'We couldn't - Newcastle United points deduction truth after Man City found guilty of 114 charges
Former Newcastle United chief executive officer Darren Eales has explained the club’s stance when faced with a potential Premier League points deduction.
Darren Eales has claimed a points deduction for Newcastle United back in 2024 would have ‘torpedoed’ the club’s momentum following the PIF-led takeover.
After surviving relegation following the takeover, Newcastle finished fourth and qualified for the Champions League before a slight regression saw the club finish seventh and miss out on Europe.
The first real blow following the takeover came just weeks later when it became clear the club could be facing a 10-point deduction if they didn’t comply with the Premier League’s Profitability and Sustainability Rules. This effectively forced the club to raise funds to satisfy PSR which led to the sale of Elliot Anderson and Yankuba Minteh before the June 30 deadline.
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Darren Eales on PSR punishment
But in the context of Manchester City recently being found guilty of 114 breaches of the Premier League’s financial rules, fresh questions over Newcastle scrambling around to sell two of their most exciting young prospects for cut-price deals have been raised.
But Eales, who was Newcastle United’s chief executive officer at the time, has no regrets over how that particular situation was handled by the club.
“My background is as a barrister, and when I was hired by Newcastle, it was crystal-clear from an ownership perspective that everything was going to be done the right way and within the rules which were there,” Eales told The Athletic. “When we talk about that summer, it was just the situation we were in, with the added information of what had happened to Everton [10 point deduction reduced to six after appeal] and Nottingham Forest [four point deduction]. It was real sanctions, with teeth.
“It’s very easy after the event to say, ‘Ah well, just take a points deduction’, but we couldn’t. It would have torpedoed our momentum and the progress we were making.
“It meant making tough decisions and it went right to the wire, but we pulled every lever to make sure we met our PSR responsibilities. One thing the ownership can be proud of is that they’ve done things the right way. Credit to them for always saying, ‘No, this is how we run our ship’.
“I think I was the first executive to speak out about how PSR works and to try and explain it to fans, because you could see it coming. We were going to have to move players on. It didn’t matter how wealthy your ownership was.
“It’s obviously been difficult for the club and it’s a tension in the game, a tension within the Premier League.”
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Newcastle United still punished
Newcastle’s decision was arguably vindicated the following season as the club ended a 70-year trophy drought by winning the Carabao Cup while also qualifying for the Champions League for the second time in three seasons. But that level of success hasn’t lasted while the club’s problems complying with the various financial rules has continued.
Over the summer, Newcastle reached a settlement with UEFA after being found guilty of breaching their financial rules.
While Newcastle have been successful sellers following their scrape with a potential points deduction, the manner in which money has been reinvested into the squad in the transfer market is the subject of ongoing scrutiny.
The past two summers have seen Newcastle record a record transfer spend as well as record player sale figures. But the end result last season was a 12th place finish in the Premier League and the club admitting the current campaign is one of ‘transition’.