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Home: All Other Football Interests: Premier League & Football League:
Newcastle gambled and bought promotion.

 



TroubleAtMill
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May 18, 2018, 5:23 PM

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Newcastle gambled and bought promotion. Can't Post or Reply Privately

 
Nexastle united gambled and bought promotion.

Shows how unfair parachute payments are and how irrelevant 3 year FFP is.

https://www.bbc.co.uk/...rugby-union/44171269

(Don't know why the BBC have given newcastle united a rugby union web link)


(This post was edited by TroubleAtMill on May 18, 2018, 5:24 PM)


Northumbrian
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May 18, 2018, 9:53 PM

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Post #2 of 8 (1582 views)
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Re: [TroubleAtMill] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately


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Nexastle united gambled and bought promotion.

Shows how unfair parachute payments are and how irrelevant 3 year FFP is.

https://www.bbc.co.uk/...rugby-union/44171269

(Don't know why the BBC have given newcastle united a rugby union web link)


Thatís one way way to look at it.
What I think it highlights more is the massive financial hit relegation from the Premier League costs.
These are only the headline figures, the full accounts will follow in a few weeks time.
The loss is primarily down to the huge wages paid to the players compared to the massive drop in TV money.
The 90 million operating loss doesnít include the approximate £25 million surplus they made in the transfer market (mainly from selling Sissoko to Spurs, Wynaldum to Liverpool and Thauvin to Marseille). Not sure how the new signings costing less than the sales counts as Ďbuying promotioní but maybe keeping paying the £4 million per year salaries to Shelvey etc does.
Newcastleís 50,000+ attendances (and more importantly getting the Prem. TV money again) mean they can cope with a one season big hit financially without any FFP problems.
The parachute payments are designed to stop the relegated clubs from going bust until they can reduce the wage bill as player contracts expire over 2 seasons. Hardly any relegated clubs have bounced straight back into the Premier League in recent seasons - I can only think of Burnley and Newcastle off the top of my head.
Itíll be interesting to see how WBA, Stoke and Swansea cope next season.
Anyway the whole thing highlights the crazy amounts being spent on Premier League player wages whilst grassroots football continues to decline.


jon b
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May 20, 2018, 2:13 PM

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Re: [TroubleAtMill] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately

Well, maybe the parachute payments Sunderland AFC received helped them to get out of the Championship.

Albeit not upwards.


hawkwind
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May 21, 2018, 11:26 AM

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Post #4 of 8 (1222 views)
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Re: [Northumbrian] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately


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Hardly any relegated clubs have bounced straight back into the Premier League in recent seasons - I can only think of Burnley and Newcastle off the top of my head.


Including this season I make it there have been 10 occurrences of clubs bouncing straight back over the last 12 seasons. Newcastle United twice plus
Sunderland, Birmingham City, West Bromwich Albion, West Ham United, Queens Park Rangers, Norwich City, Burnley and Hull City.


Northumbrian
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May 21, 2018, 12:02 PM

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Re: [hawkwind] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately


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In Reply To
Hardly any relegated clubs have bounced straight back into the Premier League in recent seasons - I can only think of Burnley and Newcastle off the top of my head.


Including this season I make it there have been 10 occurrences of clubs bouncing straight back over the last 12 seasons. Newcastle United twice plus
Sunderland, Birmingham City, West Bromwich Albion, West Ham United, Queens Park Rangers, Norwich City, Burnley and Hull City.


Exactly! Thatís 10 out of 36 in the last 12 seasons (less than a 1 in 3 chance). Also as the finances of the Premier League have become more and more ridiculous it looks like itís becoming more difficult if the last 3 seasons are anything to go by.


Northumbrian
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May 21, 2018, 12:10 PM

Posts: 366
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Post #6 of 8 (1204 views)
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Re: [jon b] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately


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Well, maybe the parachute payments Sunderland AFC received helped them to get out of the Championship.

Albeit not upwards.


I wonder in a years time, when Sunderlandís accounts are published possibly showing a £90 million loss, how often itíll be said Ďthey bought relegationí!

If local reports can be believed Ellis Short is paying off the clubs estimated £125 million debt and receiving £40 million from the Eastleigh Chairman in return for the club.
Although some American owners have done okay from owning Premier League clubs thereís also a few whoíve had their fingers badly burned.


Swindon Addick
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May 23, 2018, 7:56 AM

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Team(s): Cambridge City, Charlton Athletic

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Re: [Northumbrian] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately


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In Reply To

In Reply To
Hardly any relegated clubs have bounced straight back into the Premier League in recent seasons - I can only think of Burnley and Newcastle off the top of my head.


Including this season I make it there have been 10 occurrences of clubs bouncing straight back over the last 12 seasons. Newcastle United twice plus
Sunderland, Birmingham City, West Bromwich Albion, West Ham United, Queens Park Rangers, Norwich City, Burnley and Hull City.


Exactly! Thatís 10 out of 36 in the last 12 seasons (less than a 1 in 3 chance). Also as the finances of the Premier League have become more and more ridiculous it looks like itís becoming more difficult if the last 3 seasons are anything to go by.

It's not just the numbers - look at those names and ask yourself how many of them stuck around at the top level. Several of them my initial reaction was that I'd completely forgotten they'd bounced back at all.

There used to be a trick to the successful bounce-back in the 90s, most famously modelled by Bolton but also by Charlton - a small club would go up, refuse to spend big and consequently after relegation would have the parachute payment available to build the club rather than to pay expensive, uncommitted players. Second time around they'd be stronger and able to turn themselves into a mid-table club. Burnley have done that. If Newcastle can replicate it, with their naturally large fanbase, then good luck to them.



Cambridge City - on a tour of places we've never heard of and can't spell.


Tykeoldboy
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May 23, 2018, 2:47 PM

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Post #8 of 8 (943 views)
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Re: [Swindon Addick] Newcastle gambled and bought promotion. [In reply to] Can't Post or Reply Privately


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In Reply To

In Reply To

In Reply To
Hardly any relegated clubs have bounced straight back into the Premier League in recent seasons - I can only think of Burnley and Newcastle off the top of my head.


Including this season I make it there have been 10 occurrences of clubs bouncing straight back over the last 12 seasons. Newcastle United twice plus
Sunderland, Birmingham City, West Bromwich Albion, West Ham United, Queens Park Rangers, Norwich City, Burnley and Hull City.


Exactly! Thatís 10 out of 36 in the last 12 seasons (less than a 1 in 3 chance). Also as the finances of the Premier League have become more and more ridiculous it looks like itís becoming more difficult if the last 3 seasons are anything to go by.

It's not just the numbers - look at those names and ask yourself how many of them stuck around at the top level. Several of them my initial reaction was that I'd completely forgotten they'd bounced back at all.

There used to be a trick to the successful bounce-back in the 90s, most famously modelled by Bolton but also by Charlton - a small club would go up, refuse to spend big and consequently after relegation would have the parachute payment available to build the club rather than to pay expensive, uncommitted players. Second time around they'd be stronger and able to turn themselves into a mid-table club. Burnley have done that. If Newcastle can replicate it, with their naturally large fanbase, then good luck to them.


I remember WBA doing this. Not only did they make an immediate return to the PL they also cleared most, if not all, of it's debts using parachute payment money, during it's one season back in the Championship.

 
 


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