Luiz Felipe Scolari has said that he will take
possible financial restrictions in his stride.
Chelsea, famous
for being the most extravagant spenders in football, are taking
increasingly severe cost-cutting measures. The moves underline
Manchester City's status as the Premier League's nouveau riche,
with Chelsea refusing to engage in a transfer-window battle with
the Abu Dhabi-controlled club, who beat the Londoners to the record
signing of Robinho, the Brazil striker, three months
ago.
As revealed by The Observer last month, Roman Abramovich has
ordered a comprehensive financial audit of every department of his
club at a time when he is nursing multi-billion-pound credit-crunch
losses. The first notable cost saving to date was the dismissal of
15 international scouts as Frank Arnesen's recruitment network was
dismantled ahead of the expected departure of the £2m-a-year chief
scout and director of youth development.
The increasing restriction on cash flow at the club is such that
the audit, which remains ongoing, has since halted three major
capital investment projects in their tracks. These are:
• The refurbishment of the Chelsea Health Club at Stamford
Bridge.
• The conversion of the stadium's 'Purple' nightclub into a
music venue.
• The construction of a luxurious new-build house at the
club's stockbroker-belt training ground.
• In their recent champions league match against Bordeaux,
Chelsea players took an economy class flight to France rather than
their usual business class.
Further economies under consideration include charging players
for meals at the training ground. A Chelsea spokesman said: 'As all
businesses concerned about the economic downturn will be doing, we
are looking across the business to see where savings can be made.
Costs at Stamford Bridge and the training ground are part of this
ongoing review.'
Diminishing income is also an issue for a club burdened by £736m
of debt according to their last published accounts. Chief executive
Peter Kenyon has expressed concerns over future sales of
high-revenue earning hospitality boxes. Two of Stamford Bridge's 59
boxes remain unsold this season, though Chelsea say the pair have
been kept free to allow 'added flexibility' in their provision. The
club are having to work on ticket sales, too, and are advertising
on commercial radio ahead of the decisive Champions League group
game against CFR Cluj.
Chelsea's belt tightening has affected player recruitment. Club
officials do not expect any significant activity in the January
transfer window and, if any new players are brought in, the
purchases will be financed by sales. Though this was not the
package Luiz Felipe
Scolari was seduced by when he took over as manager last
summer, the pragmatic Brazilian is trying to use the club's 'new
reality' to unify his squad.
On Friday, he warned players contemplating a move away from
Chelsea, such as Didier Drogba, that other clubs might not be able
to sustain their current salaries. 'I am not surprised with this
new reality in the world,' he said. 'Chelsea knows this reality.
Not only Chelsea, many clubs. We need to remember many clubs are
down in the red line because they spend money they don't have to
spend. Now is the time to think about the new philosophy for
football. I know it's difficult for the players to understand this,
but if they are intelligent they know.
'In January, if I have something to buy one player or another,
OK. If I don't have, it's not a problem for me because I have a
good squad, I like this squad. Maybe some clubs want one of my
players and the time is for change. I give you this and you give me
that.'