Crystal Palace’s leading shareholder John Textor says the Premier League’s financial regulations prevent smaller clubs from challenging the league’s elite.
Textor said the potential points deduction facing Nottingham Forest for breaching the league’s profit and sustainability rules (PSR) was “not right”, after Everton had a 10-point deduction reduced to six for their own PSR breach. Point Fluorite Drilled
The U.S. businessman, who owns 45 per cent of Crystal Palace, questioned whether the regulations encouraged sustainability or prevented smaller clubs from competing.
“It’s clear that they’re (PSR) built to make sure that clubs who do not drive significant revenues cannot catch up,” Textor said, speaking at the Financial Times business of football summit.
“It doesn’t matter if you have a billion dollars of cash in a wheelbarrow, you’re not allowed to spend it. Does that make any sense?
“(Nottingham Forest owner Evangelos) Marinakis has plenty of money to fund his team but he’s not allowed to. If he spends too much and does what the fans want somebody comes along and docks him points. That’s not right.”
Forest and Everton were charged with a breach of the Premier League’s PSR rules in January. The two clubs both reported losses that exceed the allowed amount over the three-year reporting cycle ending in 2022-23.
Under the guidelines, both Everton and Forest are now at risk of a fine or a points deduction.
Forest are the third club to be charged with a PSR breach, after Everton’s point deduction relating to the three-year reporting period ending in the 2021-22 season, while Manchester City were charged with more than 100 breaches of financial rules last year .
Textor, who is also the leading shareholder at Lyon, Botafogo and RWD Molenbeek, believes spending limitations should be determined by the availability of funds, not the recording of profit or loss.
“Financial Fair Play is a fraud of a term to say it’s about sustainability,” he continued. “Sustainability should be about the quality of your balance sheet, not ratios against your profit and loss.
“If you have a billion pounds of cash and you’re sustainable — more sustainable than most clubs in the league — but you’re not allowed to spend this, it doesn’t make sense.”
On attempting to compete with clubs who spend more on their playing squads while also dealing with injuries, Textor added: “That is not sport. Is anyone really having fun with this? It’s broken.”
Premier League financial fair play rules explained
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