They actually spent a fortune this summer and significantly improved their squad.
The problem is the way they were sent out to play. It was just nuts. Russell Martin insisted on keeping the ball on the ground and playing a possession based system, even away from home and against the big guns. I'm only an armchair observer and even I know that the only way the promoted teams have a chance of staying up is to soak up pressure and hoof the ball forward. Look at how Ipswich play, it may not be pretty, but they are giving themselves every chance possible to avoid relegation.
Martin should have been sacked after the Liverpool match a month ago. Look at the opening goal in this video at about 25 seconds in. Both the goalkeeper and the defender attempt to play short passes right into the middle of the penalty box:
https://www.youtube.com/watch?v=KOgtICimh5E.