'My Model Says...' - Stefan Borson drops Chelsea points deduction update today
Today at 04:52 AM
Chelsea need to have made more than £150million worth of profit from intra-group sales to avoid a spending breach for 2023-24.
That is the view of finance expert Stefan Borson, who exclusively told Football Insider those sales would have to be from non-football-related assets.
Chelsea's latest published accounts revealed they sold two Stamford Bridge hotels to BlueCo 22 Limited – their immediate parent company – in 2023 for a total of £76.5million.
That meant their losses fell from potentially as high as £166.4million to £89.9million for the 2022-23 financial year alone.
The London giants are expected to have been close to the spending limit again last season, with the profit and sustainability rules (PSR) stating top-flight clubs can lose a maximum of £105million over a rolling three-year period.
In a further attempt to offset their major losses, Chelsea sold their women's team to BlueCo in June last year in a deal believed to be worth in excess of £150million.
The Premier League will hand out charges to any clubs who have committed a spending breach next week after they submitted their accounts in December.
Chelsea financial situation to become clearer soon
Borson revealed we will learn a lot more about Chelsea's financial situation over the coming weeks.
He told Football Insider: "They need to have made something like £150million of profit from intra-group sales.
"There is a lot of unknowns in terms of the precise numbers, like what was last year's wage bill?
"We are going to find out a lot in the next couple of weeks because not only next week we find out about PSR but also for teams that haven't breached, we are going to get the Deloitte report. That usually comes out in the next two weeks of the year.
"In that report, you will see the turnover and the wages, and that's the first time that we will see that information for teams that haven't published their accounts. We will be able to start to piece together what's happened.
"My model and Swiss Ramble's model are not overly dissimilar. Both of them would say they need over £150million of profit from non-football assets being traded, so that can be the women's team, more property or something completely different.
“It could be something that we haven't seen."
In other news, Nicolas Jackson issues three-word statement to Chelsea fans.
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The post 'My Model Says...' - Stefan Borson drops Chelsea points deduction update today appeared first on Football Insider.
