Amanda Staveley, Newcastle United’s co-owner, has highlighted Premier League profitability and sustainability rules.
Amanda Staveley, Newcastle United’s co-owner, believes the Premier League should reconsider its Profitability and Sustainability Rules (PSR).
Under current PSR, English top-flight clubs can lose up to £105 million over a rolling three-year reporting cycle, which Staveley concedes is “very limiting” after the Magpies were unable to make a permanent deal in January.
Indeed, Premier League clubs spent only £96 million in January, with Liverpool, Arsenal, Manchester City, Chelsea, Manchester United, and Everton joining Newcastle in not spending a single pound.
PSR has never been more monitored, prompting all 20 teams to meet in London on February 6 to consider potential adjustments. Premier League CEO Richard Masters earlier suggested that PSR could soon change to comply with UEFA requirements.
UEFA’s current Financial Fair Play regulations limit teams’ spending on wages, transfers, and agent fees to 70% of revenue. Meanwhile, clubs competing in the Champions League or Europa League can incur losses of up to £49.96 million over three years.
Staveley also wants to see a balance achieved between sustainability and growth moving forward.
At the Bloomberg Power Players’ meeting in Jeddah, Staveley stated, “We all have to do more to ensure that our revenues grow.” The Premier League owners have placed a greater emphasis on ensuring that we increase our commercial earnings, and our media as a product should be more aggressive.
“A regulator is coming in, and there will be a greater emphasis on sustainability. Over-regulation can sometimes limit progress, therefore we must strike the proper balance between the right regulatory environment, the right laws, and the right Financial Fair Play rules to foster growth. That is the only way you will get fantastic football.
“The last several seasons in the Premier League have shown that any club can win any game, which is a good thing. That means you’ll get some extremely entertaining football…it’s a challenging moment because there has been so much emphasis on sustainability that people have forgotten we’re in the entertainment industry and we need to expand.
Football is difficult. You have extremely restrictive Financial Fair Play rules. You have so many limitations and restrictions on player purchases that it probably requires some fresh thinking.”
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