Newcastle Can Now Compete With The Top Clubs

With the results of the profits for the Premier League the last financial year announced by Deloitte yesterday – it does seem like Premier League clubs are knuckling down and trying to at least break even financially – which is why the Financial Fair Play (FFP) rules put in place some years ago by UEFA President Michel Platini – to do exactly that.

lee charnley and mike ashley before wba game

Lee Charnley and Mike Ashley
We’ll pay only this amount for any player

The bottom line of the Financial Fair Play rules is to have clubs at least break even, so they don’t lose massive amounts of money such as clubs like Manchester City, Liverpool, QPR and many other PL clubs have over the last five years or so.

Newcastle have done well both on the revenue side and on the profit side, and we could well be the most profitable PL club for the last financial year – and that shows Mike Ashley strengths – he certainly knows how to manage the finances.

Hopefully the Newcastle owner will now shift gear –  and give us a good team by spending much more money on the squad – starting with big money being spent this summer.

Adam Bull is a Senior Consultant in the Deloitte Sport Business Group, and this is what he had to say about the impact of the Financial Fair Play rules:

“The introduction of cost control regulations at both a European and domestic level has caused many clubs to watch their spending more closely than ever before and created a useful tool for clubs to reduce the inflationary pressures during negotiations with players and agents.”

“Also, the current broadcast deal has given Premier League clubs such a large revenue advantage over the vast majority of European clubs that they can still attract the top playing talent without overstretching themselves financially.”

Of course the FFP favor the bigger clubs because they will have higher revenues than the smaller clubs – which means they can spend more money on transfer fees and wages and therefore are better positioned to get the best players.

However, clubs like Atletico Madrid and Southampton have shown in the last few years they can compete with the bigger clubs, even though they have much smaller revenues.

Look what Diego Simeone has done for Atletico Madrid since signing on for them in December of 2011, and Ronald Koeman and previously Mauricio Pochettino have done for the Saints – Southampton have shown thya can compete for a top four place in the PL.

Newcastle also showed that three years ago, and the club should stop telling us we can no longer compete with the top clubs in England – because that’s simply not true.

In truth there is not much to choose between the top sides and the bottom sides in England’s top league, and we saw that in action a week or so ago when Burnley beat Chelsea 1-0 and deserved to win.

The result was good for football and good for the fans – and shows to some extent that money isn’t everything in football.

Newcastle are at a crossroads right now, and have the opportunity to bring in a top coach this summer who can inspire our players, and a coach like that is worth an awful lot to any football club, and we hope we get one of those coaches in over the summer.

We should be able to pay a top coach big money to attract him to our club – so everything’s in place.

Newcastle just need to appoint a top coach now and the future may even be bright – as difficult as that may be to grasp by the large majority of Newcastle fans,  after all that’s happened.


Howay The Lads!!

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17 comments so far

  • geordie157

    Mar 27, 2015 at 3:56 PM

    Comment #1

    So next Wednesday Ashley will release a statement and confirm he’s going to spend 100 mill this summer.

  • jesperfuglsang - capt'n awesome of the lemon crew

    Mar 27, 2015 at 3:57 PM

    Comment #2

    Sliema…+47 97 17 30 00 😉

  • cyprus

    Mar 27, 2015 at 4:04 PM

    Comment #3

    Actually, tbh, I wouldn’t be quoting you if I used the phrase ‘blatant idiots’. The phrase was first officially observed exactly 100 years ago, in a book called ‘Kingdom of the Blind’.

    PS. That kingdom didn’t refer to NUFC 😉

  • jesperfuglsang - capt'n awesome of the lemon crew

    Mar 27, 2015 at 4:10 PM

    Comment #4

    Cyprus…dammit someone beat me to it 😉 lol

  • DokToon

    Mar 27, 2015 at 4:19 PM

    Comment #5

    Newcastle will clearly be top of the money league

    No money spent
    Increase in TV money
    Increase in commercial revenue
    Player sales
    Reduced wages

    We’ll still be one of the worst teams in the prem though fatty will be happy enough.

    you forgot,

    first in injuries
    first in rumors of new players
    first in liver abuse by the supporters watching this team

  • DokToon

    Mar 27, 2015 at 4:20 PM

    Comment #6

    1st part was reposted, sorry about that

  • jesperfuglsang - capt'n awesome of the lemon crew

    Mar 27, 2015 at 4:36 PM

    Comment #7

    lesh…what the goodwife spares the cat eats 😉

    …I am not sure what the fat man is saving for? Don’t they pay taxes of profits in the UK? It’s not it’s his money (it belongs to Newcastle United)

    Wouldn’t it be better to spend to accumulate?

