Anchoring would be 'excellent' for Newcastle United - but squad cost rules are 'not good' for the Magpies.

That is the view of football finance expert Kieran Maguire as Premier League clubs continue to trial anchoring and squad cost rules in shadow alongside the original PSR regulations, which limit losses to £105m over a rolling three-year period. Anchoring would allow top-flight clubs to spend five times the amount the bottom club receives in TV and prize money while squad cost rules will limit on-pitch spending to 80% of revenue and net profit/loss on player sales for those sides who are not in Europe and 70% for those clubs competing in Europe as per UEFA's rules.

Although Newcastle have been working to UEFA's separate regulations, anyway, which restrict spending to 70% of revenue from next season, anchoring could potentially level the playing field a little as there would be a universal spending limit in place regardless of a club's commercial turnover. Manchester United part-owner Sir Jim Ratcliffe has called that an 'absurd' prospect, and claimed it would 'inhibit' the Premier League's top clubs when it comes to competing with Europe's elite, but Maguire could see the obvious benefits for Newcastle.

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"Anchoring would be excellent for Newcastle because it sets a level playing field in terms of the maximum an individual club can spend," he told ChronicleLive. "But, at the same time, if they also have to comply with UEFA's rules, that would be the constraint.

"Squad cost controls are not good for Newcastle in terms of competitive balance. The people who are in favour of squad cost rules say they don't want Newcastle being able to buy the best 11 players in the world. I absolutely understand that, but why can't Newcastle have the same budget as Liverpool and Manchester United?

"They're not asking for more - they're asking for equality - but that seems to be one very moot point between the two parties."

The Professional Footballers’ Association (PFA) have threatened legal action if the Premier League attempt to introduce a hard salary cap next season.