Newcastle United will be unable to oversee a major renovation this summer due to the Premier League’s profit and sustainability criteria, and Nottingham Forest’s looming punishment demonstrates why the Magpies are taking the laws so seriously.
Nottingham Forest anticipate to learn their punishment in the coming days, as Newcastle United continue to follow Premier League financial guidelines to avoid a similar fate.
A hearing was held last week to determine Forest’s sentence after the club was charged for violating the top-flight’s profit and sustainability standards earlier this year. Nuno’s squad, which is now in 17th place, faces the potential of a points deduction after Everton received such a penalty in what was considered a standard punishment.
An independent commission punished Everton 10 points for a single infraction, but the penalty was reduced to six on appeal. Nonetheless, the sentence sent shockwaves through boardrooms across the country, including Newcastle, where CEO Darren Eales conceded it had ‘focused minds’.
Newcastle’s owners promised not to ‘abuse any systems’ from the start, and after spending upwards of £400 million to date, January was the first time the black-and-whites did no substantial business since the takeover. Because of the regulations, it would have been ‘impossible’ for Newcastle to make any acquisitions in the mid-season window without letting someone go; the Magpies even had to turn down a loan transfer for Kalvin Phillips, which turned out to be a blessing in disguise.
Newcastle’s coffers will be enhanced in the summer by the latest round of TV money, a lucrative sponsorship contract with Adidas, and revenues obtained from competing in the Champions League, but Eddie Howe stated last week that he does not see a’mass makeover’ this summer. “It’s almost impossible because of Financial Fair Play rules,” he said. “Any player that we lose from our squad must be replaced. It is quite expensive to find elite Premier League players. I’m certain there will be trading, but I’m not sure how much.”
