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News and Commentary On Newcastle United Football Club By Ed Harrison, A Proud Exiled Geordie And Lifelong Fan

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Big Clubs Trying To Circumvent Financial Fair Play Rules

11:12 am, Sunday, April 1st, 2012 by Dr. Ed Harrison · 25 Comments

Alan Pardew is concerned that the big  clubs will find various ways to circumvent the Financial Fair Play Rules being introduced by UEFA.

The Etihad Stadium

Basically the rules are meant to make football clubs balance their books, and they are restricted at only paying out  what they can bring in in revenues.

But some clubs, Manchester City is a good example, are starting to artificially inflate their income,  with what look to be artificial and illegal deals.

This is what Alan Pardew told the Sunday Sun today:

“I saw a worrying report this week on that which did worry me. It said that the big clubs are beginning to manoeuvre around it with commercial deals and ways of finding a loophole,” 

“Of course they’re going to have finance to throw at that in any shape or form that they want,  and it might become even more unbalanced.”  “That is something that the authorities need to really look at that and keep an eye.”

“Where we sit, we fit in quite nicely with that. Your Napolis and Athletic Biboa, who have a great chance of winning the Europa League. Clubs like that, we could come to the fore.”

“But it needs to work and I’m not sure they have got it all nailed down.”  “If we’re going to say it’s fair it needs to be policed. I think UEFA and Platini need to have a look at it.”

“If we want to even the market up in terms of spending let’s do it. Let’s attack it full blooded – if we’re going to do it.”

Good words from Alan there,  and it’s  a little worrying that teams like Chelsea, who lost £70M in the last financial year,  and Manchester City, who lost £194M, are still planning on spending big money on new players this summer.

One example of what Alan’s talking about is the Manchester City club naming their stadium The Etihad, and they have a £400M deal over 10 years for that from Etihad Airlines.

But it seems a sweetheart deal,  and is way out of sync with the real value of the naming right of the stadium, and compare that to the £2.8M a year Arsenal are getting for the naming rights of their stadium from Emirates Airlines.

Etihad are owned by the Abu Dhabi government,  and the airline has close ties with Manchester City owner, Sheikh Mansour,  who is himself a member of the Abu Dhabi Royal family.

In business, those deals are not allowed, and they shouldn’t be allowed in football, because  football is becoming a big global business.

A similar thing would be if Mike Ashley gave Newcastle £40M a year for the naming rights  to St. James’ Park, when they are probably worth only £10M a year - if that.

Hey, that might not be a bad idea, but it just wouldn’t be legal, since there are obvious conflicts of interest there.

But UEFA must ensure the Financial Fair Play Rules for European clubs are followed, and they’ve been dragging their feet in not yet saying the Etihad deal is invalid.

Comments welcome.



Tags: Financials · Newcastle News · Other News



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25 responses so far ↓

  • 1 Best9 // Apr 1, 2012 at 11:28 AM

    first :P pahaha

  • 2 solano // Apr 1, 2012 at 11:28 AM

    There’s a surprise…a cartel is unlikely to give up its hold on a game they dominate through greed and self-interest without a very dirty fight.

  • 3 Rowan Milsted // Apr 1, 2012 at 11:29 AM

    I totally agree with Alan here – UEFA are really going to have to enforce this with intelligence and discipline or big clubs will just ‘circumvent’ the rules – or take the Michael, in other words. City are the prime example.

    Clubs might even work so hard to exploit loopholes in the rule that they end up even better off, which would be both unfair and embarrassing for everyone concerned.

    Like Alan says, if we’re gonna do it, do it right.

    On today’s game, I’m very excited. I think there could be a few goals in this, we’ll just have to outscore them. I’d certainly take a draw but I really think we can beat them. We need huge games from all the days, especially our CB’s. Howay the lads!

  • 4 Rowan Milsted // Apr 1, 2012 at 11:29 AM

    *lads, not days!

  • 5 rich_toonfan // Apr 1, 2012 at 11:31 AM

    In fairness to city they have been clear with finances and have shown that the 400mil is not just for naming rights, it involves a lot of other things too.

    And although I think city are spending too much on players and wages at least it adds another team to compete at the top of the league.

    and with the huge new academy they are building it shows they are planning for the long run too.

    The biggest travesty in football is champs league revenue…once you get into the champs league its easier to stay in as you attract better players ad gain a lot more revenue every year.

    Look at liverpool, since they fell from the champs league they are no where near getting back in.

  • 6 rich_toonfan // Apr 1, 2012 at 11:35 AM

    from the previous story…

    If Ba wants to leave I have no problem….he has been a PSG fan so you could not knock him for it.

    I don’t care about players having no loyalty…..at the end of the day 99% of us would leave our jobs if a better paid or more successful opportunity arose.

