Why Saudi Money Hasn't Transformed Newcastle into Championship Challengers

Eddie Howe is not prone to dramatics or sweeping public pronouncements. Based on his usual demeanor, his media briefing following Sunday’s 3-1 defeat qualifies as a angry outburst. Newcastle took an early lead but West Ham took the lead by the interval, while also striking the woodwork and seeing a spot-kick revoked by VAR, prompting Howe to execute a three substitutions at the break.

“The opening period was particularly irritating,” Howe stated. “I almost could have taken anyone off and I think this indicated of where we were at that stage in the game and it's extremely uncommon for me to feel that way. Actually, I don’t think having done so since I’ve been head coach of Newcastle, therefore I believed the team needed a significant change at the break. This explains why I made what I did.”

Anthony Gordon, Nick Woltemade and Emil Krafth were substituted at the interval and Newcastle did stabilise somewhat in the second half, but never really looking like they might get back into the contest against an opponent that had won only one of their last nine fixtures. Given the congestion the centre of the standings currently is, with just three points dividing the top spots from mid-table, and a nine-point margin between second and 17th, a sequence of twelve points from 10 games has not placed Newcastle stranded but, similarly, they cannot finish the season in 13th.

The Issue of Expectations

The problem to an extent is one of public view. With the Saudi PIF, the club have the richest backers in the globe. The assumption when the Saudi fund acquired 80% of the club in 2021 was that it would bring a game-changing impact, similar to the former Chelsea owner achieved at Stamford Bridge or Sheikh Mansour had at Manchester City. The difference is that both of those investors assumed control before the introduction of financial fair play regulations (and the ongoing allegations against Manchester City relate to if they breached those regulations after they were implemented).

Profit and sustainability regulations restrict the ability of owners, no matter how wealthy, to spend money on their squads and therefore probably would have slowed every Middle Eastern effort to elevate Newcastle to the level of City. But there is no need for Newcastle’s expenditure to have been quite as cautious as it has been; they could have spent more and remained within the threshold – or just accepted a relatively meagre European penalty since their major problem is primarily with the continental than the Premier League regulation.

Stadium Investment and PSR Rules

Additionally, infrastructure spending is excluded from Profit and Sustainability calculations; the easiest way to raise income to create more PSR headroom would be to expand or renovate the arena. Given the site of St James’ Park, with protected structures on multiple sides, in reality that likely means building an entirely new stadium. Rumors circulated in March of potentially undertaking the short move to a local park – opposition from community organizations could surely have been overcome with a commitment to create a replacement green space on the existing ground location – but there has not been any progress on that plan. There has occurred significant cutbacks from the PIF on a variety of initiatives as it shifts focus on domestic affairs; the approach to the football club appears completely in alignment with that strategic shift.

Player Sales Saga

The Alexander Isak episode was born of that conflict. A bolder management could have framed his transfer as essential to free up capital for additional investment; instead there was a vain attempt to keep him. This resulted in the team started the campaign amidst a sense of disappointment even with the signings of several new players. The start was indifferent: a single victory in their first six games.

Yet it appeared a turning point had been turned. They secured five in six before the weekend, a run that featured demolitions of a Belgian side and Benfica in the European competition. This explains the display against West Ham was such a shock. The issue maybe is that the team's approach is very aggressive, high-energy; a slight drop-off in energy can have significant consequences. Maybe the pressure of domestic, Champions League and Carabao Cup matches, five games in 15 days, had got to them. The German forward started each of those matches and appeared especially weary.

The Nature of Contemporary Soccer

That’s the nature of today's the sport. Managers must be ready to make changes. Howe has been unfortunate that the forward's injury has left him short of attacking options but, regardless of how valid the reasons, Sunday’s performance was unacceptable –particularly after taking the lead at a ground ready to criticize its own side.

The Newcastle boss will wish it was just a blip, an off-day when all players is off-colour simultaneously, but if the Magpies are to secure the Champions League next season, not to mention one day launch an actual championship bid, they must not be as inconsistent as this.

Tina Ponce
Tina Ponce

Elara is a wellness coach and writer passionate about helping others achieve balance and personal transformation through mindful living.