As the end of the accounting period of 2024-25 for 15 of the Premier League Clubs approaches of next season, a new report has shown that the most and the least risk of profit and sustainability rules (PSR) have breaches.
The PSR limits clubs to a maximum loss of £ 105 million for a three -year rolling period, with certain expenses – such as investments in the development of young people, women's football and infrastructure – excluded from this calculation.
The big day has already passed for Arsenal, Liverpool, West Ham, Sunderland and Burnley, whose accounting periods ended on 31 May.
PSR has recently become an increasingly important topic of discussion, due to the potential serious consequences of violating the rules.
For example, Everton received notorious two separate points deduction last season for too many expenses in the three-year period between 2020-21 and 2022-23.
And while the day of the judgment again this year arrives for Premier League clubs, athletics have estimated how much each team can afford to suffer in losses before taxes between now to their deadline of the accounting period.
Two more things have to be noticed. Firstly, the PSR calculations of clubs are not public information, which means that these estimates are not infallible.
And secondly, these are certainly not estimates of how much each club it can afford to splash in the transfer window, rather an indication of how much progress they have for losses before taxes.
After he has squatted the figures, the report assesses how close each team is to violate their respective acceptable thresholds, taking into account their expenses during the season.
Brighton could, for example, afford to lose up to £ 295 million in 2024-25, which means that they have been arranged as safe.
However, Aston Villa was only able to suffer for taxes of £ 15 million last season, causing them to limit a tight margin, causing them to run the risk of PSR infringements.
In the meantime, Newcastle, Leeds, Everton and Burnley are all classified in the 'Sould be Feer', the latter of which is the only team to register a profit (£ 20 million).
Shocking, Chelsea – who has more than £ 1 billion splashes on an abundance of new players since the arrival of Todd Boehly and Clearlake Capital in May 2022 – were arranged as the most safe.
The West-London club can lose up to £ 300 million registration of the 2024-25 season and be safe against PSR infringements.
The blues benefited on a Maas in the PSR by selling assets, including their ladies team and two hotels, to their sister company – Blueco. These transactions, carried out on real market value instead of a bloated sale, enabled Chelsea to achieve considerable profit and to comply with PSR rules.
The 20 clubs of the Premier League previously chose to close this Maas in the law, so that teams can generate extra income.
Regarding the rest of the 'Big Six', Manchester United, Manchester City, Arsenal, Tottenham and Liverpool were also all arranged as 'safe'.
Ironically, it was these clubs – especially United, City and Chelsea – that were a challenge against the PSR, together with Villa and Newcastle.
Premier League clubs voted in April 2024 for a form of a spending cap to replace PSR for the 2025-26 season.
However, these plans were delayed in February 2025. The proposal was the introduction of a new Squad cost ratio that limits clubs to issuing 85 percent of their income to player wage, transfers and agent costs.
A system, known as anchoring, was also approved by clubs last year and was expected to be introduced for next season.
But clubs have delayed its introduction for another year, with the existing rules that will remain in place next season.