Kieran Maguire: New rules introduced to ban Newcastle United from ‘manipulating numbers’
Newcastle United and Premier League clubs no longer have the opportunity to ‘manipulate’ the value of sponsorship deals under new rules.
That is the view of finance expert Kieran Maguire, who exclusively told Football Insider that Newcastle have followed all regulations since their takeover but are under extra ‘scrutiny’ because of their Saudi links.
Premier League clubs met last week and narrowly voted to introduce tougher rules on associated party deals – Newcastle were one of six clubs to vote against the rules.
The Tyneside club have struck deals with Sela and Noon worth a combined £33million a year despite both companies being closely linked to their PiF owners in Saudi Arabia.
The new regulations are set to closely monitor the value of sponsorship deals when connected to a club’s ownership.
As revealed by Football Insider, Newcastle chiefs are ‘furious’ at the results of the vote as they feel it is designed to stop them from competing against the established elite.
Newcastle tipped to complete Middle East deals despite new rules
Maguire believes Newcastle will continue to strike deals in the Middle East but will make sure the value of the agreement is approved by the Premier League.
“Newcastle have got great value from the Sela deal and the Noon deal,” Maguire told Football Insider’s Sean Fisher.
“We’ve also seen the club using warm weather training in Saudi and so on.
“There will be additional scrutiny, but that goes with the territory of being a club who are now that much closer to the top end of finances than they have been historically.
“Newcastle would appear to have done everything correctly to date.
“I think the opportunity to manipulate numbers and values for sponsorship deals won’t be there.
“But at the same time, Newcastle will continue to push for the very top of what is considered to be a fair value with an appropriate figure.
“So it’s a case of getting approval from the Premier League for the absolute maximum they can get from every sponsorship and commercial arrangement they make with partners in the Middle East.“
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