Everton have been plunged into the Premier League bottom three after an independent commission found them guilty of FFP breaches.
The decision meant the Toffees were handed with a 10-point deduction in a landmark ruling for top-flight clubs.
The punishment was announced on Friday following an independent commission hearing into the alleged breach of the profit and sustainability rules set by the league. Over the last three-year period, Everton had posted huge losses of nearly £372 million, £250m more than permitted under the Premier League’s financial rules.
Both the club and the commission can lodge an appeal against the verdict. Everton have condemned the decision in a statement, labelling it ‘unjust’ and not a ‘reasonable reflection of the evidence submitted’.
This has proved to be a stark warning for clubs in the Premier League with Newcastle looking nervously over their shoulder after huge investment since the takeover. Speaking in October last year, sporting director Dan Ashworth stressed the importance of pragmatism and patience when it came to squad investment.
He explained: “This club has invested circa £200million in 2022 — that’s unsustainable. You can’t keep doing that every year. No matter how rich your owners are, you are restrained by the fact that you have to work within FFP.”
So, whilst Newcastle might have the resources to invest in several new players in January, their hands are tied when it comes to working within FFP parameters. Considering the current injury crisis, the Magpies will need to be clever in how they operate when improving their squad.
The hurdles Newcastle face in the January transfer window
Not only are there FFP parameters to jump through, but Eddie Howe may need to move players on before adding to his squad this winter.
Premier League clubs are close to voting on a temporary ban to stop teams from loaning players from clubs under the same ownership which could severely impact movement in the North East.
The measure would block Newcastle from signing players from clubs also owned by PIF.
A potential January move by the Magpies for 26-year-old Ruben Neves – who joined Al-Hilal for £47m in June – could help plug the midfield gap created by Sandro Tonali’s 10-month ban for breaching betting rules. With PIF owning Al Hilal, it would leave a potential move for Neves in doubt.
