UEFA reveals new spending limits as Ceferin says clubs must be braced in case of 'future shock'

By Sports Desk April 07, 2022

Clubs across Europe face renewed scrutiny of their spending on wages, transfers and agent fees after UEFA announced an overhaul of its financial fair play system.

UEFA's executive committee approved new club licensing and financial sustainability regulations at its meeting in Nyon as the first major reform since financial regulations were imposed in 2010.

The alterations focus on "solvency, stability and cost control" to promote financial sustainability, with the "squad cost" regulations – which come into place from June 2022 – limiting the spending of clubs.

Clubs will only be able to spend up to 70 per cent of revenue on wages, transfers and agent fees, with breaches resulting in "pre-defined financial penalties and sporting measures".

UEFA president Aleksander Ceferin said the game, hit hard by the COVID-19 crisis, needed to be prepared in case of "any potential future shock".

In terms of solvency, there will be greater protection for creditors – and punishments for late payers – with no overdue payables towards football clubs, employees, social and tax authorities and UEFA.

UEFA revealed further changes to the previous financial fair play (FFP) rulings, with football earnings – similar to break-even results – allowed to show an increased "deviation" from the previously permitted €30million over three years to €60m over the same time period. That is to aid the balance sheets of clubs, ensure the fair value of transactions and to reduce debts, UEFA said.

UEFA's FFP chief Philippe Rasmussen said in a news conference there was an additional €10million allowance in this area "for clubs that are in good financial health".

Ceferin said on Thursday: "UEFA's first financial regulations, introduced in 2010, served its primary purpose. They helped pull European football finances back from the brink and revolutionised how European football clubs are run.

"However, the evolution of the football industry, alongside the inevitable financial effects of the pandemic, has shown the need for wholesale reform and new financial sustainability regulations.

"UEFA has worked together with its stakeholders across European football to develop these new measures to help the clubs to address these new challenges.

"These regulations will help us protect the game and prepare it for any potential future shock while encouraging rational investments and building a more sustainable future for the game."

Related items

  • Uli Hoeness says ‘probably impossible’ to lure Xabi Alonso from Bayer in summer Uli Hoeness says ‘probably impossible’ to lure Xabi Alonso from Bayer in summer

    Reported Liverpool managerial target Xabi Alonso is unlikely to jump ship from Bundesliga leaders Bayer Leverkusen, according to Bayern Munich honorary president Uli Hoeness.

    The 42-year-old, who lifted the Champions League trophy in 2005 during his debut season with the Reds, has been a widely touted as a likely replacement for Jurgen Klopp, who in January announced he will stand down at the end of the season after eight-and-a-half decorated years at Anfield.

    Bayern are thought to be one of the other clubs courting the Spaniard’s services, but Hoeness was highly pessimistic about anyone’s chances of luring Alonso away from Leverkusen.

    He told Das Erste: “We’ll have to see if we can do it this year.

    “It will be difficult, if not probably impossible. (Alonso) is more inclined to stay at Bayer Leverkusen in view of their current successes, because he would not want to leave them behind.

    “Let’s say if he had two or three more years of success, it would probably be easier to bring him out of there.”

    Alonso’s men are on course to secure the first Bundesliga title in the club’s history, sitting 10 points clear of Bayern Munich in second.

    In February, their 2-1 victory over Mainz to make it 33 games unbeaten broke the German record for consecutive competitive matches without a loss,  surpassing Hansi Flick’s Bayern Munich team of 2020 and 2021.

    They have since extended that run to 38 fixtures, most recently with a 3-2 victory over Freiburg before the international break.

  • Willie Kirk sacked as Leicester boss after position became ‘untenable’ Willie Kirk sacked as Leicester boss after position became ‘untenable’

    Leicester have sacked women’s first-team boss Willie Kirk after the club determined the Scot had “breached the team’s code of conduct to a degree that makes his position untenable”.

    The 45-year-old last took charge of the Foxes when they lost 4-0 in the Women’s Super League to Chelsea on March 3, before the club subsequently announced that Kirk was “assisting the club with an internal process”  and would not be on the touchline for their March 9 FA Cup quarter-final.

    Kirk’s then-assistant Jennifer Foster, supported by first team coach Stephen Kirby, oversaw that 2-0 victory and have remained at the helm since.

    They will remain in charge until Kirk’s permanent successor is named.

    A Leicester statement read: “Leicester City Football Club can confirm that Willie Kirk has been dismissed from his position as LCFC Women Manager.

    “Following an extensive internal disciplinary process and respecting the Club’s obligations to individual privacy, Willie was determined to have breached the team’s code of conduct to a degree that makes his position untenable.

    “Established and implemented ahead of the start of the current season, the code forms part of the Club’s ongoing commitment to professionalising the women’s game since the takeover of LCFC Women in 2020, promoting a performance-led culture among players, coaches and technical staff.

    “First Team responsibilities for LCFC Women will continue to be led by Jennifer Foster, supported by Stephen Kirby, while the Club begins the process of appointing a new permanent manager.”

  • Lembikisa, Hector included in Concacaf Nations League Finals Best XI Lembikisa, Hector included in Concacaf Nations League Finals Best XI

    Reggae Boyz defenders Michael Hector and Dexter Lembikisa were both selected to the Nations League Finals Best XI by Concacaf on Wednesday.

    Hector was a big reason why Jamaica were seconds away from defeating the U.S. in the semifinals. The center back was immense for the Reggae Boyz and amassed seven clearances in the two games, to go along with a steal and an assist.

    Lembikisa picked the right time to score his first goal with Jamaica with a powerful left-footed finish in the 1-0 Third-Place win versus Panama. He also had seven clearances.

    The full team is as follows: GK Matt Turner (USA), Defenders: Antonee Robinson (USA), Michael Hector (Jamaica), Cesar Montes (Mexico), Dexter Lembikisa (Jamaica), Midfielders: Edson Alvarez (Mexico), Tyler Adams (USA), Weston McKinnie (USA), Forwards: Gio Reyna (USA), Christian Pulisic (USA), Haji Wright (USA).

© 2023 SportsMaxTV All Rights Reserved.