Newcastle’s Financial Thrift Builds Foundation For Success

Alan Pardew has performed wonders on Tyneside,  since he arrived to replace the popular Chris Hughton in December of 2010.

Alan Pardew – pointing the way at Newcastle

Since Alan arrived he kept the momentum going that Hughton had created at Newcastle, and the lads finished 12th top of the league last season, and were never really in any relegation trouble.

This season Newcastle started off with 11 games unbeaten, and have been in and around the top seven or so all season, and at one point we were in 3rd position in the table, behind only the top two Manchester  clubs.

That has all been achieved on very little  net money being spent in the transfer market, and with the help of Chief Scout Graham Carr, Newcastle have made some tremendous bargains in the transfer market, over the last couple of years or so.

Alan Pardew knew all about the way Newcastle were being run before he signed on as manager of Newcastle, and today he has explained why the financial thrift is necessary at Newcastle:

“From day one I’ve tried to be open and honest about the financial model we’re ­operating. I understood the fans’ initial ­resentment.”

“Mike Ashley set out to make Newcastle self-financing and I knew exactly what that framework entailed when I took the job in December 2010.”

“I’ve aimed to be transparent with the supporters, and give them clarity about what we are trying to achieve and how we will operate in the transfer market.”

“They know that in ­certain circumstances we will sell players.” “At a club like this, where huge money was spent in the past on top players such as Alan Shearer and Michael Owen, it was inevitable that some would not be happy with our spend.”

“Many were unhappy with the sale of Andy Carroll – but that ­£35M has helped us build a team that has exceeded all expectations this ­season.”  “Our policy makes sound financial sense in a harsh economic ­climate and with UEFA financial fair play rules looming.”

“Mike was determined that the club’s future would not be put at risk by ­spending money we could not afford. We have all seen what has happened at Portsmouth and Rangers.”

“Now I think a lot of Newcastle fans are starting to see the bigger picture and appreciate what we are doing makes sense.We set out to find value in the transfer market and I believe we have succeeded.”

“We have been helped by the fact that signings such as Papiss Cisse, Demba Ba, Hatem Ben Arfa and Yohan Cabaye have come in and had an ­immediate ­impact.”  “And I have been helped by the fact that the backroom staff I inherited are first-class.”

“We have proved this season by breaking into the top six,  that we can be a force in the Premier League and we have laid ­foundations that I hope can keep us at the top end of the table in ­future years.”

Most fans have now accepted that strong financial controls are necessary at the Tyneside club, and while we will not spend big money on players like we did in the past under Freddy Shepherd – money we didn’t have by the way – fans are now keen to see the bargains Newcastle can make in the transfer market.

With Newcastle doing so well after spending so little money,  it puts the spotlight on clubs like Liverpool and even Manchester City who have spent millions and millions on their players, yet Newcastle are a match this season for both of those teams.

With the Financial Fair Rules coming into effect for European clubs like Manchester City, who lost over £190M in their last financial year, they will all will have to reign in their spending soon, and news recently that’s what Manchester City plan to do this summer.

The fair play rules will force European clubs to balance their books – what an odd  financial concept that is – and they can only spend what they bring in in revenues each financial year, but the rules are being phased in over a number of years.

We’ll see if Manchester City are true to their word, but there’s little doubt that Newcastle are now one of the best run clubs in England, and the club are in excellent financial shape, and we should be even better next season,  since we should be back in Europe.

These last three years since our relegation in May of 2009 have amounted to a tremendous comeback story for the club, and it’s been really unbelievable.

Let’s just check something – ouch  that hurt – I just pricked myself and it hurt really bad –  so this must all be true,  and it’s not a dream. 😀

Howay The Lads!!

11 comments so far

  • alip123

    Apr 15, 2012 at 9:48 AM

    Comment #1

    I was wrong completely about Ashley. There, I’ve said it!

  • Ben3arfa

    Apr 15, 2012 at 9:52 AM

    Comment #2

    I hope that Ashley and Llambias are not ticking towards any more disastrous decisions, certainly the past 24 months or so they have been spot on and have made the fans forget about their gaffs from earlier on in their tenure .

  • Wor Shearer

    Apr 15, 2012 at 9:57 AM

    Comment #3

    City’s loss might be £190m for one year but their income (with the stadium sponsorship money) is way over £100m already and is bound to increase.

  • jayphoto

    Apr 15, 2012 at 9:59 AM

    Comment #5

    aye they’re due a terrible decision! I don’t hold selling players against them too much, i mean players have more power than clubs these days, they can always refuse a move! Sad thing is most players will push for a move for more money! Not sure if anyone follows peter harrison, he used to be andy carrolls agent before he moved, reckons carroll tried to force a move to stoke when we got relegated and then again tried to force a move to wolves in the summer we were promoted, both for alot more money than he was on at the time!

  • shpetmeister

    Apr 15, 2012 at 10:08 AM

    Comment #6

    Lets say we get the 4 spot?

    And we meet a good spanish or italian side in the qualf. And we go out? Do we end in the Europa Leauge anyway ? Hehe, if that happends i will fear a New Paritzan incident like the last time… 🙁

  • Dirk Diggler SMB

    Apr 15, 2012 at 10:15 AM

    Comment #7

    Does anyone believe that these rules will be enforced?Put them rules in place now,then only us and Arsenal would qualify for the champions league!

  • solano

    Apr 15, 2012 at 10:50 AM

    Comment #8

    Dirk@7..the only people who truly believe they will be enforced are the people who have bought the club spin 100%.
    An admirable effort by European politicians it maybe, but the major European clubs – which is in effect a cartel of self interest – hold the real power (as has been shown by their manipulation of “Champions” League rules). Do UEFA really want to take those clubs head on, when they rely on them for a lot of their revenue??

  • Graeme

    Apr 15, 2012 at 11:10 AM

    Comment #9

    If anyone really believes UEFA would EVER ban a Barcelona, a Man Ure, Milan etc from their cup competitions for spending too much money, is living in dreamland.

    The clubs would set up their own European Super League and tell Platini to shove his Fair Play Rules where the sun dont shine.

    It will work, to a small extent as every club knows transfers are out of hand and clubs like Man City, with their new owners setting out to buy success at ANY cost, having to be curtailed to some degree.

    The EU Directives prevent restriction of trade, competition, free movement of people and finance etc – would Platini not end up being challanged in the EEC Courts if he tried to restrict clubs too much??

    I for one will believe it when I see it!!!

  • geordiejamie89

    Apr 15, 2012 at 11:16 AM

    Comment #10

    Compare us to other teams over big spending, and i’m proud about how well we’ve done this season, but we havn’t won anything. I don’t think we should get excited about whether we’re doing the right thing, until Newcastle are jumping up and down with a trophy.

  • oldbobaycliffe

    Apr 15, 2012 at 6:09 PM

    Comment #11

    football fans understand more about their clubs than chairmen and their fellow directors would like.we know when a club is well run and although we would like superstars coming through the gates we realise that we all cant have owners like man city . also at the start of this season the two clubs whose fans complained the most about their managers were those who supported blackburn and aston villa and one or even both could be relegated.perhaps football clubs should respect their fans not just take their money


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