Thanks for the suggestions. I'm beginning to reduce my yearly losses though. The Spanish have suddenly fallen into complete disarray, with a small civil war causing a few provences to rebel, and the Aragonese have really been having a go at the Spanish which at least allowed me to have an ally. It's actually great to see the Aragonese do something - they have 3 provences, almost 4 if they take Castille. To further destroy the Spanish, the Almohads returned with a large force which threatens to engulf the Aragonese and some northern African regions which I have my eyes on. Further good news for me was the Turks, my other major concern have been severly weakened after also falling into civil war. It seems going to war with my faction doesn't bode well for the monarchy of the aggressor faction. And then the Byzantines returned too in Turkish lands, with some of the Turkish civil war stacks suddenly turning purple/Byzantine. It's funny seeing muslim units declare themselves part of a Christian faction. I'm slightly concerned the Byzantines will have a go at my regions as my forces are fairly thin along that part of Asia minor.

My fleets are actually bigger than I first thought. I had about 70 ships before the war began, of which about 60 are still left. They've all but destroyed the last few French and Spanish ships, but the enemy do keep escaping and disrupting trade, but I'm sure they'll be nothing but flotsam and jetsam before long.

I do actually build lots of farms as well when I can. I was concentrating on the most profitable buildings before I went to war, so I have a few Merchant guilds, 60-80% farms etc. Farming in Antioch alone is bringing in 1224 florins! I just have a crazy sized army and navy eating into the profits. Regarding scorched earth policy, this is something I stay away from. I like to keep regions teched up even if the AI take control. It's bad enough many parts of the world end up being stuck with just a fort and a watch tower even after 300 years, without me making things worse for a few bucks.

Actually being consumed by debt has made things interesting as opposed to drowning in cash. Now I'm having to reorganise all my forces again instead of just churning out more and more of them. Quite a few regions had loads of cavalry but no archers, or lots of infantry but no cavalry. Now I'm sending armies I'd forgotten about into battles with no real concern if they win or not!

One thing I'm concerned about though - is there any loyalty problems that occur if your treasury is negative for a large number of years? It still could be a while to turn the -5000 income into positive figures again. And when my king croaks it in a few years, no doubt civil war could be a possibility.