Simon Jordan has moved into Newcastle United’s corner after going on a passionate rant about the Premier League’s Profit and Sustainability Rules.
It is no secret that the Magpies have suffered tremendously from PSR since the January 2024 transfer window. More players have been sold than signed to ensure the club avoids future points deductions.
Newcastle United are now in a position to spend well this summer, but it was not always the case. Eddie Howe was forced to sell Elliot Anderson and Yankuba Minteh in 2024 to get the club out of a £60m PSR blackhole.
In January, Miguel Almiron joined Atlanta United for £11m, and Lloyd Kelly was loaned to Juventus, a deal that has now been made permanent. The Newcastle manager confirmed those deals were motivated by PSR and that he would have preferred to keep them both in an ideal world.
With PSR continuing to be a problem for Premier League clubs, former Crystal Palace owner Simon Jordan has surprisingly gone into Newcastle’s corner after making a valiant statement on the rules.
A close view of the Premier League trophy at Anfield before a Premier League game between Liverpool and Crystal Palace.
Photo by Carl Recine/Getty Images
Simon Jordan criticises PSR amid Newcastle United struggles
Newcastle are due a £73m PSR boost after the June 30 deadline, with their heavy losses from three years ago dropping off the cycle. The hope is that the Magpies do not struggle with PSR again, with Champions League football and the Adidas sponsorships helping the club make an impressive turnover.
In March, Newcastle’s accounts were revealed to be impressive, with the club confirming a turnover of £320m for the 2023/24 season. That figure is actually more than CEO Darren Eales had estimated at the time.
However, the damage has already been done with PSR, and Jordan is well aware of it. Speaking on TalkSPORT about PSR, Jordan said: “I don’t think it serves the purpose that I might have envisioned initially it was brought in to do.
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“I think all it does is maintain the status quo and change the direction of travel of something that’s ultimately been very successful.
“If you open the Premier League for business then you have opened it for business. Now to shut it again and suggest that you control it and control ambition?
“I’m not comfortable with it anymore. I thought as an owner it would encourage the reduction of hyperinflation on wages. It would control transfer fees. It has done none of the above.
“All it’s done is cement those that have already got into a position where those that want it can’t get there.”
Newcastle United may not have to worry about PSR in the next few years
The threat of PSR is always looming, with other Premier League clubs still trying to claw their way out of deficits to avoid points deductions. Most recently, Aston Villa considered selling their women’s team to reduce the £195m they have lost over the last two years.
It also looks like Unai Emery’s side could sell some of their players before Monday’s deadline to ensure they are compliant with the rules.
Newcastle are interested in Villa’s Jacob Ramsey, who could cost them just £29m this summer if Emery is forced to sell. The Magpies were in a similar position last year, but managed to get out of it by sticking to the rulebook. It remains to be seen whether the same will happen with Villa.
⚫️ Financial results
⚪️ FFP challenges
⚫️ Infrastructure investment
⚪️ January transfer window
We spoke with #NUFC CEO Darren Eales after financial results for the 2022/23 financial year were announced. pic.twitter.com/V7EM0m3XwM
— Newcastle United (@NUFC) January 11, 2024
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Thankfully, PSR could soon be a thing of the past for Newcastle, as they continue to do well financially. The Adidas sponsorship is a great money-maker, and a return to the Champions League will also be a big help.
Geordie Boot Boys discovered that Newcastle have already made £30m from the Champions League without a ball even being kicked. Because it is their second appearance in three years, Newcastle will benefit more from the Champions League’s ‘value pillar’, which rewards teams with a higher UEFA coefficient ranking with more money.
That figure could increase significantly depending on performance, with tens of millions up for grabs if they reach the knockout stages.