Why Middle Eastern Investment Has Not Transformed The Magpies into Title Contenders

The Newcastle manager isn't typically prone to dramatics or grand media pronouncements. So by his usual demeanor, his press conference after Sunday’s loss to West Ham counts as a angry outburst. Newcastle scored first but West Ham took the lead by the interval, while also striking the woodwork and having a penalty revoked by VAR, prompting Howe to execute a three substitutions at the half-time.

“The opening period was particularly irritating,” Howe stated. “I almost could have taken anyone off and I think this indicated of where we were at that stage during the match and it’s very, very rare for me to have that impression. In fact, I cannot recall having done so since I’ve been manager of the club, so I felt the team required a significant change at half-time. That’s why I did those decisions.”

Anthony Gordon, Nick Woltemade and Emil Krafth were substituted at the interval and the team managed to steady somewhat in the latter period, without ever really looking like they could get back into the contest against a side that had won only one of their last nine fixtures. Considering the congestion the centre of the standings currently is, with just three points separating the top spots from mid-table, and nine points between second and 17th, a run of twelve points from ten matches has not left the Magpies adrift but, similarly, they must not finish the season in thirteenth place.

The Problem of Expectations

The challenge to an extent is one of perception. In the Saudi Public Investment Fund, the club possess the wealthiest owners in the globe. The expectation at the time the Saudi fund bought 80% of the team in recent years was that it would have a transformative effect, as the former Chelsea owner achieved at Stamford Bridge or the City Group had at Manchester City. The distinction is that both of those investors assumed control before the advent of financial fair play rules (and the ongoing allegations against City concern whether they breached those regulations once they were in place).

Profit and sustainability restrictions restrict the capacity of owners, no matter how wealthy, to spend money on their teams and so in that sense probably might have hindered any Saudi attempt to raise the team to the standard of Manchester City. However there is no need for Newcastle’s expenditure to have been so restrained as it has; they might have invested further and stayed inside the limit – or simply taken a fairly minor European penalty given their major problem is primarily with the continental than the Premier League regulation.

Stadium Investment and Financial Rules

Besides which, stadium development is exempted from Profit and Sustainability assessments; the simplest way to increase revenue to generate more financial headroom would be to expand or renovate the arena. Considering the location of St James’ Park, with protected structures on multiple sides, practically that likely means building an completely new venue. There was talk in spring of potentially making the short move to Leazes Park – opposition from local groups could surely have been overcome with a promise to create a new park on the current stadium site – but there has been no movement on that plan. There has been significant cutbacks from the Saudi fund on a variety of projects as it refocuses on local investments; the approach to Newcastle appears entirely in keeping with that change of approach.

The Alexander Isak Situation

The Alexander Isak saga was arose from that tension. A more confident management could have framed his transfer as necessary to release funds for further investment; rather there was a vain attempt to keep him. That meant the team started the campaign amid a feeling of frustration despite the acquisitions of several new players. The start was indifferent: one win in their first six fixtures.

Yet it appeared a corner had been turned. They had won five in six prior to Sunday, a streak that featured demolitions of Union Saint-Gilloise and a Portuguese club in the European competition. This explains the display against the Hammers was so surprising. The problem perhaps is that the team's approach is very aggressive, high-energy; a minor decrease in intensity can have profound effects. Maybe the strain of Premier League, Champions League and Carabao Cup matches, five fixtures in 15 days, had got to them. The German forward featured in each of those matches and looked especially fatigued.

Reality of Contemporary Soccer

This is the nature of modern football. Managers must be ready to make changes. Howe has been unlucky that Wissa’s injury has meant he is lacking forward choices but, regardless of how reasonable the reasons, the weekend's showing was unacceptable –especially after scoring first at a ground ready to turn on its home team.

The Newcastle boss will hope it was merely a temporary setback, an off-day when all players is below par at once, but if the Magpies are to secure the European competition next season, let alone eventually launch an actual title challenge, they cannot be as unreliable as they have been.

Steven Nguyen
Steven Nguyen

Agile coach and software developer with over a decade of experience in transforming teams and driving digital excellence.