Date: 1st May 2018 at 8:00pm
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Over the last four years, Mauricio Pochettino has presided over a club whose net spend is just £40.25m. To put that into context, over that same period, Manchester United net spend was £417m and Manchester City was £496m.

The only top six club to beat us was Liverpool on £18m, and a lot of that can be attributed to the sale of Philippe Coutinho to Barcelona for £142m. If you combine with this the club’s strict wage structure compared to the other five challenging for honours, Poch’s ability to produce sides who monetarily punch well above their weight is second to none.

However, it looks as though those times of financial restraint will not quickly go away by the move to the new stadium. The costs of building the ground have spiralled in recent years with the total cost so far reaching £315m, with a final figure of over £800m now likely.

That level of investment will inevitably have an impact on the transfer budget available to the manager in the years to come. No doubt, as fans we will have to pay our fair share of the cost with some exorbitant ticket prices, but it could be that the playing side takes a hit too.

To what extent, we’ll have to wait and see. The club made a healthy profit in 2016/17 with record revenue of £306.3m and a profit after tax of £41.2m. These are sizeable increases year on year (revenue jumped by £96.5m), and there are a number of other potential avenues for profit.

Continued participation in the Champions League will certainly help with TV revenue and prize money. Increased capacity at the new stadium with additional gate receipts and vastly improved corporate hospitality and sponsorship revenue will aid repayments on the £400m we have taken out as a loan.

Yet, Daniel Levy has warned of “challenges” to come. Although not the most reliable sources, both the Mirror and Daily Mail believe we will have to sell before we buy this summer. The “Wheeler Dealer” approach will continue it seems.

There is expected to be a relatively large turnover of players at the end of the season, with as many as five first-team players possibly leaving. Whether such a transformation will turn us into the type of title challengers we hope for, I don’t know.

What I do know is that such restrictions in the longer term could be a problem as we look to overhaul the big spending Manchester clubs at the top of the table who do not have the same financial constraints. With Poch in charge though, we still have a great leveller on the playing field.


25 Replies to “Poch Will Have To Continue Under Spurs’s “Wheeler Dealer” Approach”

  • Man City are hellbent on winning the Champions League and will do whatever it takes? Lewis and Levy just want to line ther pockets? Enough said. I just wish the new stadium to be completed and for them to sell to a more ambitious organisation.

    • Bullshit? City’s owners have been at the club for ten years and they won three league titles plus a number of cups? Lewis and Levy seventeen years one league cup. City spend money, pay competitive salaries and do not sell their players to rivals ( eg Walker and most likely Toby and Rose.) City have ambitious owners, we are run by greedy , self serving Jews.

  • Stating the obvious. Of course the stadium will have to be paid for. Misses the wider picture though. Even after the stadium is paid for United will still have twice our revenue. City will continue to have more income for as long as the authorities allow them to manipulate FFP, so probably forever. So whatever happens there will always be two clubs that can outspend us. The thing is though Arsenal and Chelsea will be in the same boat, with a similar revenue stream to us. Liverpool will have less money than any of the big London clubs. So it may well be a case of other clubs acting more like us.

  • In Jod’s post is the answer to THFC being out spent by City & Utd. The FFP law has more holes than a swiss cheese !. There needs to be some enforcement by regulators. As this has been going on for 4 years or so, I.m not expecting any regulator action soon, if ever.

  • Levy has always said that the stadium costs would not affect our transfer budget. He is being true to his word as the sell before we buy method is going to continue unless or until ENIC sell up, and even then who knows?

  • Spot on there Jod and block d spurs, and very simply put Decky well said.

    Now has MC built a new ground?, if they have I haven’t heard about it, their owners(oil men) at a guess have 10-12 times, in could be more, deeper pockets than our owner Lewis, even the Russian gangster at Chavski (worth approx £18billion) says he cannot compete, so how the hell is Lewis going to.

    Sometimes I wonder what world the doubters live in, some of you might try reading the accounts.

    As for ENIC selling up, how do we know if we will be better off, we could end up with a very rich geyser/consortium, who still play fair, thus still be as we are now. Better the devil you know and be careful for what you wish for. COYS

  • I do think that once a club reaches a certain level of wealth, they have enough money to compete and that can no longer be used as an excuse. Take Chelsea and Liverpool for example, they are paying the wages and the transfer fees of top players, yet are nowhere near the Manchester clubs in terms of revenue. You don’t have to earn the most, you just have to earn enough to finance a good, competitive squad. Chelsea have proven twice in the last 4 seasons that they’re investing enough to win the PL. Their spending pales in comparison with the Manchester clubs though. Same for Liverpool who are basically in the CL final already. They have drastically different ways of operating their clubs though.

