How Leeds United can make shrewd £2.5m cost saving with change to former loanee's Elland Road contract

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Leeds United's summer business is likely to see plenty of incomings and outgoings, as well as the possibility that certain members of Daniel Farke's squad will earn contract extensions either to protect their value or reward fine performances.

Few members of the Whites' first-team have a stronger case for fresh terms at Elland Road than Dan James, scorer of 13 goals last season, a bright spark on a dark day at Wembley last month and still just 26 years of age.

The Wales international has already racked up 53 caps for his country and last season was one of Leeds' most consistent goal threats in the Championship. His deal at Elland Road still has two years left to run, therefore extending it is not urgent, but in terms of those who are most deserving, James is right up there.

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The ex-Swansea City man put pen to paper on a five-year contract three summers ago, joining in a reported £25 million deal from Manchester United. His first season in LS11 hardly went to plan as United narrowly escaped relegation and James was required to play in an ill-fitting No. 9 role all too often, while his second on Leeds' books saw him farmed out on loan to Fulham.

As James made acquaintances at Craven Cottage, Leeds were relegated and Fulham decided not to make James' stay in West London a permanent one, leaving the Welshman little other choice than to return to Elland Road, where he would now earn significantly less than before due to mandatory wage reduction clauses in players' contracts.

During the third year of his existing contract, James' Leeds career was resurrected. A reliable operator from the right, a genuine threat in most, if not all, matches he played, his ceaseless running striking a chord with a fanbase who after 12 months of watching a team go through the motions en route to relegation, simply wanted to see players try for the shirt. James succeeded in that endeavour and will begin 2024/25 a key player under Farke and in the eyes of fans.

Currently, the cost of James' transfer is amortised at £5 million per season in Leeds' financial accounts, meaning £15 million of his £25 million fee has been accounted for up to this point. That, of course, leaves £10 million still to be reported.

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Should Leeds extend James' stay by two years, offering improved terms which may still be below those he signed in 2021, they will spread the remaining cost of the winger's transfer across four years, instead of two. In doing so, the outstanding £10 million will be reported in Leeds' financial accounts in £2.5 million chunks, as opposed to £5 million, which gives the Whites some breathing room in the accounting department and additional headroom when abiding by Profitability and Sustainability regulations this summer.

It remains to be seen whether an extension is in the offing, but it would largely be seen as a positive move by supporters as the club plots a return to the top flight, let alone help the financial picture at Elland Road.

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