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Well yeah, it is, technically speaking. Avoiding relegation will still be the main aim next season and finishing 17th will achieve that goal. He's not saying that the squad won't improve - he's making the point that if they finish in 17th again, they will still be in the PL next season. It's...

Which club is still in the PL and which one got relegated...?

This! I can't believe so many people are reading too much into an off-the-cuff remark and interpreting it in completely the wrong way...