Fernandez back to face Man Utd but Chelsea's problems remain

Enzo Fernandez returns for Chelsea this weekend, but questions remain over his future at the London club.

The Argentina midfielder, 25, gave three interviews while away with his national side, referring to his desire to one day live in Spain's capital, having been heavily linked with Spanish giants Real Madrid.

That led to a two-match internal ban, jointly decided by head coach Liam Rosenior and the club hierarchy. The suspension has now ended, although not before attempts by Fernandez's agent, Javier Pastore, to have it reduced by a game.

As a result, Fernandez missed Chelsea's 7–0 FA Cup semi-final win against League Two side Port Vale and, more significantly, Sunday's 3–0 home defeat by Manchester City.

In the final interview, Pastore suggested Chelsea's failure to qualify for the Champions League could be an issue for his client. The Blues later lost again, leaving themselves four points behind fifth-placed Liverpool in the Premier League table.

Internally, however, there appears to be little regret over the punishment. Rosenior later revealed the final "hurdle" was consultation with Chelsea's leadership group, including captain Reece James, Moises Caicedo and Levi Colwill.

Fernandez is now available for Saturday's match against Manchester United in what is becoming a must-win fixture if Chelsea are to secure Champions League qualification - a pre-season target. Any slip, though, could yet see them miss out on European football altogether.

Chelsea's attempts to move on from the episode involving their number eight reflect a desire to steady the situation at an early stage.

Fernandez has 12 goals and six assists this season, placing him behind only striker Joao Pedro for goal involvements, in 46 appearances. He remains regarded internally as a marquee player, with Rosenior offering public praise even while enforcing the ban.

It may be a rational short-term approach, but the longer-term solution is more straightforward: money.

Either Chelsea offer Fernandez a new contract, or he attempts to force a move.

"He deserves much more than he is currently earning," Pastore said in a lengthy interview with the Athletic during the international break.

Fernandez is among several players seeking improved terms at Stamford Bridge, alongside Colwill and Malo Gusto, with midfielder Caicedo agreeing a lucrative new deal on Thursday.

Chelsea are hopeful of agreeing one or two more deals before the end of the season.

However, with contract talks on hold until the summer, according to Fernandez's entourage, the alternative scenario is more problematic.

Chelsea sources indicate it would take a substantial fee - close to the club-record sale that saw Eden Hazard join Real Madrid in 2019 for an initial £88m rising to £130m in add-ons - for any deal to be considered.

That valuation reflects not only Fernandez's importance on the pitch, but also financial necessity.

Signed for £107m from Benfica on a contract running until 2032, Fernandez was part of a single-season world record £745m transfer spend in the 2022-23 campaign.

That spending was facilitated through a 'buy now, pay later' model, spreading costs over long contracts - such as Fernandez's eight-and-a half-year deal - to remain compliant with the Premier League's Profit and Sustainability rules.

So controversial was the approach that Uefa later closed the loophole, capping amortisation at a more standard five-year period.

Chelsea's most recent accounts show more than £200m was charged in amortisation costs during the 2024-25 season, effectively reflecting money owed on previous transfers. That figure limits the club's ability to recruit replacements.

In Fernandez's case, Chelsea would need to secure a fee of at least £75m–£77.6m - depending on the timing of a sale - to avoid recording a loss, which would further restrict future spending.

With Fernandez's camp having demonstrated a willingness to take an assertive stance, and the backdrop of a World Cup providing further opportunity to shape the narrative, failure to reach a new agreement would represent a growing concern - despite Rosenior's attempts to project confidence.

The £224.3m amortisation and impairments figure for the 2024-25 season formed part of accounts released this week, which also revealed a pre-tax loss of £262m for Chelsea.

Those figures included one-off costs such as Uefa fines totalling £26m, as well as impairments - write downs on signings that failed to deliver - amounting to £16.8m.

Todd Boehly and Clearlake Capital have spent more than £1.5bn on players since completing their takeover in 2022, partially offset by around just over £750m in sales. Lengthy contracts helped keep the club within regulatory limits.

Chelsea still regard themselves as holding more than £1bn in player contracts under the BlueCo ownership model.

However, there is now less scope to spend aggressively, with long-term liabilities running for years to come. That could limit the club's capacity to take advantage of more relaxed rules elsewhere in the Premier League.

From 1 July, new squad cost ratio rules will be introduced. While the first season effectively serves as a free hit, as enforcement is not applied in full, rivals may find it easier to rebuild - while Chelsea face a far narrower financial tightrope.