Southampton are one of few clubs who will not be too concerned regarding a potential breach of the Premier League Profit and Sustainability Regulations (PSR) which are in place to support Financial Fair Play (FFP).
With Everton and Nottingham Forest both receiving points deductions last season as punishment for their own historic failures in complying with PSR, Premier League clubs now know there are tangible consequences of breaking the rules.
Following their relegation at the end of the 2022/23 season, Southampton made a number of sales and generated around £150 million as a result.
Given the loss of earnings associated with dropping out of the Premier League these departures were vital to ensure a sustainable financial future for the club.
Now, a football finance expert has explained Southampton’s financial situation this summer as they gear up for a return to the top flight.
Southampton should avoid PSR breach this summer
The deadline for PSR is 30th June, with numerous clubs such as Aston Villa, Everton and Leicester City frantically working to ensure they can meet the requirements before that time comes.
PSR works on a rolling three-year cycle, so the end of June deadline will cover the period between 2021 to now.
Southampton FC News have spoken exclusively to TBR’s Football Finance Expert Adam Williams who has explained the club’s financial situation as follows.
“Southampton have room to manoeuvre in terms of PSR.
“Their allowable loss for 2023-24 is £83m, which is tighter than the £105 million Premier League clubs are usually allowed to lose over a rolling three-year period.
“But the Saints’ single season in the Championship, where clubs are allowed to lose £13 million per season, means that their total figure is reduced.
