‘£190m’ problem: Sunderland’s Championship rivals Leeds United banned from signing new players

‘£190m’ problem: Sunderland’s Championship rivals Leeds United banned from signing new players

Reading about Leeds United’s financial predicament after losing in the play-offs is fascinating.

Before they can purchase players, Sunderland’s Championship opponents will need to pay their outstanding historical transfer fees.

Football finance specialist Kieran Maguire, who exposed a financial gap for the Whites after Sunday’s thrilling play-off match, says this.

After losing to Southampton 1-0 in the Wembley play-off final on Sunday, Leeds United will stay in the Championship. Adam Armstrong gave the Saints the lead in the twenty-fourth minute after Will Smallbone found him. It ended up being the game’s sole objective.

Speaking last April, Maguire said of Leeds United’s financial situation: “Leeds owe other clubs a Jesus, Mary, Joseph and the wee donkey £190m in transfer fee instalments on player purchases but only due to receive £2m on player sales.”

“Outstanding transfer fee creditors of £190m mean that Leeds will have to pay for old player acquisitions before they can spend this summer,” Magure continued after the play-off final.

But Maguire has also said that he doesn’t think Leeds United will be in trouble since 49ers Enterprises, the team’s owners, will probably provide the team a financial boost. Additionally, according to Maguire, the problem is with cash flow and has no bearing on FFP or PSR.

Leeds United submitted their accounts in April for the 2022-23 season with the Whites’ total revenue clocking in at £190million. Leeds’ wage bill for their playing staff, though, was a whopping £146million. The Championship club also spent £9.5million on manager pay-offs during that period. Leeds also posted an operating loss of £106million. The club recouped £86million in player sales during 22-23.

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