Leicester 'could face points deduction next season'

[lcfc_forever]

Not sure that makes sense - a sale is immediately booked on the accounts, it's the purchase of players that's typically amortised? 

[Nolucklcfc]

I wondered if it was just because it was pure profit and not including an original fee like a player would have. Having said that, if we sold KDH that would be pure profit as well? …

[UniFox21]

Just another example of no one having any idea at all what the rules are or what's happening 

[st albans fox]

5 minutes ago, UniFox21 said:

Just another example of no one having any idea at all what the rules are or what's happening 

It’s embarrassing that sports journalists are so ignorant 

I can understand keyboard warriors messing up but proper journos with blue ticks tweeting rubbish just leads to ordinary fans perpetuating nonsense (understandably) 

 

what worse is that people have corrected him in comments and he hasn’t taken the tweet down 

Edited 16 June 2024 by st albans fox

[UniFox21]

1 minute ago, st albans fox said:

It’s embarrassing that sports journalists are so ignorant 

I can understand keyboard warriors messing up but proper journos with blue ticks tweeting rubbish just leads to ordinary fans perpetuating nonsense (understandably) 

 

what worse is that people have corrected him in comments and he hasn’t taken the tweet down 

That's the state of sports journalism for you.

 

You're either one of the top journalists, your Ornstein's or a decent writer for a paper and highly reputable for an area/club.

 

Or you're there to generate clicks and interactions. 

[st albans fox]

2 minutes ago, UniFox21 said:

That's the state of sports journalism for you.

 

You're either one of the top journalists, your Ornstein's or a decent writer for a paper and highly reputable for an area/club.

 

Or you're there to generate clicks and interactions. 

In addition, there is no certainty that the compensation is even being paid this season 23/24 as he starts work at Chelsea July 1st 

If hughes is saying that the ten mill comp coming in July means we can cover 50m on incomings post July 1 on 24/25 psr then he is making a reasonable point - but I don’t believe he is 

 

[JimmyC74]

10 minutes ago, st albans fox said:

In addition, there is no certainty that the compensation is even being paid this season 23/24 as he starts work at Chelsea July 1st 

If hughes is saying that the ten mill comp coming in July means we can cover 50m on incomings post July 1 on 24/25 psr then he is making a reasonable point - but I don’t believe he is 

 

Presumably to have got him out of his contract the cash must have been received (pre-30 Jun) but from an accounting perspective we have some freedom as to when we recognise the 10m gain.

 

That said reading between the lines from comments by @Slsbn and Kieran Maguire regardless  we need sales to avoid breaching PSR in 2023-24. So incomings surely will forces on loans and freebies.

Edited 16 June 2024 by JimmyC74

[coolhandfox]

39 minutes ago, st albans fox said:

It’s embarrassing that sports journalists are so ignorant 

I can understand keyboard warriors messing up but proper journos with blue ticks tweeting rubbish just leads to ordinary fans perpetuating nonsense (understandably) 

 

what worse is that people have corrected him in comments and he hasn’t taken the tweet down 

I don't think they are much bothered by presenting facts, it's now much more about generating clicks, view for money.

[TeamFoFo]

18 hours ago, st albans fox said:

In addition, there is no certainty that the compensation is even being paid this season 23/24 as he starts work at Chelsea July 1st 

If hughes is saying that the ten mill comp coming in July means we can cover 50m on incomings post July 1 on 24/25 psr then he is making a reasonable point - but I don’t believe he is 

 

How does he have a point for the 24/25 accounting period? £10m ≠ £50m no matter the year, as far as I'm aware.

[Molson Canadian]

[st albans fox]

15 hours ago, TeamFoFo said:

How does he have a point for the 24/25 accounting period? £10m ≠ £50m no matter the year, as far as I'm aware.

10m income = 50m spend in season 24/25 on five year amortisation. (The 10m has to go out each of the five years out to 28/29) 

so purely for psr purposes,  10m coming in July covers 50m of player purchases in 24/25. 

[Lambert09]

7 minutes ago, st albans fox said:

10m income = 50m spend in season 24/25 on five year amortisation. (The 10m has to go out each of the five years out to 28/29) 

so purely for psr purposes,  10m coming in July covers 50m of player purchases in 24/25. 

that’s the best way of putting it. so they were talking jibberish about sales, it’s purchasing that it helps with 

[st albans fox]

4 minutes ago, Lambert09 said:

that’s the best way of putting it. so they were talking jibberish about sales, it’s purchasing that it helps with 

it’s 10m coming in that we hadn’t budgeted for so when it does arrive it will reduce any psr overspend by 10m if all other parts of the budget are met (in whichever year it arrives).  and that also means we can now sell 10m less in players and be in the same place. If we do break psr in the season that the money arrives then it could be worth a point off any associated deduction. 

