GoonerNews

Arsenal News
Arsenal News & Transfers
As featured on NewsNow: Arsenal newsArsenal News 24/7

Arsenal News, Only Arsenal, Blogs, Transfer News

Archives

August 2018
M T W T F S S
« Jul    
 12345
6789101112
13141516171819
20212223242526
2728293031  

Why will Arsenal suffer a freeze on increasing its wage bill, as the media suggests?

Instead the Telegraph continues by saying, “The situation will improve next summer when a new shirt sponsorship and kit deal cycle begins.  The new main Emirates shirt deal, alongside a first separate sleeve sponsor, will alone bring in around £20 million more annually.

“Adidas are expected to manufacture the kit from 2019 instead of Puma, with Arsenal also hoping for an increase on that deal approaching £20 million a year.”

Again the implication is we are living from hand to mouth – waiting for the next increased deals to come in before we can buy.   That indeed is worrying after the club has brought in a new manager, given him a reported budget of £50m for transfers, and then increased it to £70m – which he then dutifully stopped at, despite the media suggesting we were going to buy a variety of players in the last few days of the window, all of who had fees of £40m or more.

The problem here is that there is an absolute lack of detail or explanation, and it has all suddenly arrived now, at this moment.

We know that Arsenal made a pre-tax profit of £44.6million up to May 31, 2017.  Figures for the year to 2018 have not yet been released.  And although turnover is not money that can be spent in the way profits can, that too was up to £422.8m last year.

It was also said at the time of the release of those figures that the club had considerable cash reserves and was fully prepared financially for a period in the Europa League.   Indeed although the Europa is certainly not the Champions League in terms of income, getting as far as Arsenal did this last season, will have eased the difference a little.

Of course we don’t know if the Telegraph report is journalistic fantasy of the “quick write out a piece knocking Arsenal can you, we haven’t done one for 18 hours,” variety, or whether the club is having to live totally within its means, even at a time of restructuring under a new manager.

If the latter then we are living at a huge disadvantage compared to the rest of  the clubs that finished in the top six last time around.

Arsenal spent (net) £63.8m this transfer window, compared with Chelsea (£83.5m), Liverpool (£158.3m), Manchester city (£29.6m), Manchester United (£43.5m) and Tottenham nothing.

In January the figures were as below with the total for both windows then following that in brackets

  • Arsenal £7.9m (£71.7m)
  • Chelsea £50m (£133.5m)
  • Liverpool £31m profit (£127.3m)
  • Manchester City £61.2m (£90.8m)
  • Manchester Utd  nothing (£43.5m)
  • Tottenham £25m (£25m)

So we are spending considerably less than the amount of all our rivals except Man U and Tottenham are spending, and we have a distance to make up.

Of course we were able to do this in the past because Mr Wenger was constantly able to pluck brilliant youngsters out of  the air, and turn them into first team regulars.  It looks like Mr Emery is going to have to continue to do that, rather than rely on further input of transfers cash if the Telegraph story is to be believed.

That could be possible, given that do seem to have a rich stream of young players emerging at the moment – but Arsenal will need to keep this pipeline running if this story from the Telegraph turns out to be true.

 

 

 

4 comments to Why will Arsenal suffer a freeze on increasing its wage bill, as the media suggests?

  • Samuel Akinsola Adebosin

    I think Arsenal have got to put up with the paying of the high wages they are currently paying to their top quality players who currently at the Arsenal FC if the club is to retain challenging for the PL Title win and other Titles win too this season and thereafter.

    If Arsenal FC is to remain the giants North London club side that they are currently are, and alsi remain of one the 11 super clubs in Europe, then of course the club has to have a considerable number of top quality players in the rank and file of the first team squad of the club always to enable it competing to win honours for us the Gooners always.

    Arsenal cannot be allowed by the Gooners to fall from grace to grass to become a medium table or lower table club side in the PL that cab no longer be competing to win any of the 3 and the 2 domestic and external Titles that are available for wins just because Stan Kroenke has gone stingy withholding sufficient cash supply to pay top wages to the quality players who are currently at Arsenal after buying up Usmanov’s shares at Arsenal for £550m and would rather use the profits a crude to him at Arsenal to service the repayments of the bank loan he took from the German Deutsche bank to pay Usmanov for acquiring his shares at Arsenal. Who asked Stan Kroenke to buy up Usmanov’s shares at Arsenal if he has no money of his own to buy them up? Has he bought them not minding the fallout of the possibility of Arsenal becoming a mid or lower table club side in the PL that can’t compete to win honours anymore because the club can no longer afford to pay top wages to the club’s top quality players and as a consequence, these top quality players at Arsenal could exodus to other top clubs to earn the wages that Arsenal can no longer pay them? Has Kroenke seen these all but doesn’t care as longer as he’s making profits at Arsenal to service the the repayments of the bank loan he took. But one thing Kroenke should understand is if Arsenal becomes a mid or lower table club, God forbids. Ticket sales could eventually dwindled as Arsenal fans game goers may boycott going to Arsenal games emase home and at away protesting against Kroenke’s withholding sufficient funds for top quality player signings and paying them top wages to make them stay at Arsenal. Would the sponsorship of the club by marketers be also negatively affected. I am not a Prophet of doom for Stan Kroenke. I am just advising him to alwayway do the needful for Arsenal to enable the club win Titles and not compromise it. If he does this, he’ll be my friend despite I don’t know him personally and he doesn’t know me either. But if he doesn’t he won’t be my enemy but I will not like him. Because I want to see Arsenal win Titles.

