Newcastle United given hope of PSR ‘alternative’ as Premier League chief hints decision coming soon

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Newcastle United have already been dealt major blows thanks to PSR, but the rules may just be about to change.

Newcastle United fans were understandably excited after PIF completed their 2021 takeover.

Magpies supporters had seen the rise of Manchester City and believed Saudi Arabian backing would take Newcastle to similar heights.

PIF haven’t been able to invest quite as much as they would have liked, though, as the Premier League Profit and Sustainability Rules have proven to be a problem.

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Premier League chief on PSR after Newcastle United problems

Newcastle have been restricted in the transfer market, much to the frustration of Magpies fans everywhere.

Well, the rules may be about to change as the Premier League consider tweaking PSR after all.

Premier League chief executive Richard Masters has told BBC Sport that talks are ongoing over an ‘alternative system’ to PSR.

BBC Sport suggest that a change to the financial landscape in the Premier League could come as soon as November.

While Premier League clubs voted to continue with PSR earlier in 2025, Masters wants to move the Premier League system to a ‘closer alignment’ with UEFA’s squad cost approach.

Masters noted that he doesn’t want to stifle investment in the Premier League and a decision on a new system is ‘coming up’ soon.

“We are talking to our clubs about an alternative system. That’s not to say we don’t think the PSR system works,” said Masters.

“It’s about closer alignment with European regulation, which is squad cost ratio, which is a revenue test. In UEFA, it’s now set at 70%. Our system will be 85% because we always want our clubs to have the ability to invest.

“The Premier League has been built on the back of investment in which international capital flows [are] coming in. We don’t want that to be stifled off.

“The PSR is a look-back profitability test and has its own strengths and weaknesses. No system will be perfect. We have to keep these things balanced and continue the conversation with our clubs, and that’s an important decision, so we should take the time to get it right. But that decision is coming up,” he added.

This will be of real interest to Newcastle, PIF and Eddie Howe, with the Magpies one of the teams most heavily impacted by the current PSR rules.

The damage has already been done for Newcastle United

Yes, some tweaking to PSR could help Newcastle going forward and allow more financial flexibility.

PIF may be able to invest in new players, but the frustration is that Newcastle have already been hit hard.

Newcastle were forced to sell Elliot Anderson to Nottingham Forest in 2024, while Yankuba Minteh joined Brighton and Hove Albion.

Losing those two players really hurt at the time, and they have both gone on to become stars away from Newcastle.

Newcastle can’t just bring Anderson and Minteh back once PSR is tweaked, and the likelihood is that they will end up making huge moves to top Premier League clubs very soon.

Newcastle will hope to find players of similar quality down the line, but changing the rules now will do little to cushion the blow of losing Anderson and Minteh.