Tottenham could blast £134m as Daniel Levy masterstroke to be confirmed in next 48 hours

Tottenham could spend up to £134 million this summer as Daniel Levy’s long-held ambition comes true.

Spurs are likely to look considerably different when they return to the pitch in 2024-25.

The North Londoners began the season well in 2023-24, but missed out on Champions League football for the fifth consecutive season.

As a result, Ange Postecoglou is expected to make significant changes to his playing team in preparation for next season.

Spurs will also soon operate in a changed financial climate as a result of governance modifications.

PSR changes mean Spurs can spend big this summer

The Premier League’s AGM will be held on Thursday, June 6th, less than 48 hours away. Levy will be in attendance.

The discussions, which will take place in person in Harrogate, will primarily focus on a proposed new set of Profit and Sustainability Rules (previously known as Financial Fair Play or FFP).

If clubs opt to implement the new rules, as expected, Spurs will be required to comply with a new financial anchoring and squad cost control ratio beginning in 2024-25.

Spurs’ spending is far from the highest limit set by the anchoring mechanism, thus the specifics are mostly unimportant.

TBR analysis, meanwhile, suggests that Spurs have £134 million in headroom under the new squad cost control criteria.

This structure requires clubs to spend 85 percent of their revenue on wages, trades, and agent fees, which drops to 70 percent for clubs like Spurs that compete in European play.

That’s an additional £134 million for Postecoglou’s playing budget. The sum is obtained by taking their turnover (a club-record £550 million in their most recent set of accounts) and determining their 70% upper limit.

That’s a £385 million upper limit, minus their £251 million yearly pay bill (again, a club record), for a total of £134 million headroom.

And that amount could be substantially higher in reality, as the new squad cost ratio is expected to be brought in at the same time that UEFA is introducing their own equivalent scheme.

The ultimate sum will also likely differ significantly because Spurs’ payroll bill will have fluctuated ahead of the upcoming PSR evaluation period.

However, with the departure of a number of high-income individuals this summer, the ultimate figure is likely to rise rather than fall.

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