Arsenal
Aston Villa
Chelsea
Crystal Palace
Everton
Fulham
Liverpool
Manchester City
Manchester United
Newcastle United
Nottingham Forest
Southampton
Tottenham Hotspur
West Ham United
Wolverhampton Wanderers
News
Newcastle are about to write a ‘really big cheque’ as £250m off-pitch target outlined
Newcastle United’s ambitions under the Saudi Public Investment Fund extend into every element of the club.
Commercially, Newcastle’s performance since PIF‘s takeover in October 2021 ha🦄s been impressive, with income from sponsorship and merchandise sales rising from £21m to £47m.
What’s more, those figures are from the 2022-23 accounts, the last season for which financial data is available – when they release the 2023-24 accounts, Newcastle’s commercial income could hit £70m.
With TV income plateauing, Newcastle have seen c🐼ommercial income the most efficient way to gen𝓀erate cash in the short term.
B𝓡ut for 🦹PIF to realise the full extent of their ambitions on Tyneside, longer-term investment is required.
Liverpool University football finance lecturer Kieran Maguire told TBR earlier this summer that Newcastle need to devel🍌op more 🧸of a player-trading focus, as opposed to being a destination club.
That might not sound particularly appealing for Newcastle fans dꦕesperate to see the club retain the likes of Alexander Isak, Bruno Guimaraes and Anthony Gordon, but it is the reality.
However, one growth a𒁃rea that supporters can get behind is the expansion of St James’ Park – and there have been new developments today.
- READ MORE NEWCASTLE UNITED NEWS: Newcastle and Chelsea bosses have made ‘incorrect’ PSR claim as £122m deals 🍌scrutinised
Big investment imminent as Newcastle target £250m PSR boost
Since PIF’s takeover, a♒ttendances at St James’ Pꦇark have soared.
As well as having one of the most passionate fanbases in the Premier League, they ꧋also have o🌳ne with the potential to sell among the most tickets.
At 52,000, the club have headroom to expand St James’ Park but are🌼 limited by planning and architect☂ural concerns.
Newcastle have commiss🅷ioned a St James’☂ Park feasibility study about 🔜the possibility of either expanding the stadium or moving to a new site al🐻together.
Now, in an interview with , Newcastle chief operating officer Brad Miller has now insisted that the owners are ready to writer a “really big ♍cheque” o🐭nce the study is complete.
As well as exploring the club’s commercial strategy and what might be possible at an expanded St James’ Park, the i♒nterview also disclosed that Newcastle plan to double revenue every two years.
At the last count (2022-23), Newcastle’s annual revenue was 🦩£250m, meaning they will hope to generate an a꧋dditional £250m turnover over the next two seasons.
How much cash can St James’ Park expansion generate?
As th🦩e cost of expanding St James’ Park is PSR-deductible and the Saudis will be willing to spend whatever it takes to deliver the best, redeveloping the stadium is all upside for Newcastle.
If Newcastle added, say, 13,000 seats to take capacity to 65,000, a crude cജalculation based on their 2022-23 matchday income would show that they can generate £47.5m per year in matc꧒hday income.
However, given the recent incre൲ase in prices, the likely emphasis on hospitality, and other in-stadium revenue opp꧒ortunities, the true figure may be close to £70m.
A naming rights deal, perhaps with a company in PIF’s portfol꧙io, could further bump up that figure.
And the general commercial appeal of the club would increase at a shiny new sta꧂dium, as would what tꦛhe Premier League deem fair market value when it comes to deals with PIF-owned companies.