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

Eddie Howe is not given to dramatics or grand media pronouncements. Based on his usual demeanor, his press conference after the weekend's loss to West Ham qualifies as a furious tirade. Newcastle took an early lead but the opposition took the lead by half-time, as well as hitting the post and seeing a spot-kick overturned by VAR, prompting Howe to execute a three substitutions at the break.

“The opening period was particularly irritating,” the coach stated. “I almost could have taken anyone off and I think that was a reflection of where we were in that moment in the game and it’s very, very rare for me to have that impression. In fact, I cannot recall having done so since I’ve been manager of Newcastle, therefore I believed the squad required some shaking up at the break. This explains why I made what I did.”

Anthony Gordon, Nick Woltemade and Emil Krafth were substituted at the interval and the team did stabilise to an extent in the second half, without ever appearing like they could get back into the contest against a side that had secured just a single victory of their previous nine fixtures. Considering the congestion the centre of the standings 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 ten matches has not left Newcastle stranded but, equally, they must not end the campaign in 13th.

The Problem of Expectations

The challenge to an extent is one of public view. With the Saudi PIF, the club possess the richest owners in the world. The assumption when the Saudi fund acquired a majority stake of the club in recent years was that it would have a transformative effect, as the former Chelsea owner achieved at Stamford Bridge or the City Group had at Manchester City. The distinction is that those two investors assumed control prior to the advent of financial fair play rules (and the current allegations against City concern whether they breached those regulations after they were implemented).

Financial regulations restrict the ability of owners, however rich, to spend money on their teams and therefore likely would have slowed any Middle Eastern attempt to elevate the team to the level of Manchester City. But it wasn't necessary for Newcastle’s expenditure to have been quite as cautious as it has been; they might have spent more and stayed inside the threshold – or simply taken a fairly minor Uefa penalty since their major issue is more with the continental than the Premier League rules.

Infrastructure Spending and PSR Rules

Additionally, stadium development is excluded from PSR assessments; the easiest way to increase revenue to create more PSR flexibility would be to extend or redevelop the arena. Given the site of St James’ Park, with listed buildings on multiple sides, in reality that probably means constructing an completely new venue. Rumors circulated in spring of potentially undertaking the nearby relocation to Leazes Park – resistance from community organizations might have been surmounted with a promise to build a new park on the current stadium site – but there has been any progress on that proposal. There has occurred substantial cutbacks from the PIF on a variety of initiatives as it shifts focus on local investments; the attitude to Newcastle appears entirely in keeping with that strategic shift.

The Alexander Isak Situation

The star striker episode was born of that tension. A more confident leadership could have framed his transfer as essential to release funds for additional investment; rather there was a vain attempt to keep him. That meant Newcastle began the season amid a feeling of disappointment even with the acquisitions of several new players. The start was mixed: a single victory in their initial six games.

But it seemed a corner had been turned. They secured five victories in six matches prior to Sunday, a streak that included convincing wins of Union Saint-Gilloise and a Portuguese club in the Champions League. This explains the display against the Hammers was such a shock. The problem maybe is that Newcastle’s style is very aggressive, very high-octane; a minor decrease in intensity can have significant consequences. Maybe the strain of Premier League, Champions League and Carabao Cup matches, five games in a fortnight, had got to them. Woltemade started all five games and appeared particularly weary.

Reality of Modern Soccer

That’s the nature of modern football. Managers must be prepared to make changes. Howe has been unlucky that the forward's injury has left him lacking attacking options but, no matter how reasonable the explanations, the weekend's showing was unacceptable –particularly after scoring first at a stadium ready to turn on its home team.

Howe will hope it was just a blip, one of those days when all players is below par at once, but if the Magpies are to secure the European competition next season, not to mention eventually mount an genuine championship bid, they cannot be as unreliable as this.

Joshua Tucker
Joshua Tucker

A tech enthusiast and seasoned reviewer with a passion for testing and evaluating consumer electronics.