Some of Chelsea’s competitors will be enviously watching as they exercise their financial muscles as their summer spending continues.
Wesley Fofana’s impending arrival from Leicester for about £70 million will bring the total during this window to a startling £250 million – and counting.
The final sum may surpass £300 million due to head coach Thomas Tuchel’s admission that Chelsea needs some more players in various positions and their pursuit of Barcelona’s Pierre-Emerick Aubameyang and Everton’s Anthony Gordon.
Additionally, it would surpass Chelsea’s own £230 million spending record in the Premier League for a single window.
Others are monitoring the situation in the framework of Financial Fair Play regulations with that in mind.
Football finance experts believe that UEFA will naturally be keeping an eye on Chelsea’s position. Some individuals, some of whom predate the Todd Boehly-led administration, have privately expressed concern that, at the current rate of spending, they are moving closer to danger.
From Chelsea’s perspective, practically goes without saying that the new administration has a seasoned business staff under the direction of Boehly, Behdad Eghbali, and Jose Feliciano, who has no doubts about the rules and has been operating them.
The need for expenses like Romelu Lukaku, Timo Werner, and Emerson Palmieri to help balance the books has also been recognized, and there is trust that they will be compliant.
The situation won’t become evident until Chelsea’s spending is over and their financial results, which include this window’s activity, are published.
Even then, there will be elements that could muddy the image.
Dr. Rob Wilson, an expert in football finance at Sheffield Hallam University, stated in layman’s terms, the £4.25 billion sale price of Chelsea could have erased the debt and losses that had been accumulated at the club over the last 20 or so years so effectively, Chelsea start at zero bases under the terms of FFP.
UEFA will most likely evaluate them by the previous set of rules before examining how they might fit the new ones. You might get away with it this year, but you’ll have to make up for those spots the next year because this is essentially the last toss of the dice.
Chelsea may also claim that some expenditures have been carried over into this accounting period as a result of the restrictions placed on former owner Roman Abramovich that prevented them from conducting any business toward the conclusion of the previous one.
They’ll have access to 90% of the budget in 2023. In the following two years, this percentage will fall to 80% and then 70%. For the authorities, such change will result in an uncertain situation.
While there is a consensus that such accommodations should no longer be made, normalcy returned to football last season, teams may nevertheless claim that Covid losses continue to have an impact on their performances.