Sports
PSR is not perfect, but the Premier League’s shock therapy has had an effect
An air of desperation hung over a handful of Premier League clubs last summer. Accounting years were drawing to a close across the top division of English football and the pressure was on to book profits before it was too late. Player sales were a must if a profitability and sustainability rules (PSR) breach was to be avoided before June 30.
Newcastle United’s business back then was a microcosm of the chaos. They reluctantly agreed to sell Yankuba Minteh, their then teenage winger, to Brighton & Hove Albion for £30million before sanctioning the exit of Elliot Anderson, the homegrown forward, to Nottingham Forest for £35m.
“We had no other option,” their head coach Eddie Howe told reporters in October about those two departures. “We couldn’t breach PSR, couldn’t face a points deduction, and the only two deals we had on the table at that time were the two deals we did.”
Newcastle, who had spent £320million in the first two and a half years under their Saudi Arabian owners, did not want to sell either Minteh or Anderson. Nor, you suspect, did they want to pay Forest £20m for Odysseas Vlachodimos, a third-choice goalkeeper yet to feature for them in the Premier League under Howe. Anderson’s sale, though, was reliant on Forest, who had breached PSR last season and were close to the line again, getting something in return, so Newcastle had nowhere to turn.
Newcastle did not want to lose Minteh to Brighton (Mike Hewitt/Getty Images)
Others were at it, too, with Aston Villa, Everton, Chelsea and Leicester City all concocting their own mutually beneficial deals to chase compliance. Close to £200million, most of it “pure profit”, was collectively banked by those six clubs in June’s final weeks and Tuesday brought confirmation that the trading had been worth it.
A 14-day assessment period of 2023-24 accounts and PSR calculations had not raised red flags within the Premier League and, unlike last January, when Everton and Forest were both charged, there was no cause for disciplinary action to be triggered.
Leicester’s case remains more complex than others, with the Premier League still believing they are on the hook for at least one charge amid the legal challenges back and forth, but 2024, the year of the asterisk, has left its mark.
The three PSR charges heard last season — two for Everton and one for Forest — resulted in a combined 12 points being deducted, the kind of shock therapy that was difficult to ignore.
It may never be known just how close Newcastle and others came to going beyond their spending threshold last season. Clubs’ 2023-24 accounts, which are due to be filed by the end of March, will give us clues, but the absence of transparency in the PSR process makes it difficult to offer fully informed analysis.
Clubs instead have to be judged by their actions and those madcap days of late June revealed anxieties ultimately born out of the penalties handed to Everton and Forest a few months earlier. That jolted the whole of the Premier League, heightening motivation to find quick profits in the transfer market once the season had concluded.
Howe admitted as much — Newcastle had no wish to sell Minteh or Anderson. Certainly not both. But, as Howe, the front-facing figure in that organisation, accepts, there was “no other option” but to accept £65million in transfer fees for the duo if a PSR breach was to be avoided.
Were Chelsea as close to the edge? That is unclear but their compliance owed as much to the sale of two hotels which are part of the wider site at their Stamford Bridge stadium to other companies owned by BlueCo, Chelsea’s parent company, as it did the late sale of defender Ian Maatsen to Villa for £37.5million. Others did not have the luxury of property deals enhancing the numbers.
Maatsen’s transfer to Villa helped Chelsea comply with PSR, but not as much as the sale of two hotels (Matt McNulty/Getty Images)
PSR continues to have its vocal opponents, such as Villa co-owner Nassef Sawiris, who told the Financial Times in June that the regulations were inhibitive and “not good for football”, but last season served the warning that overspending would still carry a sporting cost. Everton and Forest became the bad boys nobody wanted to emulate.
That was obvious with the sudden business done in June, and the wariness has been extended into this season.
Manchester United, traditionally one of English football’s strongest financial forces, have made it clear they have little scope to strengthen new head coach Ruben Amorim’s hand after their heavy losses of recent times. Newcastle also remain bound by financial constraints, with only about £60million spent this season. Villa’s net spend for the season, meanwhile, stood at about £26million going into the current winter transfer window.
