Monday 26 March 2018 15:35, UK
West Bromwich Albion's new chief executive Mark Jenkins has revealed the club's finances have 'unravelled' over the last 12 months, saying "there is no more money for wages."
Jenkins, who returned to the club last month, said investments made under the leadership of former chairman John Williams and chief executive Martin Goodman have left the club in need of an overdraft for the first time in over 10 years.
Jenkins was speaking following the release of West Brom's accounts for the 2016/17 season, which actually made for positive reading - turnover was up by 40.3 per cent to £137.9m, and pre-tax profits rose from £1m to £39.6m.
However, Jenkins warned there "is going to be a significant loss in next year's accounts", explaining: "We have wages, transfer fees and loan fees running at record levels and yet we find ourselves in this position (bottom of the Premier League).
"I'll be honest I've come back and I'm shocked at what I have found in some of the decisions that have been made," he said.
Jenkins left the club at the end of 2016, after overseeing 10 seasons in the Premier League during his 14-year stint.
He said: "If I had stayed I certainly would have challenged the new executive team far more than has happened and some of the decisions taken would have been different."
It was also revealed that the club would have to practice caution in order to remain compliant with the Premier League's Short Term Cost Control (STCC) measure, which restricts teams to £7m increases in total salaries each season.
"I've come back and can assure you that we are right at our limit on STCC. There is no more money for wages," said Jenkins.
"It's been painful looking in and seeing the club that I and many, many other people - friends such as Dan Ashworth, Darren Eales - had built up to be an established Premier League club. It has all unravelled in the 12 months or more since I've been away."
West Brom sit bottom of the table, 10 points from safety, with seven games left to play.
"Clearly, it has not been as successful a season. There is going to be a significant loss in next year's accounts. We have wages, transfer fees and loan fees running at record levels and yet we find ourselves in this position." Jenkins said.