  • Rotonda heights

    Mar 27, 2015 at 4:42 PM

    Comment #8

    saw something about Lucien favre. Now that would signal something positive and meaningful at last.

    any increased commercial revenue will just go to SD sadly.

  • Sliema

    Mar 27, 2015 at 4:42 PM

    Comment #9


    What is that number about?

  • Sliema

    Mar 27, 2015 at 4:48 PM

    Comment #10

    Ahh I see.

    Well I. Think it has an impact versus the reet of the premier league at least. It’s a lot closer in Newcastle in the winter than it is in London. I’ve lived in both for many years.

    But I didn’t say it was only that. I remember Albert Luque having an issue with our training pitches being too hard and at the time there were a few mentions of it.

    But if they’ve been redone since Luque was there then maybe not. Depends how well they’ve been built I guess.

    I agree too that our staff are pretty poor. Including our coaches and our fitness guys. Their track record is poor.

    But no matter who we have had employed at this club, we’ve always had injury problems. There must be something causing it.

  • Sliema

    Mar 27, 2015 at 4:49 PM

    Comment #11

    Rest* colder*

  • Carryingcoals

    Mar 27, 2015 at 4:51 PM

    Comment #12

    Hi all, getting back into blogging and starting some stuff for The Mag again soon too.

    Wrote an article ahead of the England match tonight, some NUFC link win there too about Michael Owen. Hoping this’ll be the start of me getting back into things!

    The cost of international football: Five famous club vs country debates

    Cheers, Carrying

  • Magpies-till-d3ath

    Mar 27, 2015 at 4:52 PM

    Comment #13

    Right here we do for a wee chuckle

    Janmaat Umtiti Lascelles Haidara
    Sissoko Grenier De Jong
    Cabella Mitrovic Ayew

    If there is a god…..

  • sickandtired

    Mar 27, 2015 at 5:26 PM

    Comment #14

    And it’s why commercial revenue is so important. Under FFP all of the commercial revenue profit can be used to improve the team.
    With who knows what retail agreement we have and free advertising for SD, it’s another area where Ashley skims from the Club rather than letting it truly punch it’s weight.

  • BoyDoneGood

    Mar 27, 2015 at 5:30 PM

    Comment #15

    Can at last compete with the top clubs? Don’t go there… I’ve been well and truly telt. “Sickening… fcuking insult…” etc. When Newcastle finished 5th on 65 points in 2012 it was – we have it on the good authority of several here – it was only because of the underperformance of other teams. That’s right folks! We only achieved 5th because we were better than 15 other teams that year! We were just lucky!

    Hang on, I’ll check that… just chortle over my computer for a mo’… Well, we didn’t just scrape a top 6 place. We were 9 points clear of 7th, and only 5 short of 3rd (needed for CL qualification that year).

    Let’s compare that with the last time we finished 5th, in the glorious SBR years. That achievement was based on just 56 points, only 3 points ahead of 7th and a massive 19 points behind 3rd.

    So, no, not a freaky 5th in 2012 at all. The GD was low, and the reason isn’t hard to find – several multigoal thrashings which were ugly to watch. Nevertheless, 5th with 65 points is a successful season.

    Do the sums.

  • OneAlanShearer

    Mar 27, 2015 at 5:33 PM

    Comment #16

    We will buy players but as per usual the club will stop short of buying enough to keep us competitive. I don’t believe anything will change under greedy ashley.

  • Lindisfarne

    Mar 27, 2015 at 6:10 PM

    Comment #17


    I was trying to find a line graph to show the finishing places of all the PL clubs over the past 5 years, but I have run out of time. Alternatively take a look at this and see what summary you can make of the 2011-12 season overall.


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