Newcastle have lost manager Eddie how on top of selling Sandro Tonali, Anthony Gordon and Bruno Guimaraes whose deal to Arsenal looks certain this summer.
Guimaraes became Newcastle's talisman during his time at St James' Park and his departure has infuriated fans whose squad have been raided over the past month.
The Magpies are down to the bare-bones heading into the new season and Waddle spoke with OLBG about how finances at the club may be crumbling.
“I just wonder with the Saudi group at Newcastle, what's happening? LIV Golf has fallen apart. That's the same group. They spent billions on that. I just wonder if financially things have started changing with them.
“Now Newcastle are looking at players in their 20s, but they’ll only spend what they recoup from the sales of Sandro Tonali, Bruno Guimaraes, and Anthony Gordon.
“They aren’t putting money out of their own pockets anymore, which makes you wonder if there’s a financial issue or if something has changed behind the scenes.
“I'm looking at the players Newcastle are linked with, particularly the younger ones. It seems they're shifting towards a younger recruitment strategy, focusing on developing talent to sell on, much like Tottenham has done over the years. Many of the players they've been linked with are quite young and unproven.
“They could turn out to be top players, or they might not. The players you read about and who they are linked with show they are going down that younger, high-potential avenue.”
Guimaraes was Newcastle's top scorer in the league last season with nine goals. His departure alongside Howe, Tonali and Gordon is worrying and youth recruitment will not solve their current crisis.