Premier League clubs to vote on banning loans between sister clubs

Julian Miller
By:
Julian Miller
10/11/2023
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The Premier League will vote on banning these transfers for the January window

Premier League clubs are set to vote on a temporary loan transfer ban between related clubs for the January transfer window. 

News Insights

  • The Premier League will hold a vote on whether to temporarily ban loans between related parties on November 21.
  • 14/20 Premier League clubs must vote yes for it to be approved.
  • The Premier League’s reason for this vote may be potential transfers from Saudi Arabian clubs to Newcastle.
  • Arsenal, Aston Villa, Bournemouth, Brighton, Chelsea, Crystal Palace, Everton, Man City, Nottingham Forest, Sheffield United and West Ham’s owners also own stakes in other clubs.

The Premier League is set to hold a vote on whether to temporarily ban loan transfers between clubs with related owners in the January transfer window. This proposal comes in the wake of Saudi Arabia’s spending spree in the summer and growing rumours that Saudi clubs may loan some of their superstars to Newcastle.  
 
Clubs like Manchester City, Brighton, Chelsea, and Aston Villa, who are also part of multi-club models, would also be affected by any ban.  

Premier League taking on the multi-club model

Multi-club ownership models have become increasingly common in recent years, especially in English football. Depending on who you ask, these ownership models are smart business decisions or one of the many failings of “modern football.” UEFA has been more inclined to agree with the latter camp. It now seems the Premier League agrees with them.  
 
The downsides of one owner owning two football clubs are numerous. In UEFA’s case, organisers were worried about potential conflicts of interest should two teams with related owners play. For the Premier League, the issues are more related to financial fair play and clubs using their affiliate teams to get an unfair advantage over the rest of the competition.  

Newcastle the main target

The Premier League’s proposed vote on loan transfers did not simply arise out of nothing. In addition to having general concerns about multi-club ownership models, many people think the Premier League’s reason for this vote may be potential transfers from Saudi Arabian clubs to Newcastle.  
 
Rumours of Portuguese international Ruben Neves joining Newcastle on loan in January dominated headlines before it was reported that the Premier League would be voting on this new loan ban. Neves currently plays for Al Hilal in Saudi Arabia. Both Al Hilal and Newcastle United are majority-owned by Saudi Arabia’s Public Investment Fund.  
 
Because so many Saudi clubs paid over the odds for players over the summer and are paying them exorbitant salaries, subsidised loans from Saudi clubs to Newcastle present the biggest risk of one club having an unfair competitive advantage. However, half a dozen other Premier League clubs would also be affected by this loan transfer ban.   
 
Arsenal, Aston Villa, Bournemouth, Brighton, Chelsea, Crystal Palace, Everton, Man City, Nottingham Forest, Sheffield United and West Ham’s owners also own stakes in other clubs.

Vote to be held 21 November

The Premier League will hold a vote on whether to temporarily ban loans between related parties on November 21. A simple majority vote will not be enough to approve this ban. 14/20 Premier League clubs must vote yes for it to be approved.  
 
If every club whose owners also own stake in other clubs votes against this proposal, it would not be approved. 

Should this proposal be approved, Newcastle’s chances of repeating their top four finish from last season would increase significantly. Right now, the betting sites have them as outsiders, but that could change if players like Neves, Allan Saint-Maximin, and other stars are allowed to join on loan.