The co-owner of Newcastle United, Amanda Staveley, feels that the Profitability and Sustainability Rules (PSR) should be reconsidered by the Premier League.
English top-flight teams are allowed to lose a maximum of £105 million under the current PSR over a rolling three-year reporting cycle. Staveley acknowledges that this amount is “very limiting” given the Magpies’ inability to complete a permanent deal in January.
Indeed, just £96m was spent by Premier League clubs in January with Liverpool, Arsenal, Manchester City, Chelsea, Manchester United and Everton joining Newcastle in not spending a penny.
PSR has never been examined more closely, which prompted a gathering of all 20 clubs in London on February 6 to talk about possible modifications. PSR may soon alter and conform to UEFA rules, according to an earlier statement made by Premier League CEO Richard Masters.
The current Financial Fair Play regulations by UEFA restrict teams’ salary, transfer, and agent fees to no more than 70% of their total revenue. In the meanwhile, teams that are participating in the Champions League or Europa League are allowed to lose up to £49.96 million during a three-year period.
Furthermore, Staveley hopes that future developments will strike a balance between sustainability and growth.
Speaking at the Bloomberg Power Players’ summit in Jeddah, Staveley said: “We all have to do more to make sure we grow our revenues. There has been much more of a focus from the Premier League owners to make sure we grow our commercial revenues and our media, as a product, should be much more aggressive.
“There is a regulator coming in and there’s much more of a focus on sustainability. Sometimes, when you over-regulate, you can slow growth and we have to make sure that we get the right balance between the right regulatory environment, the right rules and the right Financial Fair Play rules that promote growth. That’s the only way you’re going to get great football.
“One thing about the last few seasons in the Premier League is any club can win any game, and that’s good. That means you get some incredibly exciting football…it’s a difficult time because there has been so much focus on sustainability that people have actually forgotten that we’re providing entertainment and we have got to grow this business.
“Football is difficult. You have very limiting Financial Fair Play rules. You have so many rules and restrictions about player purchases so it really does probably need some fresh thinking.”
