The return to the day job at the start of any new year is not without its challenges. I've been suffering from a post-Christmas slumber and Storm Henk didn't help matters. There's a lot to be said for pacing oneself at this time of year, so this week I've delayed my departure for the office by enjoying an elongated breakfast. Over two boiled eggs and soldiers this a.m., I got to the Times sports section, past the exploits of Luke Littler at Ally Pally - what a rising star, eh, well done him - and to a story about West Ham's funding arrangements for the sale of Declan Rice last Summer.

So it seems that West Ham - who I must say are doing extremely well right now, having defeated Arsenal over the Christmas period much to my chagrin - accelerated payment of a future transfer instalment in respect of the sale of Declan Rice to the Gunners last Summer by selling the debt to Barclays to obtain immediate payment. So, rather than waiting for the £30m payment to be paid when due in July 2024, West Ham got the money upfront by selling the debt to Barclays. The downside is that the Irons received a little less in return than they would have done if they had sat on their hands and done nothing, as Barclays seemingly charged £1.8m in interest for the cost of the arrangement.   

I read this article and thought to myself…is this news? The Times referred to the arrangement as a 'payday loan’. I wouldn't describe it as such. There are many businesses out there who look to raise short-term finance by selling their receivables to funders at a discount - that's an entirely common practice. And in the very competitive world of premier league football, standing still and waiting for staged transfer monies to roll in from player sales may not necessarily be the best option. True, Arsenal are no doubt a stellar debtor and were hardly likely to default on this payment, but West Ham would no doubt have been keen to realise the funds sooner to get back out into the transfer market to secure new players. 

I'm not sure if that is a bad decision as long as the club was prudent in assessing this arrangement and how it would then use those monies - if re-deploying transfer sales sooner enhances the prospects of the club's continued presence in the lucrative Premier League and improves the chances of more European football too, then arguably it's a prudent course of action.  And with West Ham leaping above the likes of AC Milan, Leeds United and Newcastle United to be ranked 15th in the Deloitte Football Money League 2023, the Hammers would appear to know what they're doing. 

The real story will be if other clubs employ similar fund-raising efforts at even more expensive rates and then deploy the resulting funds less well. Maybe that's already happening elsewhere.