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Ciaran Kelly

Newcastle will be affected by new FFP change triggered by Chelsea but club have different policy

Newcastle United's contract policy will work in the Magpies' favour amid a planned change to Financial Fair Play rules - which will prevent clubs spreading transfer fees beyond five years.

UEFA have felt moved to act after Chelsea handed long-term deals to a host of new arrivals in recent months. Mykhailo Mudryk, for example, signed the longest contract in Premier League history when the Ukraine superstar put pen to paper on an eight-and-a-half year contract following his £89m move from Shakhtar Donetsk. Chelsea, as a result, will 'only' record the fee as just over £11m-per-year in their FFP calculations because it will be gradually written off over the length of the contract.

This was certainly not a one-off. Chelsea have also handed out seven-and-a-half year contracts to Noni Madueke and Benoit Badiashile; a seven-year deal to Wesley Fofana; and a six-and-a-half year contract to David Datro Fofana following the quartet's respective moves as part of the club's estimated £450m spending spree since last summer.

READ MORE: Newcastle search for new 'elite' addition who will attend transfer summits before busy window

UEFA are wary of this practice becoming commonplace, and clubs potentially risking their long-term financial health, so there looks set to be a five-year limit on how a transfer fee can be spread from this summer. It is important to note that clubs will still be permitted to offer contracts beyond that length, but the fee will not be able to be spread beyond the fifth year of the deal.

The new rule won't change how Newcastle operate because the Magpies have used a different contract strategy to Chelsea. Indeed, it is thought record buy Alexander Isak is the only player who has signed a six-year deal since joining the club. Sven Botman penned a five-year contact; Bruno Guimaraes arrived on a four-and-a-half year deal; Nick Pope and Matt Targett both joined for four years; and Kieran Trippier and Dan Burn signed two-and-a-half year contracts.

What is more pressing from a Newcastle perspective is boosting revenues and reducing the club's wage to turnover ratio. Although Newcastle are not competing in Europe just yet, the club are conscious of complying with UEFA's financial sustainability regulations in the long run, which will ultimately limit the amount clubs can spend on wages, transfers and agents' fees to 70% of their revenue.

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