Newcastle united are assessing options following 'unlawful' Premier League ruling

 · February 17 2025, 14:00
Newcastle united are assessing options following 'unlawful' Premier League ruling
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Last week, a tribunal ruled that the Premier League's Associated Party Transaction rules, which were in effect from December 2021 to November 2024, were 'unlawful and unenforceable', meaning that several clubs potentially lost out on a hefty chunk of revenue.

Manchester City took the Premier League to court over the APT rules after deals with First Abu Dhabi Bank and Etihad Airways, both of which fall under control of Manchester City's owners, were severely reduced to comply with the rules.

The rule itself was hastily brought in as a response to the PIF taking over Newcastle United. Profit and Sustainability Rules meant that the Magpies couldn't go spending wildly without their income being vastly increased, but the Premier League wanted to make sure that they couldn't do that by striking up partnership agreements with the PIF's vast array of billion-dollar businesses.

The tribunal in the case between Manchester City and the Premier League ruled in City's favour and now clubs could potentially seek compensation for lost revenue during that three year period.

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Newcastle's £25m-a-year deal with Sela could potentially have been worth more

Newcastle are looking at their options after 'unlawful' APT ruling

We're sure Manchester City will be doing just that while they gear up for the second part of their fight with the Premier League which moves to claim that the amended APT rules which came into effect in November 2024 are also unlawful, despite the Premier League's claims that they have complied with the Tribunal's findings.

Newcastle are reportedly assessing their options now, according to The Chronicle. Newcastle made deals with PIF-owned Sela as front-of-shirt sponsors, Noon as sleeve sponsor as well as sponsorship deals with the likes of SAUDIA, all of which will have had to have been at reduced rates to comply with the rules.

There still has to be a level of common sense involved. We couldn't just get Aramco to sponsor one of the corner flags in the Gallowgate End for £300 million a season, but there's precedent within the league for front-of-shirt sponsorships going for £60 million a season (Manchester United's deal with Snapdragon), so there's definitely a case that Newcastle's £25 million deal with Sela could have been worth more.

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Are Newcastle United's board playing the long game?

Newcastle United's chiefs seem to be playing the long game with their financial battle with the Premier League, and playing it very tactically. It's frustrating as a fan, as we want to see the club able to spend cash now and improve the team now, but we get the feeling that the board have a plan.

There are still massive sponsorship opportunities unfulfilled at Newcastle, and we're sure the club wouldn't just leave money on the table like that without a plan. They must have a strong feeling that APT and PSR are set to come crashing down, and that will open the doors for them.

At least, that's what we choose to believe. Otherwise, it's very poor management from a board made up of the best money people in the world.

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