Thu 18 Apr 2024, 15:59 · Liam Brusby

Newcastle set for FFP reward thanks to 'handsome' JD Sports payment

Newcastle set for FFP reward thanks to 'handsome' JD Sports payment
Image: Argon Systems
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Newcastle United will be delighted to hear that JD Sports will pay big money for the rights to exclusively sell new Adidas shirts next season.

The news comes from a Competitions Appeal Tribunal panel following Sports Direct's failed bit to get Newcastle to sell next season's in the shop owned by former Toon owner Mike Ashley.

The panel, fronted by Sir Marcus Smith, ruled that there was 'no reasonable or legitimate expectation on the part of Sports Direct of continuity of supply'

Should they wish to, Sports Direct can still take the matter to court.

JD Sports scaled
Image: Drapers

JD Sports will pay 'handsomely'

Taken from the judgement of the CAT case. "The new owners of Newcastle United FC are endeavouring to restructure the NUFC replica kit business of the club,".

"That is no small undertaking, and it requires considerable expenditure of time, effort and money. Thus, existing relationships (for instance with Castore) need to be terminated, and new relationships (for instance with JD Sports and Adidas) forged.

"To give just one example, we have noted that the new arrangements accord to JD Sports a measure of exclusivity in the UK market. JD Sports pay handsomely for this right, and the granting of the injunction will materially deprive JD Sports of its exclusivity."


Adidas and JD Sports deal will help with FFP

In August 2023, Newcastle announced the multi-year deal with Adidas to become the clubs official kit partner from 2024/25.

According to the Shields Gazette, the lucrative deal will be worth £40m to Newcastle every season, that's enough to bring in at least one quality player each season.

Although we do not know the exact numbers for the JD Sports deal. We would predict it could be seven figures.

Despite the deal, Newcastle gear will still be sold in the club shop.