  • 7 pengy // Apr 1, 2012 at 11:35 AM

    @ Pecerino

    I dont think Gamiero will be on huge wages to be honest he wasnt on alot at lorient and he stated that he wanted to go to psg, hes probably on about the same as cabaye is at newcastle. PSG will offer huge wages but only to players like Pato or Teves. then again why would you want to play football in france its rubbish haha

  • 8 HOVIS (the poster formerly known as cheick norris) // Apr 1, 2012 at 11:42 AM

    I’ve been saying this since the financial fair play rules were announced. the rich clubs will find loopholes or will simply refuse to acknowledge the rules.
    the rich clubs have too much power. i honestly don’t think uefa will be able to enforce anything

  • 9 jayphoto // Apr 1, 2012 at 11:42 AM

    I don’t begrudge ba a move to psg! But only to psg! French football is on the rise, Ba is a lifelong PSG fan, its a bit like shearer choosing us over man its those years ago, only a geordie would make that choice! BA is a parisienne, he stated years ago his dream to play at parc des princes! Also don’t forget, his whole family live in Paris, I personally work there a few times a year, its an amazing city to live in!

  • 10 pardew no 1 // Apr 1, 2012 at 11:53 AM

    this faiir play rule wont change a thing and if newcastle would sign a CB LB LM young ST and CF and sell the old crap smith xisco etc etc

  • 11 geordiejamie89 // Apr 1, 2012 at 12:09 PM

    They should just ban Man City from taking part in the buying transfers in the first season this rule comes into play. They’ll blatently be cheating on way or another, so they’ve already pretty much bought the league, so they’ll just buy officials or something. Takes the piss, I hope the owner gets bored once they’ve won the league, and sells leaving debt. They deserve it.

  • 12 Offkey // Apr 1, 2012 at 12:31 PM

    Krul; Simpson, Williamson, Perch, Gutierrez (c); Guthrie, Tiote, Cabaye; Ben Arfa, Cisse, Ba

  • 13 Offkey // Apr 1, 2012 at 12:32 PM

    jonas lb

  • 14 Offkey // Apr 1, 2012 at 12:33 PM

    subs Elliot, Ferguson, Santon, Gosling, R.Taylor, Vuckic, Ameobi

  • 15 super magpie // Apr 1, 2012 at 12:34 PM

    Hoping for a win today, it’s the first time we’re favourites to beat liverpool in god knows how many years, but I hope the lads put in a solid performance and get all 3 points.

  • 16 pardew no 1 // Apr 1, 2012 at 12:37 PM

    good team finally we can see the three centre mids waited for this for a while hwtl

  • 17 Offkey // Apr 1, 2012 at 12:39 PM

    Reina; Flanagan, Carragher, Skrtel, Enrique; Gerrard, Spearing, Shelvey; Suarez, Carroll, Bellamy

  • 18 Offkey // Apr 1, 2012 at 12:39 PM

    Two attack minded teams it seems…………may be a good one.

  • 19 Tooooon // Apr 1, 2012 at 12:41 PM

    Liverpool bringing out their big guns: Bellamy, Suarez & Carroll… Dogleash obviously thinks this is an important game.. Lets hope Bellamy’s knees give way.

  • 20 super magpie // Apr 1, 2012 at 12:42 PM

    Also these FFP rules are a good idea but if clubs are going to expose loopholes in it then UEFA need to sort it out, Big clubs are getting too much and too much power, the gaps between the good and bad teams is getting bigger. The PL could turn into la liga soon, because it’s just going to be man city and man utd top 2, (Barcelona and real Madrid) then arsenal, spurs, Chelsea, us, ( Valencia, athletico Madrid,Malaga,bilbao) then the rest will just be there to have 14 other teams in the league, surely UEFA are smart enough to see this. But there’s most likely bound to be some scam behind it.

  • 21 ilovetoon8788 // Apr 1, 2012 at 12:42 PM

    has the team list been submitted? is that confirm? how come bellamy is starting. he and suarez against our defence. haiz, i was so happy bellamy was out.

  • 22 toonbrother // Apr 1, 2012 at 12:43 PM

    strange line up Gutierez at left back? I dont know about that

  • 23 Sambo from belgium // Apr 1, 2012 at 12:51 PM

    wow… That’s quite a risk of pardew. I know it’s quite unrealistic but if we keep attacking, they can’t attack right ^_^?
    Anyways… are there any links?

  • 24 JAMSHA // Apr 1, 2012 at 1:08 PM

    bellmy starts :-(

  • 25 Graeme // Apr 1, 2012 at 9:03 PM

    Ask yourself one simple question – Is EUFA going to throw Milan, Barca, Real Madrid, Manure, Chelski et al out of their esteemed Champions Leage? The answer is NO CHANCE

    The clubs will threaten to form a breakaway league and Platini, being a frenchman, will surrender – because thats all they know.




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