The Reasons Saudi Investment Hasn't Turned Newcastle into Championship Challengers

The Newcastle manager isn't typically prone to histrionics or grand public pronouncements. Based on his usual demeanor, his media briefing after the weekend's loss to West Ham qualifies as a furious outburst. Newcastle took an early lead but West Ham took the lead by half-time, while also striking the woodwork and having a penalty overturned by VAR, prompting Howe to execute a three substitutions at the break.

“The opening period was particularly irritating,” Howe said. “Virtually any player could have been substituted and I believe this indicated of our performance level at that stage during the match and it's extremely uncommon for me to feel that way. Actually, I cannot recall having done so during my tenure as manager of the club, so I felt the team needed a significant change at the break. This explains why I did those decisions.”

Three key players all came off at the interval and Newcastle managed to steady somewhat in the latter period, without ever appearing like they could get back into the game against a side that had won only one of their previous nine league matches. Considering the congestion the centre of the table currently is, with a mere three-point gap separating third from 11th, and nine points between the upper and lower ranks, a sequence of 12 points from 10 games has not left Newcastle stranded but, similarly, they cannot finish the season in 13th.

The Issue of Perception

The problem to an extent is one of perception. With the Saudi PIF, the club have the wealthiest owners in the globe. The expectation at the time the PIF acquired 80% of the team in recent years was that it would have a game-changing impact, as the former Chelsea owner had at Chelsea or the City Group did at the Etihad. The difference is that those two investors assumed control before the advent of FFP regulations (while the current allegations against Manchester City relate to if they breached those regulations once they were implemented).

Financial restrictions restrict the ability of proprietors, no matter how wealthy, to invest funds on their teams and therefore probably might have slowed any Middle Eastern effort to raise the team to the level of City. But there is no need for Newcastle’s spending to have been so restrained as it has; they might have invested further and remained within the limit – or simply taken a relatively meagre European penalty given their big problem is more with the European than the Premier League regulation.

Stadium Spending and Financial Regulations

Besides which, stadium development is exempted from Profit and Sustainability assessments; the simplest method to raise income to generate additional PSR headroom would be to extend or renovate the arena. Given the site of St James’ Park, with listed buildings on two sides, practically that likely implies constructing an entirely new venue. There was talk in March of possibly making the short move to Leazes Park – opposition from local groups could surely have been surmounted with a commitment to create a replacement green space on the existing stadium site – but there has been no movement on that proposal. There has been significant cutbacks from the PIF on a range of initiatives as it shifts focus on domestic affairs; the attitude to the football club appears entirely in keeping with that change of approach.

Player Sales Situation

The Alexander Isak episode was arose from that tension. A more confident management could have framed his sale as essential to free up capital for further investment; rather there was a vain effort to retain him. That meant Newcastle started the campaign amid a sense of disappointment despite the signings of several new players. The start was indifferent: a single victory in their first six games.

Yet it appeared a corner had been turned. They secured five in six prior to the weekend, a run that included convincing wins of a Belgian side and a Portuguese club in the European competition. This explains the performance against West Ham was so surprising. The problem maybe is that Newcastle’s approach is very aggressive, high-energy; a slight drop-off in intensity can have significant effects. Perhaps the strain of domestic, European and cup competition, five games in a fortnight, had got to them. The German forward featured in all five games and appeared particularly weary.

Reality of Contemporary Football

That’s the reality of today's football. Managers must be ready to make changes. Howe has been unlucky that Wissa’s fitness issue has meant he is lacking attacking options but, regardless of how reasonable the explanations, Sunday’s showing was inexcusable –particularly after taking the lead at a ground primed to turn on its home team.

Howe will hope it was merely a temporary setback, an off-day when everybody is off-colour simultaneously, but if the Magpies are to qualify for the Champions League next season, not to mention eventually launch an actual title challenge, they cannot be as unreliable as they have been.

Zachary Gray
Zachary Gray

Lena is a seasoned content creator and educator passionate about sharing knowledge to help others grow and succeed in their endeavors.