Premier League clubs have voted to amend the rule on amortisation of player registration costs which could affect Newcastle in the future.
The clubs’ decision to amend the financial rule brings it in line with UEFA regulations. Top-flight teams could previously spread the cost of a transfer over the full length of a player’s contract in their accounts to help comply with Financial Fair Play rules and recently, some clubs have taken advantage of this.
Most notably, Chelsea have been the main culprits and their very long contracts have brought attention to this rule.
The Blues handed Enzo Fernandez and Mykhailo Mudryk eight-year deals, Benoit Badiashile received a seven-and-a-half-year contract, while Wesley Fofana was also signed to a seven-year deal.
This could have been a big problem going forward but Premier League clubs have decided to fix it now, meaning transfer fees can only be spread across five years, even if a player signs a longer contract.
One club that this could affect going forward is Newcatle as the Tyneside club continues to grow. The Magpies have not done anything crazy transfer-wise yet, but if they ever plan to, this latest decision must be considered.
