Arsenal are top of the table. Arsenal are also bottom of the table. They prop up the Premier League, pointless and goalless after a historically bad start. They were also the division’s biggest spenders in the summer window, committing £156.8 million ($216.9m) in transfer fees.
It made 2021 a contrast with 2015, when Arsenal were the only club in Europe’s top five leagues not to sign an outfield player. Now they have five, plus goalkeeper Aaron Ramsdale.
If Arsene Wenger’s austerity-era Arsenal, with its annual top-four finishes, forms the antithesis to a club in an existential crisis, Mikel Arteta’s expensive overhaul shows how times have changed. Arsenal’s owners, the Kroenke family, were long too frugal and too unambitious. Now they seem to be chasing their tail, throwing money at a problem in a bid to solve it.
Arsenal’s expenditure stands out in part because their net spend is so large. Joe Willock left for Newcastle for £25m but their other departures – Lucas Torreira, Reiss Nelson, Matteo Guendouzi, William Saliba, Hector Bellerin, Dinos Mavropanos and Alex Runarsson – are all on loan. Burdened by past mistakes, trapped by high contracts, backing a manager who wants to exile some players, they are struggling to sell.
The arrivals tell a tale of a shift in policy. In 2020, Arsenal gambled on short-termism, giving huge contracts to the ageing Pierre-Emerick Aubameyang, David Luiz and Willian, and duly underachieved. They can count themselves fortunate that the midfielder made an honourable exit, cancelling his contract after a disastrous season, saving the Gunners around £20m in wages.
Now there has been a swing to youth. Of the newcomers, Ben White and Ramsdale are 23, Takehiro Tomiyasu and Martin Odegaard 22 and Albert Sambi Lokonga and Nuno Tavares both 21. There is an attempt to construct a team for a generation. Factor in Kieran Tierney, Gabriel Magalhaes, Bukayo Saka, Emile Smith Rowe and Gabriel Martinelli and Arsenal could field an entire, if imbalanced, side aged 24 or under.
That White came from Brighton and Ramsdale from Sheffield United means the headline investments of £50m and £30m in transfer fees are offset by lesser wages than Willian, the least free of free transfers, commanded. Yet it was nevertheless notable that Odegaard was alone among the newcomers in starting the 5-0 thrashing by Manchester City.
Tomiyasu had not yet joined. Lokonga had been dropped in a reshuffle, despite an encouraging display against Chelsea. Ramsdale may be both back-up and rival to Bernd Leno, though his decidedly mixed fortunes with Bournemouth and Sheffield United raise the question if he really is a future first choice.
Tavares has looked bright but is Tierney’s deputy. White had a disastrous debut at Brentford and then contracted coronavirus. If the fees raise questions if Arsenal overpaid when there were few other buyers and if they have purchased three pricey understudies, some of the precedents carry a warning.
Their future-proofing has backfired before. Guendouzi and Saliba are unwanted, not cornerstones of Arteta’s team. That Bellerin, voted the division’s best right-back in 2015-16, regressed highlights how their best-laid plans often go awry.
For now, Arsenal’s spending spree may be buying Arteta time. Everything that could have gone wrong has, but perhaps it is not fair to judge the manager when Tomiyasu has not debuted, when Odegaard, the most gifted and auspicious of the arrivals, and White have made a solitary league appearance apiece and when the latter has yet to begin a partnership with Gabriel.
Arsenal may be looking long term, but their plight requires results soon. Even if Arsenal prove the best as well as the biggest spenders, the possibility is that Arteta is building a side for his eventual successor.
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Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
