought about trading Gordon to Liverpool in order to make up the difference.
Last season, two Premier League teams—Nottingham Forest and Everton—were docked points for noncompliance.
A 10-point punishment was imposed on Everton in November for violating the PSR over the three-year period that concluded with the 2021–2022 season. In February, that was lowered to six due to an appeal. The Toffees were eventually deducted two more points for a second infraction, but they were still able to stay in the Premier League.
Despite being docked four points for excessive spending during the 2022–23 season, Forest managed to stay in the top division.
The Premier League is about to alter its financial regulations. Clubs have agreed “to trial an alternative League-wide financial system next season (2024/25) on a non-binding basis,” according to a statement made public last month.
The clubs will continue to test Squad Cost Rules (SCR) and Top to Bottom Anchoring Rules (TBA) in secret, but the current Profitability and Sustainability Rules (PSR) will stay in effect.
This will make it possible for the League and the clubs to finish their consultation with all pertinent parties and to thoroughly assess the system, particularly how FIFA’s new financial regulations operate.
“The overall system aims to provide clubs, supporters, and stakeholders with certainty and clarity while preserving and enhancing clubs’ financial sustainability and the competitive balance of the Premier League, encouraging aspiration among clubs, facilitating a workable alignment with other relevant competitions, and supporting clubs’ competitiveness in UEFA club competitions.”
SCR will limit on-field spending to 85% of a team’s football revenue and net profit or loss from player sales.
“Based on a multiple of the predicted lowest central distribution for that season, TBA is a League-level anchor associated with football expenditures. It is intended to be a preventative step to safeguard the Premier League’s competitive balance. This safeguard is meant to remain inactive until there is a notable discrepancy in club revenue.
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