George Caulkin has revealed on Pod on the Tyne that Newcastle United are now creeping very close to their Financial Fair Play limits.
This shouldn’t be much of a shock, as Newcastle have splashed out well over £220m this calendar year without being able to sell players for any sort of meaningful profit, so balancing the books will be difficult.
Also, if people take into account their sponsorship deal with FUN88 being one of the lowest in the league in terms of the revenue it generates, this should come as no surprise.
Caulkin has now confirmed this is indeed the case, and it is something PIF are aware of.
He said: “The word since the summer is that they are close to their FFP limitations now.”
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TIF Thoughts on Newcastle’s spending ability…
While this could be alarming for some fans and see some of them begin to panic over the Toon’s ability to spend in January, the fact Newcastle are actively bringing in new sponsorship deals will certainly help ease financial constraints.
It has been reported by Caulkin (37:15) that the Magpies are also working hard to secure a new front-of-shirt sponsor in the near future, with Saudi Airlines reportedly being at St James’ Park last Saturday, according to Lee Ryder.
There is little doubt that if a deal arises in January that could help the Magpies achieve European football, PIF will look to get it done, although lavish spending like last January and the summer isn’t likely to be possible.