Leeds United has been reported to owe approximately £190 million in transfer fees from their 22/23 accounts, which might have serious consequences if not resolved as planned.
Leeds have three games remaining in the regular season to ensure a top two finish in the Championship, which would be extremely beneficial to the club’s finances in the long term.
Failure to be promoted would put Leeds under enormous pressure to balance the accounts through large sales.
Leeds United owe approximately £190 million in transfer fees.
Published accounts for the 22/23 season were released this month, and Leeds’ performance in a lot of areas was unsurprising.
The long and short of it is that Leeds must be promoted as quickly as possible to avoid huge sales, given they owe a significant sum to other clubs under past agreements.
The club owes £190 million to others, with only £2 million expected to arrive at Elland Road in the future.
Leeds informed of Sheffield United developments over unpaid fees by ex-PL chief.
Keith Wyness, former Everton CEO, speaks with Football Insider about Leeds’ concerning transfer money arrears.
Sheffield United has been punished two points for the next time they play in the EFL owing to late payment of transfer costs, and Wyness cautions that if they are not careful, the same might happen at Elland Road.
“It appears that the Sheffield United owner is exclusively responsible for this punishment.
“It must be cash flow concerns, which occur in company. However, there is a significant risk if clubs quit paying each other.
“When I was at Everton, I had a similar issue with Italian clubs, and we had to go to Fifa tribunals.
“It becomes a genuine issue because you plan for those payments and then your budget goes out of whack.
“So don’t be fooled by the enormity of the problem; it’s quite serious. Sheffield United paid £8 million this time, which will not break the bank.
“But if a bigger club, like Leeds – who owe £190million, don’t pay up, it could be a huge problem for clubs.”
Leeds does have an issue with these £190 million payments.
PSR does not appear to be a worry for Leeds at this time, therefore profit and loss will not be an issue for us in the future.
However, the 49ers must plan for paying these transfer fees, knowing that there will be a significant sum left over.
Sales in the recent summer window, as well as the forthcoming summer window, should greatly alleviate this.
