Newcastle United Could See Spending Power Cut | OneFootball

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Newcastle United could face cuts to their spending power if Saudi Arabia’s Public Investment Fund include them in their planned spending limits across football operations, according to journalist Alan Nixon.

There had been high expectations for the Magpies’ future following Saudi Arabia’s PIF takeover, and they were able to make significant progress by ending their 56-year wait for silverware with an EFL Cup win last season and qualifying for the Champions League twice in the last four years.

However, the Magpies have also faced PSR concerns in recent transfer windows, despite recording rising revenues under PIF ownership.

Always with an eye on meeting the rules, Newcastle have had several high-value sales, such as Alexander Isak, Elliot Anderson and Yankuba Minteh, but financial restrictions have continued to pose challenges for them.

Earlier this season, Richard Keys warned that the Saudi project at St James’ Park was over and that they no longer needed the club.

Now, the Saudi Pro League is bracing for a significant financial reset, with PIF planning to introduce spending limits that could see club budgets more than halved next season.

The move forms part of a wider strategic shift, with the sovereign wealth fund reassessing its level of investment in football despite its recent aggressive push into the sport.

The developments could also have direct implications for the Magpies, raising concerns that they may not be immune to the revised financial approach taking place in Saudi Arabia.

If PIF decide to include them in the cost-cutting push, then that could mean Newcastle boss Eddie Howe will have less money to spend.

Howe’s side are already enduring an inconsistent season, with the Magpies sitting 14th after 32 Premier League games with 42 points, ten points adrift of the Champions League places and out of all other competitions, meaning the spending limits could bring extra challenges next season.

Amid that backdrop there has been some unhappiness with Howe from some Newcastle fans, though it has been suggested if he feels he has lost the support then he will walk away.

If Newcastle do not qualify for Europe, that will already mean less money in the coffers at St James’ Park.

All eyes will be on when PIF’s spending cuts take place and whether Newcastle are included.

Less money spent by Saudi Arabia could also impact other Premier League sides, who have seen sales to Pro League clubs provide them with substantial cash influxes in recent years.