P&S is NOT to blame

[owlinexile]

The only problem with P&S rules is that there are insufficient sanctions for unscrupulous/incompetent owners when they break them.

 

P&S is intended to prevent football clubs from getting into unsustainable debt by spending money they don't have on transfer fees and player wages.  Stopping people like Chansiri from spaffing even more money up the wall is literally what the rules are for.

 

Why?  Because that's how football clubs get into financial trouble.  That player you paid £15million for?  He might be worth nothing next year and his wages might be a massive millstone around the club's neck for the next four seasons.  Football players have no intrinsic value as an asset.

 

People moan about the rules stopping Chansiri from 'investing'.  They don't.  They specifically don't include funds used to actually INVEST in improving the club's infrastructure, training facilities, academy etc.  Investments that will make the club more sustainable in the long run.  That's what the 'S' is for.

 

P&S rules are a GOOD thing for football.  The only problem is that no sooner are they put in place than unscrupulous owners immediately start trying to come up with ways to get around them instead of actually working within the rules, gambling that they would be able to outrun any penalties right into the Premiership, just like Wolves got away with.

 

Chansiri initially totally ignored the rules and then, when that stopped working, made a cack-handed attempt to get around them with the botched stadium sale.  

 

He spaffed money the club didn't have on transfer fees and salaries, the very thing the rules say you can't do.  Lo and behold, the club finds itself in massive financial difficulty with a pile of debt and no player assets worth anything to speak of, relegated by a points deduction for breaking the very rules meant to prevent clubs from finding themselves in massive financial difficulty with a pile of debt and no player assets worth anything to speak of.

 

Meanwhile those actual assets that owners ARE allowed to spend money on, the things that make football clubs sustainable in the long run, continue to decay and rust and crumble away year on year.

 

If everyone followed the rules, the rules would be fine.  It's probably too much to expect that the fate of SWFC will be a lesson to other owners.  So the thing that needs to change is that the sanctions for breaking the rules needs to be much, much higher.  They need to be so high that there is no potential material advantage in attempting to break them.

 

The issue of parachute payments is totally separate.  They act as an incentive for clubs to break the P&S rules, but that isn't a problem with the rules themselves.

[Since 1971]

100% agree. P&S is not to blame for our relegation.

 

Chansiri is.

[S36 OWL]

We breached the spending limits then sold the stadium to ourselves and tried to backdate the sale in order to avoid sanctions for overspending. 

 

Chansiri has no one to blame but himself. 

[sheffsteel]

The reason why Chairmen are continuously trying to cheat their way around P & S is based on the Sky TV prize money.

 

Isn’t it something like

Premier League clubs £110 million per season

Championship clubs £7 million per season

League 1 clubs £1 million per season

League 2 clubs £500K per season.

 

The rewards in the PL are so vast...you can’t blame any business man becoming desperate looking at every loop hole.

 

However I agree it’s a set of rules designed to protect fans from unscrupulous Chairman who are prepared to gamble the clubs finances and future security on the roulette table. Only 3 clubs can ever be promoted...so without P&S player salaries would increase, loads of clubs would go into admin with some going bust.

Edited May 9, 2021 by sheffsteel

[Owling with laughter]

18 minutes ago, owlinexile said:

The only problem with P&S rules is that there are insufficient sanctions for unscrupulous/incompetent owners when they break them.

 

P&S is intended to prevent football clubs from getting into unsustainable debt by spending money they don't have on transfer fees and player wages.  Stopping people like Chansiri from spaffing even more money up the wall is literally what the rules are for.

 

Why?  Because that's how football clubs get into financial trouble.  That player you paid £15million for?  He might be worth nothing next year and his wages might be a massive millstone around the club's neck for the next four seasons.  Football players have no intrinsic value as an asset.

 

People moan about the rules stopping Chansiri from 'investing'.  They don't.  They specifically don't include funds used to actually INVEST in improving the club's infrastructure, training facilities, academy etc.  Investments that will make the club more sustainable in the long run.  That's what the 'S' is for.

 

P&S rules are a GOOD thing for football.  The only problem is that no sooner are they put in place than unscrupulous owners immediately start trying to come up with ways to get around them instead of actually working within the rules, gambling that they would be able to outrun any penalties right into the Premiership, just like Wolves got away with.

 

Chansiri initially totally ignored the rules and then, when that stopped working, made a cack-handed attempt to get around them with the botched stadium sale.  

 

He spaffed money the club didn't have on transfer fees and salaries, the very thing the rules say you can't do.  Lo and behold, the club finds itself in massive financial difficulty with a pile of debt and no player assets worth anything to speak of, relegated by a points deduction for breaking the very rules meant to prevent clubs from finding themselves in massive financial difficulty with a pile of debt and no player assets worth anything to speak of.

 

Meanwhile those actual assets that owners ARE allowed to spend money on, the things that make football clubs sustainable in the long run, continue to decay and rust and crumble away year on year.

 

If everyone followed the rules, the rules would be fine.  It's probably too much to expect that the fate of SWFC will be a lesson to other owners.  So the thing that needs to change is that the sanctions for breaking the rules needs to be much, much higher.  They need to be so high that there is no potential material advantage in attempting to break them.

 

The issue of parachute payments is totally separate.  They act as an incentive for clubs to break the P&S rules, but that isn't a problem with the rules themselves.

Nail. On. Head.