Newcastle could be set to splash the cash in future transfer windows thanks to a new rule known as "anchoring".
Premier League clubs are said to be contemplating a new style of financial cap that could see Newcastle benefit from an increase in allowed transfer budget.
Mark Douglas of i has reported that "anchoring" is set to be voted on by Premier League clubs. The vote is set to take place on Monday and is expected to be opposed by both Manchester clubs and others from the so-called 'Big Six'.
If clubs brought in anchoring, it would mean no team could splash out more on their squad expenses than a certain multiple of the club that got the least amount from TV and sponsorship deals. These expenses cover things like player wages, transfer fees spread over time, and agent fees.
Last year, the cap would've been £518 million, and Chelsea was the only club that went over it.
Speaking to i, football expert Kieran Maguire said: “Anchoring is trying to set a form of limit on the gaps between the poorest and the richest clubs in the Premier League. You would take the budget for the club that is deemed to be the smallest – so for this season it would be Burnley or Bournemouth – and you say the amount of money that can be spent by the richest club would be linked to Burnley’s budget on a multiple.
“So far the multiple we’ve seen discussed is 4.5, so if Burnley spent £100m on player costs, the richest club would then get a budget of £450m.”
It is not thought that this would be restrictive to the Toon's spending plans as it would mean that we would be allowed to spend more than is currently permitted by PSR. “A club at the bottom – Forest, Villa, Newcastle, West Ham – if the owners want to go for it they can,” Maguire said.
