Premier League Clubs Approve 'Squad Cost Ratio' Rules for Next Season
- Premier League owners have voted to implement 'squad cost ratio' and sustainability measures for the upcoming season, aiming to regulate clubs' spending based on revenue and player sales.
Premier League Clubs Vote in New 'Squad Cost Ratio' Rules
Premier League owners have approved the introduction of 'squad cost ratio' (SCR) and Sustainability and Systematic Resilience (SSR) measures for the next season. The SCR will limit clubs' on-pitch spending to 85% of their football revenue and net profit/loss from player sales.
Key Points of the New Rules
The new regulations include a multi-year allowance of 30% that clubs can spend beyond the 85% limit. However, exceeding this allowance will result in a levy. Clubs must adhere to the 85% threshold once the allowance is depleted, or they will face sporting sanctions.
Rejection of 'Top-to-Bottom Anchoring'
Although the owners supported the SCR and SSR initiatives, they rejected a proposed 'top-to-bottom anchoring' system. The Premier League emphasized that breaches of the new rules will lead to sporting sanctions, ensuring compliance and accountability.
League Statement
In a statement, the Premier League stated, 'SCR will regulate clubs' on-pitch spending to 85% of their football revenue and net profit/loss on player sales.' The implementation of these measures aims to enhance financial sustainability and competitiveness within the league.

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