According to Stefan Borson, a former financial adviser to Manchester City, Chelsea could face significant challenges in meeting the Premier League’s profit and sustainability regulations, regardless of whether Newcastle United secures Lewis Hall on a permanent basis. Despite the potential £28 million deal and the sell-on clause Chelsea received from Tino Livramento’s transfer, it may not be sufficient to address the substantial deficit they currently face. This is due to Chelsea’s owners having already invested over £1 billion in acquiring new players thus far. Eddie Howe, Newcastle’s manager, expressed confidence that Hall is nearing the criteria required to trigger the permanent move. However, even if that occurs, the financial impact for Chelsea may not be substantial in terms of pure profit.
According to Stefan Borson, Chelsea denies the need to sell any players and claims to be in compliance with the Premier League’s Profit and Sustainability Regulations (PSR) for the current season. However, Borson disagrees based on his analysis of the financial numbers. He believes Chelsea will encounter significant difficulties due to their financial deficit. Borson points out that Chelsea barely met the PSR requirements for the 2022/23 season, indicating a three-year rolling deficit of approximately £105 million. Without the third year’s results factored in, it becomes evident that heavy losses were incurred. Additionally, considering Chelsea’s absence from European competitions, it is clear that they have suffered financial losses.
Borson finds it hard to understand how Chelsea can argue against the need to sell players. Even if they claim that the sales of Mason Mount, the transfer of Hall to Newcastle, and the £12 million sell-on fee from Livramento’s move cover their financial requirements, Borson doubts it will be sufficient. He emphasizes that Chelsea faces a substantial deficit and has left it very late to make the necessary profit.
Since joining Newcastle, Hall has only started four matches for the club, and he was substituted at halftime in three of them. He has not featured in a game since coming on as a late substitute in the 3-2 defeat against Manchester City nearly seven weeks ago.
