Newcastle United are leery of breaking the Premier League’s profit and sustainability criteria, and they have recently received a reminder of why.
Everton has already received a Premier League points punishment this season, and another team might be penalized. Nottingham Forest is the latest team to be found in breach of profit and sustainability regulations, while Everton is under investigation for the second time.
They could be penalized with a point deduction or a fine, at a time when Newcastle cannot afford to spend. The Magpies have the world’s wealthiest owners, but PSR limits their ability to spend. That’s really annoying given how desperate Eddie Howe is for reinforcements. He really needs another midfielder, especially after learning that Joelinton could be sidelined for the rest of the season.
However, the owners are concerned about overpaying and violating financial fair play regulations, as Nottingham Forest has done. They made massive investments following their promotion to the Premier League, and they may now face consequences.
You could argue that their expenditure paid off, as they made it through their first season back. However, some of their investments were questionable, including two that utterly astonished Newcastle United.
Newcastle is astonished by what Nottingham Forest has agreed to.
According to the Athletic, Newcastle United officials were taken aback when Forest agreed to sign Chris Wood and Jonjo Shelvey on the conditions given last January.
They signed Wood on a loan agreement at first, but agreed to make the move permanent for £15 million after he appeared in three matchday squads.
Forest also offered Shelvey a two-and-a-half-year contract worth £75,000 per week, which convinced the midfielder to leave St James’ Park.
Their exits made financial sense for Newcastle, who were reportedly surprised that Forest agreed to those conditions.
Chris Wood returned to haunt Newcastle in December.
Both moves have sparked intense debate among Forest fans. Shelvey’s signing was a complete catastrophe, as he rapidly fell out with Steve Cooper and now plays in Turkey.
Wood has also battled, but he has made an effect. In fact, his best day came when he returned to St James’ Park. He scored a hat-trick on Boxing Day for Forest in a 3-2 win over the Magpies earlier this season, when Wood returned to haunt his former club.
He looked better than he ever had in black and white, but Newcastle were correct to sell. Getting £15 million for Wood was a great surprise, and it rendered arguments that the Magpies had initially overspent on him in 2022 obsolete.
To this day, it is shocking that Forest consented to those two deals in January, and they may now be paying the price.