  • Good comment jod.

    We just need to stick to the (dare I say it) ‘project’. It seems to be going very well and we seem to be in pretty good shape. Our priority has to be to become a regular part of the top four clubs …. everything else will take care of itself. I think!

  • That’s it I am a “happy clapper” and ” flat earther”, all the doubters/whingers are right and we should sack Poch and hope Levy and Lewis sell up. I give up! COYS

  • Liverpool aint won nuthin yet, BS!

    If they can blow a 2-0 advantage v WBA, they can lose their 3 goal advantage tonight.

    If they do get to the final…? Well, I suppose if Spurs can beat Real, they can too.

    Let’s see if they can get there first.

  • As for THFC finances blah, blah. I give up!

    I think I’ll just concentrate on watching the football from here on in.

    How novel of me! HaHaHa!

  • Anyone here that can remember when we were last relegated?

    Yes, that’s right… It was under our last, more-than-one cup “winner” Burkinshaw!

    Funny old game!

  • HT – Anything is possible, and Roma have recent experience in turning around a 3 goal deficit, but let’s just say that carrying that advantage into a second leg, with arguably the hottest player in world football right now, against a back 4 which features Federico Fazio, I’d say the odds are looking good!

  • Still, if MP would just play a different formation… Say a 5-3-2. Then he would have for sure, at least 3 cups to our name in just 4 MP seasons!

    And for that astute piece of HT insight. It’s free of charge, Mr. Levy.

  • Seems to be some misunderstanding about FFP. City manipulate FFP, United don’t, they don’t need to. If FFP worked properly then City would have less revenue than Arsenal. United though would still have double Arsenal’s revenue. They genuinely have twice the income.

  • Jod I have to agree with you there regards MC, I believe that the deep pockets multi multi billionaire who owns them is also the owner of their large millions sponsor, which then allows him to filter more dosh into MC via the back door, though I could be wrong but somehow I don’t think so.

    Spurs as a club just cannot compete, simple. COYS

  • Let’s take Liverpool first. In the year that Spurs post record revenues of £306m (16/17), Liverpool were already at £364m. Their infrastructure costs are much smaller than ours as they develop Anfield versus building a whole new stadium. What Levy knows though is that John Henry is one of the poorer billionaires and has only made Liverpool operate where they are due to 3 things (1) Red Sox winning World Series and diverting money to LFC (2) The sales of Suarez (3) The sale of Coutinho. Not so long ago they would have had twice our revenue. However, at the moment their extra £60m turnover and their cashflow puts them in a slightly higher league than us for players salaries and transfer fees. However, both clubs operate with the same restrictions and I think we can close that gap unless another outlier like Red Sox happens again.

    So think about £306m and imagine if you could have £581m instead. That’s the pot of money that Utd had. This may hurt some fans, but Utd actually operate very similar to both THFC and LFC. They just work with a balance sheet that is double ours, but based on serviced debt that the Magniers setup. However, most of their running costs are similar so they can divert more and more money to salaries and transfer fees. It’s a very simple formula. Arsenal are no different either. The stupid thing there is that they had £419m revenue to work with, probably have a much higher wage bill than us, but are failing on the football field (shame!!!).

    Leaving City aside for a moment, the interesting club is Chelsea. Known for throwing a billionaires money around, it will be interesting to see whether they now become a club that operates within their own balance sheet. That only gives them £4m more than LFC with £368m. By the time we look at this season, my guess is that LFC will have overtaken them. Will Abramovich continue with the current model which is creaking, or will he start to figure out how he can work around FFP and start to divert money back into the football side knowing the investment in the new stadium will be huge. Surely if he operates as a business, there will be little money left for transfers and salaries. My guess is he’ll find a way.

    Lastly City. They don’t seem to have any true infrastructure project costs but may expand Etihad at some stage. Their super rich billionaires turn their own companies profits into MCFC sponsorship revenues that means that the club revenues are inflated to £454m. They are probably only the only questionable club out of the top 6 because they merge the lines between their private companies and the club itself. I’m not even sure that is questionable if they are declaring these items and paying tax accordingly. No surprise their net spending is huge based on this model.

    When you take all that into account, is it surprising that our net spending is £40m (i.e. Davinson Sanchez) over 4 years? Is it surprising that Utd and City net spending is between £400m and £500m? It is already stated why LFC’s is only £18m. Anyone with a GCSE in maths can surely see why so I’m not sure why we keep going round the houses on this subject. It is what it is.

  • Take your point muttely , what about all the other clubs out spending us admittedly spending poorly we’ve been spending practically sweet f all for numerous years, how sustainable is this and keep our top players and coach happy with this net spend and wages?

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