Newcastle have been fined €6m (£5.2m) by Uefa for breaching its financial sustainability regulations, while Aston Villa and Chelsea have also been given fines for overspending for the second successive year.
Following detailed submissions to Uefa’s club financial control body (CFCB), Newcastle were found to have breached the football earnings rule (FER) and squad cost rules (SCR), with both offences leading to fines of €3m each, plus a suspended fine of €7m.
Newcastle have not qualified for European competition next season after finishing 10th in the Premier League, but they reached the Champions League quarter-finals in the period over which they were assessed last season, and therefore must comply with Uefa regulations. The club have never breached the Premier League’s profitability and sustainability rules, which will be replaced by a version of SCR next season. Uefa’s regulations are stricter.
Uefa’s SCR threshold for spending on players is 70% of revenue, compared with 85% in the Premier League, while the FER does not permit asset sales to raise revenue. Newcastle’s player spending is believed to have been about 75% of revenue last season, while the sale of St James’ Park to the subsidiary company PZ Newco Holdings Ltd was not approved by Uefa for accounting purposes.
“Newcastle United has entered into a settlement agreement with Uefa following a breach of its financial sustainability regulations in the three-year period ending June 2025,” the club said in a statement. “Following an overspend in relation to Uefa’s football earnings threshold, the club has worked closely and constructively with the club financial control body to swiftly resolve the matter.
“Accordingly, the club has accepted the three-year settlement, which includes a €3m financial penalty, with a further €7m suspended pending future compliance. In addition, Uefa has determined that the club will pay a further €3m due to breaching Uefa’s 70% squad cost ratio (SCR) target in calendar year 2025. Newcastle United thanks Uefa for its careful consideration and is committed to full ongoing compliance.”
Newcastle’s fine illustrates the limits of their spending power despite being owned by Saudi Arabia’s Public Investment Fund. The club say the Uefa punishment will not force their hand in the transfer market this summer but they have already sold Anthony Gordon to Barcelona for £75m and are expected to lose Sandro Tonali for about £100m amid strong interest from Manchester City and Tottenham.
Villa have been fined €22.5m for breaching the 70% SCR cap for a second successive year but pay only €7.5m initially, with the remainder suspended unless they incur further breaches in future years.
After being fined €11m, Villa have reduced their overspending to below 80% of the SCR limit, while Chelsea have succeeded in reducing the size of their breach even further and were given a €3m fine, €2m of which is suspended.
“Regarding Aston Villa and Chelsea, which had already been sanctioned in the previous season, the CFCB first chamber took into consideration the improving trend in their squad cost ratio between 2024 and 2025 in line with projections submitted as part of their settlement agreement,” Uefa said. “As a result, part of the fine is conditional upon the clubs continuing to significantly decrease their squad cost ratio in 2026.”
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