FFP is dead ( Spurs consequences)

[Delboy75]

As the stadium kicks in I’d suggest this is good news for us and very bad for Newcastle. Sorry it’s paywall article maybe someone can find it without. It looks to be a more straightforward system than FFP. If you really can only spend 70% of your revenue we will pretty much be on a par with everyone apart from United who will have slight advantage.

 

[midoNdefoe]

Sounds good, but how will that tackle the shady sponsorship deals which plump the revenue stream? (He asks without reading)

 

[Tucker]

I’m not going to hold my breath that this will change anything. It sounds good, but so did ffp, and that turned out to be completely toothless.

 

[Delboy75]

Tbh I’m really not sure how this works. Pretty sure someone like Liverpool spends about 70% on wages. Would that mean they’d have zero for transfers ? No idea. And basically it keeps the big clubs in control. But as said we could be pushing £500m revenue so puts us right in the picture.

 

[Pochemon94]

Can't wait for Newcastle to buy a second club so that they can buy players for 100s of millions off of newcastle and allow them to work at crazy numbers lolol

 

[shelfboy68]

Clubs lawyers will find a workaround like city did by getting their stadium sponsored.

 

[dovahkiin]

70% on what? transfers? transfers+wages?

 

[shelfboy68]

This type of uefa ruling will just accelerate the ESL it's a matter of time now.

 

[ukdy]

If a club makes £100m in revenue and then spends £70m on a new player... that's not them done in the market for that financial year.

Don't forget player sales are amortised over the life of the contract (£70m over 5yrs for example is £14m) so leaves lots of room for many signings, or with creative accounting, and contract renewals, players leaving before a contract is up gives even more space to breathe, and I imagine they look back at the last 2/3 years as financial accounting to average this out.

The Price of Football podcast is very good for explaining this sort of thing. I'm not, but you get the idea.

 

[Delboy75]

Well if this was implemented as basically as it sounds we’d be laughing and this graph is before stadium has even kicked in fully. Everton are just that club that will always be screwed ?

 

[shelfboy68]

Well if this was implemented as basically as it sounds we’d be laughing and this graph is before stadium has even kicked in fully. Everton are just that club that will always be screwed ?

View attachment 107928

Bit out of date it has Cardiff city on there

 

[PCozzie]

Sounds like the 70% includes wages + amortisation of transfers in that season.

 

[Delboy75]

Bit out of date it has Cardiff city on there

Was 2020 couldn’t find latest but excluding covid I’d say we are still well below 50%. Probably 40-45%

 

[dovahkiin]

Was 2020 couldn’t find latest but excluding covid I’d say we are still well below 50%. Probably 40-45%

i think ive seen recent figures that we are closer to 60%, but that was probably a covid year figure yeah

 

[synththfc]

Sounds like the 70% includes wages + amortisation of transfers in that season.

This will essentially kill any competitiveness in football given the revenue disparity between someone like us and someone like Burnley. Somehow I feel this is exactly what UEFA wanted.

 

[Darth Vega]

If I'm understanding this correctly, the likes of your United's and Liverpool's will likely be fine even with massive wage bills just because they generate so much money, but the clubs in the middle - the Premier League clubs who need to pay Premier League wages but aren't making Manchester United levels of money - will get screwed the hardest?

We might be fine thanks to the stadium and a modest wage bill relative to the teams above us but unless I'm totally wrong it sounds like it's going to fuck over a lot of clubs in a big way.

 

[Delboy75]

i think ive seen recent figures that we are closer to 60%, but that was probably a covid year figure yeah

Yeah I think the wage bill is around £200m and our post covid revenue should be around £450m possibly better.

 

[Hotspur33]

The people who run football aren't going to put a cap on investment into football.

Newcastle will be able to spend whatever they want.

There is no way to create a fair competition in football that I can think of that doesn't negativity effect the highest earners and decision makers

 

[Delboy75]

If I'm understanding this correctly, the likes of your United's and Liverpool's will likely be fine even with massive wage bills just because they generate so much money, but the clubs in the middle - the Premier League clubs who need to pay Premier League wages but aren't making Manchester United levels of money - will get screwed the hardest?

We might be fine thanks to the stadium and a modest wage bill relative to the teams above us but unless I'm totally wrong it sounds like it's going to fuck over a lot of clubs in a big way.

Yup this is definitely designed to keep the biggest clubs at the top. We are actually a bit of anomaly because they wouldn’t consider us in the elite group but our revenue because of the stadium will pretty much put us there.

 

[synththfc]

If I'm understanding this correctly, the likes of your United's and Liverpool's will likely be fine even with massive wage bills just because they generate so much money, but the clubs in the middle - the Premier League clubs who need to pay Premier League wages but aren't making Manchester United levels of money - will get screwed the hardest?

We might be fine thanks to the stadium and a modest wage bill relative to the teams above us but unless I'm totally wrong it sounds like it's going to fuck over a lot of clubs in a big way.

We will benefit massively from this given our revenue and current wage/fee to revenue ratio, but you're correct that just about anyone not in the big 6 is fucked