Newcastle United fans now set to find out how serious the PSR shortfall is – Imminent | OneFootball

The clock now ticking swiftly down for Newcastle United when it comes to PSR.

Only three days to go until the 30 June 2024 deadline.

That will end the accounting period for the 2023/24 season.

That will mark the latest three year accounting period for Premier League clubs, with allowed maximum losses over that period of time of £105m, though not all expenditure is counted for PSR purposes.

Exactly three weeks ago, these six Premier League clubs were named by this Sky Sports report as having to raise cash to stay within PSR (Profit and Sustainability Rules) – 6 June 2024:

‘As many as six Premier League clubs face having to sell players before the end of June in order to comply with the division’s Profit and Sustainability Rules (PSR).

That date is the cut-off point for the financial year across the top flight, where clubs must show they have made losses of no more than £105m over the last three years – or less if they have spent some of that time outside the top flight.

Chelsea, Aston Villa, Newcastle, Everton, Nottingham Forest and Leicester are all under the pressure of losing a key asset or two, Sky Sports News understands, before the change over into the new financial year.’

It had obviously been speculated long before that Sky Sports report, that Newcastle United may have a financial shortfall to make up before the end of June. Needing to bring in extra cash via selling one or more players, or via other revenue streams.

I think that most Newcastle United fans had already accepted that this was the case.

NUFC having to bring some cash in by 30 June 2024 at the latest, to satisfy PSR for these last three seasons of financial activity. However, how much exactly needs/needed to be generated by Newcastle United?

Well, we are about to find out. The situation is imminent and any necessary moves will need to be made these last few days of June 2024.

From everything that I have seen and heard, the two extremes of public opinion and media speculation, have been at one end of things some believing that Newcastle United will be fine as they are, that actually in reality there is no cash shortfall that needs to be made up. Whilst the other extreme, those choosing to believe and/or speculate that a Bruno Guimaraes or Alexander Isak would need to be sold to avoid the club breaking the Profit and Sustainability Rules (PSR).

My best guesstimate, along with the vast majority of others I think, is that it is somewhere in between those extremes.

A recent report from the usually very reliable Athletic stated that their information was that £25m should be enough to get Newcastle United on the right side of the PSR line by 30 June 2024.

Obviously, much speculation that Yankuba Minteh was going to be sold for £25m+, even £40m, to more than cover the claimed £25m shortfall, if indeed that is the reality. However, beyond press speculation, seemingly nothing of substance appears to have happened, in terms of a deal for Minteh getting done, nor indeed any significant outgoing Newcastle United deal.

My overriding opinion (and I don’t claim to have any insider knowledge of anything) is simply that I feel like there is no sense of panic emanating from St James’ Park, in fact, quite the opposite. I get that such things won’t necessarily be played out in public but whilst the likes of Villa and Everton have already been involved in seemingly rushed deals between themselves, that other clubs and their fans are calling into question, Newcastle United on the other hand appear to be very relaxed. At least from where I stand.

My opinion is, that I can’t believe that with all the investment going into Newcastle United and how quickly they are growing the club, plus all the very expensive legal and accounting advice that they will have on tap, that the Newcastle United owners would have put themselves in the position whereby they would have got into June 2024 with the possibility of needing to do something really desperate to save the situation. Or indeed, a situation, where they simply might not be able to raise the money in revenues to make up any shortfall.

So if indeed we arrived at June 2024 with a financial shortfall to make up by the end of the month, I can’t believe that the Newcastle United owners didn’t have as well as a plan A, also plans B, C, D and so on as backup.

I wouldn’t be surprised if maybe the most straightforward solution to this short-term problem was that the Newcastle United owners would have preferred to sell one or more players who aren’t first choice to cover any shortfall. Whether that be Minteh, Almiron, or whoever.

However, I have absolute confidence that they will have plans to make up for any potential shortfall by other means.

If we take £25m as a possible/likely figure needed, then conveniently that is what Sela are paying per season as the front-of-shirt sponsors. So Newcastle United doing a deal whereby they get £25m 12 months early, in return for whatever extras to enhance their deal?

We also have the new kit deal with Adidas, once again the potential maybe for money to be paid earlier than scheduled, in return for whatever they could offer Adidas in return.

They are only two very obvious suggestions but of course many more ways that extra revenue could be introduced this month. Indeed, being realistic, surely any shortfall has already been taken care of for this accounting period, to ensure we stay on the right side of PSR. It is just we aren’t aware of it yet, nor the media, nothing new there.