Why Chelsea need to make £100m in player sales to avoid breaching Premier League profit and sustainability regulations

Chelsea may have to make £100m in player sales to avoid breaching Financial Fair Play (FFP) rules, but it could already be too late.

He Blues have twice broken the British transfer record by spending over £1 billion on almost 30 new players low Todd Boehly.

The west London team is already being investigated by the Premier League for FFP violations under Roman Abramovich.

However, their continued generous outlay since the Boehly-led takeover in May 2022 has sparked increased concern that the Blues could be penalized further.

The Premier League profitability and sustainability regulations (PSR), which states that a club cannot make a loss of more than £105m over a three-year period, has come under renewed attention in recent months.

Everton was They deducted ten points in November for non-compliance with regulations – which has it has since been reduced to six on appeal.

Chelsea tried to offset its excessive spending with a liquidation sale last summer, in which Kai Havertz sold to Arsenal for £65 million, bricklayer assembly to manchester united for an initial £55 million and several other stars moved to Saudi Arabia.

The Blues also split the £200m cost of duo Enzo Fernandez and Moisés Caicedo via a process called amortization.

Mauricio PochettinoThey continue to be the ones who spend the most and, according to The Telegraphits blue-chip rivals believe they need to recoup another £100m in sales before the end-June deadline.

Part of that will be guaranteed by Newcastle's purchase obligation Lewis Hall and the £37m buyout clause inserted into Romelu LukakuContract.

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However, speaking of White and JordanFFP expert and financial advisor Stefan Borson explained why it was not so simple.

He said: “It seems that they observed our deadline day discussion about this because we talked specifically about the need for it to be £100 million.

“Anyway, I only used that number because it was a round number, the reality is it's over £100m.

“It's not £100m gross, it's not about saying: 'Oh, somehow sell (£88m Mykhailo) Mudryk for £50m and everything will be fine', it's about profit.

“We are talking about selling £100m of profits, depending on the way the Premier League and PSR rules work, and that means, as we all know, selling your best young players or selling players who somehow have a amortized value”. – a net dollar value – which is less than the sales price.

“What it doesn't mean is that you can go out and sell Lukaku for £38m and think you've made a good deal.

“You haven't made anything by selling Lukaku for £38m, nothing at all because it's probably damaged on the balance sheet, but even if it was, £38m won't give you a profit on Lukaku.

“And that's even if you could sell it before June 30, and I suspect they can't.”

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In addition to players like Hall and Lukaku, Chelsea will also get rid of Trevoh Chalobah and Armando Brojawith Conor Gallagher's future is also uncertain.

Borson continued: “Let's be fair (to Chelsea), firstly, they deny that they actually need to sell anyone.

“They say that they are totally in agreement with the PSR for the current season and that they do not need to sell anyone.

“I say look at the numbers – and everyone can do the numbers, it's not that complicated to see that they are going to have a serious problem – because in several of these pieces, it also says that they barely managed to pass 22/23.

“Well, if they managed to go 22/23, that means they were at -105 for that consecutive three-year period.

“So when you put that third year behind you and you start to evaluate that you have two years of big losses and we know for a fact that this year, since they don't have European football at all, they have made a loss.

“I don't see how they argue that they don't need to sell to anyone, but let's say they somehow argue that the sales of Mason Mount, (Lewis) Hall to Newcastle, (Tino) Livramento's £12m selling fee, maybe they say That takes them where they need to go.

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“I highly doubt it and I think they have a very big deficit to find.

“I think they have now left it extremely late to find the gains, and that has complexity, not least the fact that Gallagher will be out of contract in a year by the time June arrives.

“You have the euros and of course, as that article says, all the other clubs, the Premier League teams, the potential buyers of these players are not stupid.

“We know that Gallagher's potential buyer is Daniel Levy and Tottenham, and we know that their strategy will be to push as hard as possible.

“So if Chelsea want to release a player before June 30, other teams will take advantage of it.

“That's why I say I think it's unlikely that if they need to sell £100m worth of players to make a £100m profit, I think it's unlikely they can do it!”