It was expected. on March 23, the New York Times Exclusively revealed that UEFA is about to introduce new rules for their financial fair play† A new version intended to give a prominent place to investors and especially the richest clubs. This Thursday afternoon, the governing body of European football has just officially announced the creation of this new FPF.
“The UEFA Executive Committee today approved the new UEFA Club Licensing and Financial Sustainability Regulations at its meeting in Nyon. The regulations are the first major reform of UEFA’s financial regulations since their implementation in 2010.”we can read on the official website of UEFA, before a statement from its president, Aleksander Ceferin.
More room to manoeuvre
“Uefa’s first financial regulations, introduced in 2010, have achieved their primary objective. He helped bring the finances of European football back to the brink and revolutionized the management of European football clubs. However, developments in the football industry, in addition to the unavoidable financial effects of the pandemic, have highlighted the need for comprehensive reforms and new regulations for financial sustainability. UEFA has been working with its stakeholders across European football to develop these new measures to help clubs meet these new challenges. These regulations will help us protect the game and prepare it for possible future shocks, while encouraging rational investment and building a more sustainable future for the game.”
A new regulation based on three values: solvency, stability and cost control. And as announced, clubs are now allowed to spend up to 70% of their income. “For ease of implementation for clubs, the calculation of football revenue is similar to the calculation of the equilibrium result. The spread accepted has increased from €30 million over three years to €60 million over three years, the requirements to guarantee the fair value of transactions, improve club balance sheets and reduce debt have been significantly reduced. The biggest innovation of the new rules is the introduction of a team cost rule to better control costs when it comes to player salaries and transfer costs. The regulations limit expenses for salaries, transfers and brokerage fees to 70% of the club’s income. Assessments will be made in a timely manner and violations will lead to financial penalties and predefined sporting measures. † Finally, UEFA specifies that these new regulations will come into effect in June 2022 and will be phased in over a three-year period.