[Bryn]

I’m sorry to sound defeatist but I think it’s pointless spending big money to try and stay up this season. I think we need to focus on careful recruitment of players with the mental strength and character to withstand a difficult season, make progress despite it and stick around to kick on next season which will almost certainly be in the Championship. There’s absolutely no logic in taking on more financial risk chasing survival, we need to use the PL money to clear the decks and go into next season with no risk of further financial jeopardy.

[urban.spaceman]

12 minutes ago, Bryn said:

I’m sorry to sound defeatist but I think it’s pointless spending big money to try and stay up this season. I think we need to focus on careful recruitment of players with the mental strength and character to withstand a difficult season, make progress despite it and stick around to kick on next season which will almost certainly be in the Championship. There’s absolutely no logic in taking on more financial risk chasing survival, we need to use the PL money to clear the decks and go into next season with no risk of further financial jeopardy.

That's the future the Premier League wants for us. They've been directly controlling our fortunes ever since we won the league. I say we defy them.

[Bryn]

2 minutes ago, urban.spaceman said:

That's the future the Premier League wants for us. They've been directly controlling our fortunes ever since we won the league. I say we defy them.

I understand the sentiment but we’re going into the season with no manager, likely having to sell players and with probably a 9 point deduction. Not to mention the general black cloud hanging over the club. You have to play the hand you’re dealt.

[brookfox]

Feel like knowing our points deduction could have a big steer on our transfer strategy this summer. -15pts and we may as well build for next season; no loans, younger players who can develop, bring some through the academy, keep it tight on wages. -4pts and we're still in with a good chance of staying up and can go for it a bit more.

[ClaphamFox]

5 minutes ago, brookfox said:

Feel like knowing our points deduction could have a big steer on our transfer strategy this summer. -15pts and we may as well build for next season; no loans, younger players who can develop, bring some through the academy, keep it tight on wages. -4pts and we're still in with a good chance of staying up and can go for it a bit more.

[inckley fox]

22 minutes ago, urban.spaceman said:

That's the future the Premier League wants for us. They've been directly controlling our fortunes ever since we won the league. I say we defy them.

We'll be defying them from the Championship though, and sued left right and centre. If we are going to end up going down anyway, it'd be nice to think a future existed for us in which we wouldn't be talking about huge deductions, and might actually be able to become competitive again. We can't resign ourselves to years of uncertainty on the basis that we, and very few others, might think we have a point. Even if we stayed up for one year, it'd only make what happened the year after, or the year after that, more costly.

[Master Fox]

On 04/03/2024 at 13:13, Ric Flair said:

If we have failed FFP in 2022/23 despite selling Fofana and Maddison in that accounting period then it is beyond belief.

Dreadful. 

[jerry]

2 hours ago, Bryn said:

I’m sorry to sound defeatist but I think it’s pointless spending big money to try and stay up this season. I think we need to focus on careful recruitment of players with the mental strength and character to withstand a difficult season, make progress despite it and stick around to kick on next season which will almost certainly be in the Championship. There’s absolutely no logic in taking on more financial risk chasing survival, we need to use the PL money to clear the decks and go into next season with no risk of further financial jeopardy.

I agree but may be difficult to persuade a new Manager to accept that logic.

[ClaphamFox]

2 hours ago, Bryn said:

I’m sorry to sound defeatist but I think it’s pointless spending big money to try and stay up this season. I think we need to focus on careful recruitment of players with the mental strength and character to withstand a difficult season, make progress despite it and stick around to kick on next season which will almost certainly be in the Championship. There’s absolutely no logic in taking on more financial risk chasing survival, we need to use the PL money to clear the decks and go into next season with no risk of further financial jeopardy.

The club does not see it that way and has every intention of staying up. The investment in the playing squad this summer will be made with the intention of achieving survival, not preparing for another season in the Championship in 25/26.

[JimJams]

It's gonna be difficult with that -18 points we start the season on though.

[ClaphamFox]

7 minutes ago, JimJams said:

It's gonna be difficult with that -18 points we start the season on though.

A bloke down the pub told me the other night he reckons it's going to be -25. We may as well start planning for life in the Championship now - ain't no way we're gonna overcome that kind of deficit 

[Channies6thswan]

The window cleaner told my mum it’s going to be -27 points