West Ham have made it clear they are desperate for PSR to be scrapped after claims they could be heading for trouble as a result of the Premier League’s financial rules.
It comes as a major new claim is also made about a London Stadium deal.
A leading West Ham insider claimed the club could be heading for serious PSR trouble in a shocking update last week.
West Ham’s under-fire owners insisted they had to sell players before they could buy in the summer due to being at the limit in terms of wiggle room on PSR.
That has already had serious ramifications on the pitch with the Hammers sat in the bottom two as the Premier League resumes following the October international break.
West Ham walking PSR tightrope
West Ham have a lack of quality in depth across the pitch, especially in key positions such as up front.
Frustration has been festering among the fanbase for some time, resulting in another uprising against the club’s ownership.
There have been calls for David Sullivan and Daniel Kretinsky to sell up and ship out, taking vice-chair Karren Brady with them.
At the very least Hammers fans want to see them step aside from the day-to-day running of the club and bring in specialist professionals instead.
West Ham’s board dropped a £100m bombshell back in June as they warned fans that record losses are on the way in the next set of accounts for December.
Following an unprecedented and lucrative three consecutives seasons in Europe, a first major trophy for 43 years and selling Declan Rice and Mohammed Kudus for £160m, it’s easy to see why supporters are angry about the financial situation.
West Ham are also facing £20m of managerial bills which could put them at risk of a PSR breach.
Hammers fans hope the club will be taken over by ambitious new owners and can one day take control of the London Stadium so it can be transformed or redeveloped.
Now it seems the club are concerned about what is around the corner financially.
Because West Ham are desperate to see PSR scrapped as a major claim is made about a London Stadium deal.
The Premier League’s Profit and Sustainability Rules currently limit clubs to a maximum loss of £105 million over a three-year accounting period.
West Ham desperate to see PSR scrapped
Prem clubs are divided over whether to introduce a new ‘salary cap’ before next month’s vote on financial regulations.
The 20 clubs will meet to decide whether a new ‘top-to-bottom anchoring’ model should be brought in to replace PSR.
TBA would restrict the amount any club can spend on player wages, agents and transfer fees to a maximum of five times the income earned from broadcasting and prize money by the bottom Premier League club.
TBA is currently being shadow trialled by the Premier League, alongside a ‘squad cost ratio’ (SCR) system of financial control that allows clubs to spend up to a percentage of their total revenues on squad-related costs.
The Premier League will meet to vote on whether to adopt either, or both, models and West Ham vice-chair Brady will attend to make it clear she wants PSR to go.
Hammers insider Sean Whetstone counts Sullivan and Brady among his close contacts and a top club source has told him they will be pushing for new rules.
A club source speaking on grounds of anonymity told Whetstone: “We desperately need the new rules!”
Whetstone says several Premier League clubs are insisting they will only vote for SCR to be implemented if it is accompanied by TBA ‘anchoring’ to restrict the biggest clubs from creating a larger gap in spending terms.
Last season, 20th-placed Southampton earned around £110m, meaning no top-flight club would have been able to spend more than a total of £550m on player wages, amortised transfer fees and agents under TBA.
This would not have impacted West Ham and the majority of other clubs, but has the potential to restrict Manchester City, Manchester United, Liverpool, Arsenal and Chelsea.
Whetstone says West Ham privately back the idea of anchoring, but the bigger clubs will be lobbying others hard to reject the vote.
A rule change needs a minimum of 14 of the 20 clubs to vote in favour in order for it to be approved.
Major new claim made about London Stadium deal
One way for West Ham to create new revenue streams would be a naming rights deal at the London Stadium.
West Ham would get a percentage of any deal over a certain amount due to only being anchor tenants at the Stratford ground.
However, that is not looking promising for the Hammers either.
Because it has been revealed that London Stadium’s owners have admitted there is a significant risk of no naming rights deal until at least 2028 and most likely beyond.
Two years ago, it was claimed a naming rights deal was close, but it failed to materialise with Allianz as had also been the case with Vodafone and Indian manufacturer Mahindra previously.
West Ham have the right to approve any sponsorship deal and would need to sign off on any naming rights sponsor, as is their contractual right.
The club have revealed to Whetstone that they are yet to be approached with any serious deal.
West Ham’s agreement as part of their tenancy means anything over the first £4m of naming rights would be split 50-50 with the club.
So a 10-year £40m contract at £4m per year could net West Ham £18m.
But next year marks a decade of West Ham moving into the stadium with no naming rights deal in sight.
It will add fuel to the belief the Hammers need new owners and more control over their home ground to make it work for them.
Whether any of that is possible remains to be seen.
