The Reasons Saudi Investment Has Not Transformed Newcastle into Championship Challengers
The Newcastle manager is not given to histrionics or grand media statements. So by his standards, his media briefing after the weekend's loss to West Ham counts as a furious tirade. Newcastle scored first but the opposition were ahead by the interval, as well as hitting the post and having a penalty revoked by VAR, prompting Howe to make a triple change at the half-time.
“The opening period was particularly irritating,” Howe stated. “Virtually any player could have been substituted and I believe this indicated of our performance level at that stage in the game and it’s very, very rare for me to feel that way. Actually, I cannot recall having done so since I’ve been manager of the club, so I felt the team needed some shaking up at the break. This explains why I made those decisions.”
Three key players all came off at half-time and the team managed to steady somewhat in the latter period, but never really looking like they might fight back into the contest against an opponent that had won only one of their previous nine fixtures. Considering the congestion the middle of the standings is, with a mere three-point gap separating third from 11th, and a nine-point margin between the upper and lower ranks, a sequence of 12 points from 10 games has not left the Magpies adrift but, similarly, they cannot finish the season in thirteenth place.
The Problem of Perception
The problem to an extent is one of perception. With the Saudi PIF, Newcastle possess the wealthiest backers in the world. The assumption at the time the Saudi fund acquired a majority stake of the team in recent years was that it would have a transformative effect, similar to the former Chelsea owner achieved at Stamford Bridge or Sheikh Mansour did at the Etihad. The difference is that both of those owners assumed control prior to the introduction of FFP rules (and the current charges against Manchester City relate to whether they violated those guidelines after they were in place).
Financial regulations restrict the capacity of owners, no matter how wealthy, to spend money on their squads and so in that sense likely might have slowed any Middle Eastern effort to elevate Newcastle to the level of Manchester City. But it wasn't necessary for Newcastle’s spending to have been quite as cautious as it has been; they might have spent more and stayed inside the limit – or just accepted a fairly minor European penalty since their big issue is more with the continental than the Premier League regulation.
Stadium Investment and PSR Rules
Besides which, infrastructure spending is excluded from Profit and Sustainability calculations; the easiest method to raise income to generate additional financial headroom would be to extend or renovate the arena. Given the site of St James’ Park, with listed buildings on multiple sides, in reality that likely implies constructing an completely new venue. Rumors circulated in March of potentially making the nearby relocation to a local park – opposition from community organizations could surely have been overcome with a promise to build a new park on the current ground location – but there has been no movement on that plan. There has been substantial cutbacks from the Saudi fund on a range of projects as it shifts focus on local investments; the approach to Newcastle seems entirely in alignment with that strategic shift.
The Alexander Isak Situation
The star striker episode was arose from that conflict. A more confident leadership might have framed his transfer as necessary to free up capital for further spending; rather there was a vain effort to keep him. That meant the team started the campaign amidst a sense of frustration despite the signings of several new players. The start was indifferent: a single victory in their first six games.
Yet it appeared a corner had been turned. They had won five in six prior to the weekend, a streak that featured convincing wins of Union Saint-Gilloise and a Portuguese club in the European competition. That’s why the performance against the Hammers was so surprising. The problem perhaps is that the team's style is very aggressive, high-energy; a minor decrease in energy can have significant consequences. Perhaps the pressure of domestic, Champions League and cup matches, five fixtures in a fortnight, had taken its toll. The German forward featured in each of those games and looked particularly weary.
Reality of Contemporary Football
This is the reality of modern the sport. Managers have to be ready to make changes. The manager has been unlucky that Wissa’s injury has meant he is short of attacking options but, no matter how valid the reasons, Sunday’s performance was unacceptable –especially after taking the lead at a stadium ready to criticize its own side.
The Newcastle boss will wish it was merely a temporary setback, one of those days when everybody is off-colour simultaneously, but if the Magpies are to secure the European competition in the future, not to mention one day mount an genuine championship bid, they must not be as unreliable as they have been.