Chelsea Accused of Ignoring Financial Rules, Former Advisor Claims
Former financial advisor to Manchester City, Stefan Borson, has raised allegations against Chelsea for deliberately disregarding the Premier League’s financial guidelines, as the London club continues its lavish spending spree.
The recent acquisition of Moises Caicedo for £115 million on Monday pushed Chelsea’s expenditure on new talent beyond £800 million across the three transfer windows since a consortium led by Todd Boehly took over the club in 2022. Notably, this spending surpasses every club in LaLiga and is only narrowly overshadowed by the top 18 clubs in Germany’s league.
This unprecedented spending has sparked concerns regarding how Chelsea is managing to spend so extravagantly while adhering to the league’s rules, which cap losses at £105 million over a rolling period of three seasons. Stefan Borson, an experienced banker and current lawyer well-versed in Financial Fair Play, argues that Chelsea is knowingly flouting these regulations after Boehly’s consortium overpaid for the club last May at £4.3 billion.
Borson believes that Boehly is intentionally pushing the boundaries to achieve rapid success for Chelsea. He states that the club historically operated at a loss for years and compensated for it by selling players. However, under Boehly’s leadership, there seems to be a calculated strategy to accelerate Chelsea’s triumphs, even at the cost of ignoring financial rules.
‘This hasn’t been discussed formally,’ one league source said. ‘This hasn’t been discussed formally, but is something we will look at. Alignment with UEFA rules would make sense for all parties.
‘The only club currently handing out eight-year contracts on a regular basis is likely to be involved in UEFA competitions soon, as are any others that follow suit.’
In addition, Chelsea’s tactics include extending contract terms for new arrivals to maximize the benefits of player sales. For instance, Caicedo agreed to an eight-year contract with the option for an additional 12 months. However, rumors suggest that this tactic may not be viable for much longer, as the Premier League is considering closing the loophole.
As Chelsea remains in the spotlight for its financial approach, questions about the sustainability of this strategy and its long-term impact on the club’s financial health continue to emerge.
