Newcastle United may be one step closer to winning their battle against FFP restrictions as it has emerged that the league’s clubs are considering abolishing points deductions in favour of a luxury tax.
Breaking the news on Thursday, Mail Sport’s Mike Keegan revealed that Premier League clubs, who set the rules they have to abide by through a vote, have been discussing “radical” reform of the current rules.
Rather than face punishments for overspending, which critics inside the league say may lead to the Premier League losing out on its position as the best league in the world, it has been suggested that a luxury tax of a financial punishment for overspending would be preferable.
It is suggested that the money created by this tax would be redistributed to clubs in the league who were compliant with spending regulations.
This is major news for Newcastle who have been pretty candid on the difficulties facing the club because of FFP restrictions. Without the fear of a points deduction, the club may have felt more comfortable with spending this January to bolster an injury-ridden squad.
And, in another good move for the Toon, Keegan reports that Premier League clubs are looking at reversing the rules on related-party transactions – this was seen at the time as a way of limiting Newcastle’s use of the Saudi market.
“The situation is complex,” Keegan said.
“Traditionally the ‘Big Six’ both Manchester clubs, Arsenal, Tottenham, Liverpool and Chelsea, have tended to vote together. However, it is understood that there has been a ‘seismic shift’ in relationships, with Saudi-owned Newcastle now included in a ‘Big Seven’.”
And who decides on how much compensation is to be paid & how it is distributed – I have no faith in the PL to do it, not with their failure in implementing their punishment against the likes of City.
It also suggests that PIF are sat waiting to spend billions – and I don’t believe that is true either. I believe the club want to build foundations for the future – invest in youth and make the club financially sustainable.
Sharpy17(Quote)
agreed Sharpy
PremAndUp(Quote)
Great news for Newcastle if it’s true. At least they would be able to afford it. I don’t think they’d overspend too much as that would give money to competitors.
Martin Barron(Quote)
I will believe it when it happens.
Also how much luxury tax would Man City have to pay if and when found guilty of all the charges brought against them.
Could their influence be behind any possible change?
Joseph(Quote)
🤣🤣🤣 what a joke. English football the most crooked league in the world. And Man City the most crooked team in the world.
RICKY(Quote)
Definitely a move in the right direction, but I’m still a bit bemused by restrictions on clubs who have mega bucks to spend, and are stopped or penalised for doing it. The restriction on sponsors who are also associated with the owners of a club is ridiculous. I doubt if what the EPL is doing year on year is legal. I would suspect that taking them to court would solve a lot of our problems with them.
bill(Quote)
Apart from Man city this also wouldn’t have anything to do with Spurs posting loses would it
Porkpie(Quote)