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Home » Expert highlights one potential financial benefit for Chelsea from EFL Cup loss to Liverpool

Expert highlights one potential financial benefit for Chelsea from EFL Cup loss to Liverpool

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Chelsea show interest in signing Manchester City starlet James McAtee.

Finance expert Kieran Maguire reveals Chelsea are safe from breaching FFP after League Cup defeat to Liverpool

Chelsea have been handed some relief in the Financial Fair Play decision, as the club won’t have to comply with UEFA financial regulations for the upcoming season because of their League Cup defeat to Liverpool.

The defeat to Liverpool may have resulted in another heartbreak, but it also had its pros, as the loss will give Blues owner Todd Bohely another year to sort out their financial issues under his ownership.

Since taking control of the club, the American business hasn’t been shy about flexing its financial muscle in the transfer window, signing many star players with massive price tags. Under him, the West Londoners broke the British transfer record twice when they signed Enzo Fernandez and Moises Caicedo.

However, every spending has its limit, and now the Blues board will have to be cautious with their spending after they were warned of potential FFP breaching, but finance expert Kieran Maguire’s recent remarks tell otherwise after he exclusively told Football Insider:

“Not qualifying for Uefa competitions this season is a double-edged sword for Chelsea. The reason I say that is because historically, the Europa League has not been a significant earner for clubs, but with the new Swiss model being introduced, it looks as if the Europa League will generate slightly more money.’’

“You’ve got a bigger cake of Uefa prize money, and therefore you’ve got a bigger slice. It does mean that the Europa League would be quite lucrative. The positive for Chelsea, though, is that it gives Todd Boehly an additional 12 months to rectify the errors made under his ownership without having to comply with Uefa financial regulations.“

Chelsea should be ready to bank on any financial aid this time because they are aware they are currently walking on thin ice, and given the recent UEFA FFP chance, we have another year to make amends and earn profit when the next summer window arrives.

We have been spending way too much money, and spending  £1b in just three transfer windows seems like a red flag because that’s a lot, and when we look at our squad, it’s still not ready to compete in the highest competition in football. So next summer, we will have to be wise with our spending and build a solid squad that will be prepared to secure their place in the Champions League.

Chelsea broke British transfer record to sign Moises Caicedo.
Chelsea broke the British transfer record to sign Moises Caicedo.

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We have been reckless with our expenses, and most of it has gone towards young players who will need time to adjust to the league. This is shortsighted since the club will need to start spending money on more experienced players if we hope to compete in major European competitions. If all of the money is spent on young players, managing the team will become much more stressful and it will take longer for the team to become successful.

There are several benefits to qualifying for European competition, including bonuses that we receive upon winning a spot in one of these events. However, at this point, it doesn’t appear likely that we will be able to advance to the Europa League unless we win the FA Cup.