Newcastle benefits from the FFP rise as £52 million and £75 million deals are made at Premier League headquarters.

Newcastle United will profit from two significant new business agreements.

Since the Saudi Public Investment Fund acquired the Magpies over three years ago,

increasing commercial income has been one of their top aims.

According to the Premier League’s Profit and Sustainability Rules,

every pound they make from sponsorship and product sales is another pound they can use for hiring.

However, their revenue in this division is not totally independent.

Newcastle’s primary source of income is the Premier League itself,

since clubs get revenue from league-wide commercial deals and television revenue.

Newcastle will be happy to hear that the Premier League has struck two huge new deals with well-known companies.

The Premier League signs two new lucrative sponsorship agreements.

The Premier League said yesterday that Guinness, its official beer partner,

has signed a global sponsorship agreement with the league.

It was widely reported the day before that the Premier League and British bank Barclays had extended their long-standing agreement.

The two agreements, which are valued at £52 million and £75 million,

respectively, would directly assist Newcastle.

It is impossible to predict exactly how much Newcastle will bank because commercial revenue in the Premier League is distributed partially on an even basis and partly in accordance with performance.

However, they might earn an eight-figure sum from the accords and the Premier League’s other current partnerships if they have a successful season on the field.

Will Newcastle lose points if they violate PSR?

Newcastle is one of the few teams that is on the verge of violating the terms of financial fair play,

which are now known as profit and sustainability, or PSR.

They are on track to surpass the Premier League’s permitted loss cap of £105 million over three seasons,

having suffered significant losses in recent years even after accounting for this season’s Champions League revenue.

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