Those three clubs could have spent more but learnt last season that punishments would then be unavoidable down the road.
It would not be fitting to congratulate the Premier League on strong governance when 115 charges of financial wrongdoing still hang over four-in-a-row title winners Manchester City and Leicester’s case remains unresolved, but last season served notice that rules had to be adhered to. Points deductions would be in the post to any club not complying.
“The Premier League submits that the only proper sanction is a sporting sanction in the form of a deduction of points,” it argued in Everton’s first PSR hearing, which brought an initial 10-point penalty, later cut to six on appeal. That exact sentence was repeated when Forest faced an independent commission.
PSR has its inconsistencies and imperfections, and might well lead to more scrambled, incoherent transfer business before financial years are out at the end of every June.
But the past 12 months — and no fresh charges this week — have made it clear to clubs that it is a sanction to be taken seriously.
(Top photos: Getty Images)
Sports
MLB pitcher Merrill Kelly says California tax rate swayed decision to reject Padres’ free agency offer
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Merrill Kelly will once again be wearing an Arizona Diamondbacks uniform when the 2026 regular season gets underway.
Kelly, who entered the free agent market after pitching in 10 games with the Texas Rangers in 2025, agreed to a deal to return to the Diamondbacks.
Kelly spent the first seven years of his professional career with the Diamondbacks but revealed that he received an offer from the San Diego Padres this offseason. Kelly said his decision to turn down the Padres during free agency centered on California’s higher income tax rate compared to Arizona’s.
Merrill Kelly (23) of the Texas Rangers pitches during a game against the Miami Marlins at Globe Life Field on Sept. 21, 2025 in Arlington, Texas. (Gunnar Word/Texas Rangers/Getty Images)
Kelly agreed to a two-year contract worth an estimated $40 million with the Diamondbacks, according to ESPN. Although the Padres offered a comparable deal at three years instead of two, California’s 13% tax rate on income above $1 million proved a key difference.
“I don’t think it’s any secret on how much money you get taken out of your pocket when you go to California,” the right-hander told “Foul Territory.”
Kelly also has deep ties to Arizona, where he attended high school and played college baseball at Arizona State. He said finding a way back to Arizona “was always the priority.”
Merrill Kelly (29) of the Arizona Diamondbacks looks on before Game Six of the Championship Series against the Philadelphia Phillies at Citizens Bank Park on Oct. 23, 2023 in Philadelphia, Pennsylvania. (Rich Schultz/Getty Images)
While Kelly said he is fond of San Diego, he was unwilling to sacrifice a significant portion of his salary to taxes. “I love San Diego,” Kelly said. “It’s just, like I said, they take too much money out of my pocket, man. The taxes over there are a different level.
“We had my numbers guy run the numbers, and it just made more sense to come home.”
Merrill Kelly (23) of the Texas Rangers looks on during a game against the Philadelphia Phillies at Globe Life Field on Aug. 8, 2025 in Arlington, Texas. (Bailey Orr/Texas Rangers/Getty Images)
Arizona’s state income tax rate is roughly 2.5%. Kelly also joked that he prefers the desert landscape to San Diego’s coastal setting.
“It worked out best for us because that was honestly our second choice,” Kelly said. “It was between here and San Diego going into the offseason. San Diego was really the only place that, if we did go somewhere, that was probably high on our list if we weren’t in Arizona. It’s like, ‘All right, let’s just hop over and take a short, six-hour drive to San Diego.’
“But, yeah, the desert is home. I guess we’re not ocean people.”
In a statement to The California Post, the Padres said the team does “not comment on contract negotiations.”
Acquired by the Rangers in July 2025, Kelly went 12-9 while splitting the season between Texas and Arizona.
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Sports
Prep talk: Councilmember looking into helping fix fire damage at Encino Franklin Fields
The office of Los Angeles City Councilmember Imelda Padilla has begun working with agencies to find a solution to repair infrastructure damage caused by a fire last month that went through a tunnel at Encino Franklin Fields and has limited access to three softball fields used by youth organizations and the high school teams at Harvard-Westlake, Louisville and Sherman Oaks Notre Dame.
