Newcastle United's Fury Over 'Saudi Tax' on Transfers

Newcastle United is reportedly facing significant frustration over what they term a "Saudi tax" on player transfers. This perceived inflated pricing by rival clubs, coupled with strict Premier League profit and sustainability rules, is severely limiting their ability to acquire key targets despite their ownership by the Saudi Public Investment Fund.

Newcastle's Transfer Troubles: The "Saudi Tax" Dilemma

Newcastle United is increasingly exasperated by what they describe as a "Saudi tax" being levied on their transfer targets. Since the October 2021 takeover by the Kingdom Public Investment Fund, the club believes rival teams have been demanding exorbitant fees, creating a warped perception of Newcastle's spending power. This issue is compounded by the stringent Premier League profit and sustainability rules (PSR), which heavily restrain their financial maneuverability.

Key Takeaways

Exorbitant Asking Prices: Rival clubs are demanding inflated transfer fees from Newcastle, hindering their ability to sign players.
PSR Constraints: Despite wealthy ownership, Newcastle is severely limited by Premier League profit and sustainability rules.
Wage Bill Management: The club is cautious about new signings' wages to avoid disrupting the existing pay structure and future contract negotiations, particularly with star striker Alexander Isak.
Strategic Player Sales: Recent sales of Miguel Almirón and Lloyd Kelly have provided some financial flexibility, but not enough to overcome the "Saudi tax."

Navigating Financial Fair Play and Player Valuations

Newcastle's transfer strategy is a delicate balancing act between acquiring desired players and adhering to financial regulations. The club aims to sign four players, including a goalkeeper, a center-back, a right-sided forward, and a striker. Potential targets include James Trafford (Burnley), Antoine Semenyo (Bournemouth), Anthony Elanga (Nottingham Forest), and Joao Pedro (Brighton). However, the asking prices for many of these players are currently deemed too high.

For instance, Bryan Mbeumo of Brentford was a primary target, but his wage demands and a transfer fee exceeding £60 million proved prohibitive. Similarly, Brighton's Joao Pedro, despite his versatility, comes with a reported £70 million price tag, which would consume a significant portion of Newcastle's budget. The club is also interested in James McAtee (Manchester City) and Mohammed Kudus (West Ham), but suitable fees would need to be negotiated.

Defensive Reinforcements and Future Prospects

In defense, Crystal Palace's Marc Guehi remains a target, with Newcastle valuing him around £40 million. The club is prepared to wait for the asking price to fall, especially as Guehi enters the final year of his contract. Newcastle's transfer approach emphasizes patience and adherence to their internal valuations for both fees and wages, ensuring they can fill all necessary positions within Eddie Howe's squad without overspending.

Talks for a new contract for Alexander Isak are expected to begin in July, with the intention of making him the club's highest earner. This highlights Newcastle's commitment to rewarding existing talent while carefully managing the wage structure to avoid internal discord. The club anticipates movement on incoming transfers later this month, with the goal of securing at least two players before pre-season training commences in July.