At 5% a year that would equate to a cost of interest of £10m a year extra. It’s not going to have a mahoosive affect on Arsenal. It will however hit Everton.
If it’s an issue and the shareholders don’t really want it back they can just convert it to equity and the problem goes away.
The stakeholder interest free loans are unlawful. So what are the options to fix this? 1. Charge the clubs a fee retrospectively who have them (tricky) 2. make those clubs pay a fee from now 3. bring in another rule to not charge those who have them but also offer something of equal measure to those who don’t. How about a funding cap which is the same for every club which takes no account of income? That would be a level playing field.
Think the point is that they are getting an unfair advantage over the likes of Man Utd who have a commercial loan and pay interest on it. You can’t charge them interest if there isn’t any but either make shareholder loans illegal in the interest of sustainability (stakeholders should be allowed to gift money to the club as long as it’s not treated as a loan) or assess an interest rate at current rates at the time and add this to their costs for PSR assessment.
The PL has finally realised that they lost. They are ****ting themselves given that their rules have caused significant financial losses to several clubs. APT rules are history.
It is clear the Premier League lost and is currently trying desperately to find a way to wriggle its way out of this. In the background the red cartel will have come scurrying our their Webb aggressively and they'll be lobbying again to find another way.
I'm not too sure. I think the spotlight legally is now on the PL and while that house burns I don't think the Cartel will risk running into the house again. If I were PIF I'd just announce a number of deals and crack on.
