Rumours at the start of the transfer window suggested West Ham were working on a restricted budget this summer but eight signings have arrived and counting.
It was the worst kept secret in football that West Ham needed to spend big and spend well this summer.
Technical director Tim Steidten took full control of West Ham’s recruitment following the departure of David Moyes.
Julen Lopetegui was appointed with the title of head coach rather than manager for that very reason.
The Spaniard has had his input on West Ham’s transfer plans of course. And he made it clear to Steidten and majority owner David Sullivan which positions he wanted to see strengthened as a priority.
Hammers News revealed months ago – as far back as March in fact – that West Ham would be looking to make between eight signings this summer.
Well on Tuesday Aaron Wan-Bissaka became West Ham’s eight new arrival of what many are calling the club’s best ever window.
According to Hammers News’ top sources and claims elsewhere, West Ham are not done yet either.
West Ham transfer business not done yet
The club could make as many as 11 signings if three players are shipped out before the close of the end of August.
Some of West Ham’s business has left football fans, pundits and journalists stunned. For all the right reasons.
Hammers News were the first to exclusively reveal that David Sullivan was willing to please Lopetegui by sanctioning a big money move for Max Kilman.
West Ham duly signed him weeks later for £40m.
Brazilian teen sensation Luis Guilherme, Germany striker Niclas Fullkrug, Dutch wing wizard Crysencio Summerville, French defender Jean-Clair Todibo and Wan-Bissaka have also arrived in deals which will be worth a total of around £116m.
Back-up goalkeeper Wes Foderingham and World Cup winning midfielder Guido Rodriguez have also been signed on free transfers.
With the very real prospect of further exciting signings to come, how are the Hammers managing this?
West Ham are pushing PSR boundaries to the limit with stunning but savvy transfer business.
West Ham pushing PSR boundaries to the limit
A close confidant of majority owner Sullivan has revealed exactly how Steidten and Lopetegui have been able to put together such a superb window.
And the devil is in the detail – and the magic of amortisation.
Board source Sean Whetstone explains:
West Ham have been financially clever this summer by maximising Profitability and Sustainability Rules (PSR) by signing players on long contracts, two free agents and a season-long loan.
The Hammers have minimized their amortisation figure by using a variety of strategies to push the limits of new financial fair play rules enforced by the Premier League this season. Summerville, Guilherme, Kilman and soon-to-be Wan Bissaka can be equally depreciated on West Ham books over a maximum of five years allowed.
Fullkrug will be written off financially over four years in amortisation terms. Foderingham and Rodriguez were free agents and Todibo won’t count until next season for amortisation purposes.
This means West Ham will add £25.6m per year in amortisation for this summer’s signings for the next four years with the fifth year reducing to £20.1m.
Stunning transfer window explained
New PSR rules this season stipulate that Premier League clubs must spend a maximum of 85% of their revenue on players’ and coaches’ wages, amortisation annual total and agent fees.
Whetstone adds that West Ham will also make a profit of over £20m on three players for PSR purposes this summer.
“In real terms, supporters could be mistaken that West Ham made a loss overall on two of the three players in question but the Hammers will record a profit in their financial accounts,” Whetstone explains.
“Said Benrahma’s transfer from Brentford was made permanent in Jan 2021 for £20m depreciated over his five-year contract at £4m per year.
“When West Ham sold Benny to Lyon for £12.2m there was only £6m left in amortisation on West Ham accounts meaning they will register a £6.2m profit. It was a similar situation for Thilo Kehrer who was purchased from PSG for £10m in August 2022 over a four-year contract which meant £5m of his value was written off on West Ham’s accounts leaving £5m remaining.
“His £9.3m sale to Monoco will register a £4.3m profit in favor of West Ham for PSR purposes.
“Finally, Flynn Downes was purchased from Swansea in July 2022 for £9m on a five-year contract depreciated at £1.8m per year, £3.6m of that transfer fee has been written off leaving £5.4m on the Hammers books meaning that the £15m sale to Southampton will register a £9.6m profit for PSR purposes.”