    Even if the Arsenal Academy players that made it to the first team squad are used to replace some of the top quality players at Arsenal who are allowed to go to save high wage-bill cost payments to them, but eventually, if any of the Academy players promoted to the first team improved on his performance considerably at the club, the clubs elsewhere could start eying them to plug them away from Arsenal if the club cannot match their improved winning performance for Arsenal with improved wages.

  • Samuel Akinsola Adebosin

    Admimi, sorry for my editing my comment above and reposting.

    I think Arsenal have got to put up with the paying of the high wages they are currently paying to the top quality players who are currently at the Arsenal FC if the club is to retain challenging for the PL Title win and other Titles win too this season and thereafter.

    If Arsenal FC is to remain the giants North London club side that they are currently are in the PL, and alsi remain one of the 11 super clubs in Europe, then of course the club has to have a considerable number of top quality players in the rank and file of the first team squad of the club always to enable it competing to win honours for us the Gooners.

    Arsenal cannot be allowed by the Gooners to fall from grace to grass to become a med table or lower table club side in the PL that can no longer be competing to win any of the 3 and the 2 domestic and external Titles that are available for wins just because Stan Kroenke has gone stingy withholding sufficient cash supply from Arsenal to pay top wages to the quality players who are currently at the club after his buying up Usmanov’s shares at Arsenal for a reported £550m and would rather use the profits a crude to him at Arsenal to service the repayments of the bank loan he took from the German Deutsche bank to pay Usmanov for acquiring his shares at Arsenal. Who has asked Stan Kroenke to buy up Usmanov’s shares at Arsenal if he has no money of his own to buy them up? Has he bought them not minding the fallout of the possibility of Arsenal becoming a mid or lower table club side in the PL that can’t compete to win honours anymore because the club can no longer afford to pay top wages to the club’s top quality players and as a consequence, these top quality players at Arsenal could exodus to other top clubs to earn the wages that Arsenal can no longer be paying them? Has Kroenke seen these all but doesn’t care as long as he’s making his profits at Arsenal to service the the repayments of the bank loan he took? But one thing Kroenke should understand is if Arsenal FC becomes a mid or lower table club, God forbids. The club’s Ticket sales could eventually dwindled as Arsenal fans game goers may boycott going to Arsenal games emase home and at away protesting against Kroenke’s withholding sufficient funds from the club for top quality player signings and paying them top wages to make them stay at Arsenal. Would the pullout of sponsorsing the club by the marketers impact on the club’s finances negatively? I am not a Prophet of doom for Stan Kroenke. I am just advising him to always do the financial needful for Arsenal to enable the club win Titles and not compromise it. If he does this, he’ll be my friend despite I don’t know him personally and he doesn’t know me either. But if he doesn’t do this, he won’t be my enemy but I will not like him. Because I want to see Arsenal win Titles.

    Even if the Arsenal Academy players that made it to the first team squad are used to replace some of the top quality players at Arsenal who are allowed to go to save high wage-bill cost payments to them, but eventually, if any of the Academy players promoted to the first team improved on his performance considerably at the club, the clubs elsewhere could start eying them to plug them away from Arsenal if the club cannot match their improved winning performance for Arsenal with improved wages.

  • Samuel Akinsola Adebosin

    Let me be allowed to say should any top quality Gunner or Gunners at Arsenal is or are not matching the high wages he’s or they’re earning at Arsenal with regular games winning performances for the club apparently. More especially in the PL games and in the ELC games for the club to impact positively in playing for Arsenal to win games regularly leading to the club winning both the Titles of the PL and of the ELC this season. But if not so, this will make his or their high wage earning at club looks Burdensome on the finances of the club. My opinion in such a situation is Arsenal should offload such a so called top quality player or players at Arsenal next summer or in January who is or are existing on the past glory of been a top quality player at a club before Arsenal signed him or them but are now existing on paper as a top quality at the club not influencing a win in the big games for Arsenal but just passing through the motion for the club such as the last big game that Arsenal played at home against Mann City but lost it to in reality and on the field of play makes the so called top quality players at Arsenal an average top quality players for Arsenal after all and not a top top quality player or players for the club as originally thought he is or they are.

  • Mandy Dodd

    I hope we aren’t sticking to rules few others are sticking to.
    But have read the club have put a lot into infra structure and training facilities must have cost a fair bit

Leave a Reply

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>