The fire on Jan. 22, believed to have been set by a homeless person, took out wooden framing below an asphalt bridge connecting access to a parking lot, making it unusable for safety reasons. Parents have since paid for a temporary scaffold bridge that allows people to traverse the condemned bridge. The parking lot remains out of commission along with handicap access. Notre Dame has not practiced or played games there since, moving to Valley College. Harvard-Westlake and Louisville have resumed practices and games.
The land is owned by the Army Corps of Engineers. The bridge spans a culvert, maintained by the city. The fields are leased.
A spokeswoman for Padilla said in a statement: “Our team has taken the lead in convening City departments and have engaged the Mayor’s Office to help accelerate coordination and solutions. While agencies work through jurisdictional and cost responsibilities, our priority is preventing unnecessary delays and advancing immediate solutions. As damage and improvement needs are evaluated, we are focused on restoring safe access, including exploring a secondary access point to improve parking safety and ADA accessibility for families and field users. Student athletes and families should not bear the burden of administrative complexity, and we are pushing for a coordinated path forward that prioritizes timely repairs and safe access.”
This is a daily look at the positive happenings in high school sports. To submit any news, please email eric.sondheimer@latimes.com.
Sports
USA Rugby to introduce ‘open’ gender category for trans athletes
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USA Rugby, the nation’s governing body for the sport of rugby, announced Friday it will be introducing a new “open” gender division to accommodate trans athletes.
The new rule comes more than a year after President Donald Trump’s “Keeping Men Out of Women’s Sports” executive order and nearly seven months after the U.S. Olympic & Paralympic Committee’s (USOPC) new requirement for all governing bodies to comply with it.
“USA Rugby will now have three competition categories; Men’s Division, Women’s Division and Open Division. The Open Division will permit any athlete, regardless of gender assigned at birth and gender identity, to compete in USA Rugby-sanctioned events, whether full contact or non-contact,” the organization said in a statement.
Cassidy Bargell of the United States passes the ball during a women’s rugby World Cup 2025 match against Samoa at LNER Community Stadium in Monks Cross, York, Sept. 6, 2025. (Michael Driver/MI News/NurPhoto)
The organization’s policy also seemingly allows any hopeful competitors to simply select their gender when registering, with potential vetting by officials.
“Division status will be determined during the membership application and registration process, when an athlete selects the ‘gender’ option in Rugby Xplorer. When applying for membership or registering as ‘Female’ or registering for an event in the Women’s Division, an athlete represents and warrants to USA Rugby that they are Female.”
“This representation creates a rebuttable presumption that the individual’s sex identified at birth was female,” the organization’s member policy states.
Gabriella Cantorna, Ilona Maher and Emily Henrich of the U.S. before a women’s rugby World Cup 2025 match against Samoa at York Community Stadium Sept. 6, 2025, in York, England. (Molly Darlington/World Rugby/World Rugby via Getty Images)
“The determination of whether an individual is Female may be established through records from authoritative sources. Only USA Rugby shall have the right to contest the individual’s Women’s Division status or challenge the presumption of an athlete registered as ‘Female.’”
In July, the USOPC updated its athlete safety policy to indicate compliance with Trump’s “Keeping Men Out of Women’s Sports” executive order.
However, Trump has also pushed for mandatory genetic testing of athletes to protect the women’s category at the upcoming 2028 Los Angeles Olympics amid concerns over forged birth certificates allowing biological males to gain access to women’s sports.
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The USA Rugby goal line flag before a match between the United States and Scotland at Audi Field July 12, 2024, in Washington, D.C. (Scott Taetsch/Getty Images for Scottish Rugby)
USOPC Chief Medical Officer Jonathan Finnoff said at the USOPC media summit in October the SRY gene tests being used by World Athletics and World Boxing are “not common” in the U.S. but suggested the USOPC is exploring options to employ sex testing options for its own teams and that he expects other world governing bodies to “follow suit.”
“It’s not necessarily very common to get this specific test in the United States, and, so, our goal in that was helping to identify labs and options for the athletes to be able to get that testing. And (it was) based on that experience and knowing that some other international federations likely will be following suit,” Finnoff said.
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