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So they didn't discuss the Trossard second yellow against City on the Howard Webb show lol! What a surprise. Because they know they're missing about 15 other ball kicking away incidents every weekend
Martin Samuel's article in The Times was published about 20 minutes after the 175 page report was published. In those 20ish minutes he read and analysed all of those pages and wrote a lengthy article about it.
#Superjourno
Putting PR and spin aside…
For Man City:
Some small wins that were righteous. Recent changes to the rules (around who should have burden of proof to establish FMV and whether clubs can see the underlying assumptions in the analysis for any FMV benchmarking) - those are overturned. As they should be.
A weird ‘win’ that the rules as they stand are ‘unlawful’ because they don’t also factor in shareholder loans as APTs. Weird because Man City in fact voted for the rules to be this way themselves. 19/20 clubs did. More on this below.
A win that the PL has procedural issues, which along with the small wins, means values of 2 recent Man City’s sponsorship deals were wrongfully denied. PL may be sued for damages by City. Unclear if City will win or how much they will get. Could be 10s of mil. Could be little given the Tribunal considered the FMV to not be unreasonable.
A huge loss in that their main arguments - that APTs need not be at FMV and that they have been discriminated against - were trashed. Man City needed this for their case on the 115/130 charges. Undermine the root of the rules and there is an argument against severe sanctions on those charges. That argument has now vanished and Man City are in big trouble.
For the PL:
Embarrassment. The new rules were always going to be overturned. They were clearly unfair and case law was against them. Silly to have implemented them and it’s good they got a spanking on this. Should never have been put forward for a vote despite Newcastle’s takeover.
The issue with shareholder loans will have caught them by surprise. Their rules here are broadly in line with Uefa’s. It’ll be fine for the PL though - it will require a minor re-write of the rules and the clubs to vote it in… with potentially a ramp up (see below).
Big win is the Tribunal dismissing City’s arguments of discrimination and Tribunal confirming that FMV is crucial as a concept in PSR. That’s what they cared about most and they got it.
For the clubs who are state backed:
A big loss that APTs must still be at FMV. Womp womp for City and Newcastle basically.
An interesting part of the decision touches on the concept that fair value of a transaction may be higher for an APT than non-APT due to synergies. Seems tenuous to me and not particularly actionable. One to watch though.
For clubs who have shareholder loans with rates below market value:
Clubs like Arsenal, Everton, Brighton (and many others) - either they will need to convert the debt to equity (making PSR easier to clear) or their financing costs will eventually need to be re-valued for PSR calcs. This is why some clubs might insist on delayed implementation of rule changes.
Tbh, broadly knowing Arsenal’s PSR calcs and KSE’s financing structures, this is a nothing issue for Arsenal. Should be fine for Brighton too. May be an issue for Everton - TBC.