UEFA studies easing financial fair play limit on transfer spending
NYON: UEFA is considering relaxing some of the more stringent regulations of its financial fair play strategy to ease controls on transfer spending writes KEIR RADNEDGE.
The news could spark renewed transfer market inflation this summer.
Michel Platini, French president of the European federation, let slip the prospect in an interview with broadcaster RTL which will delight, notably, French champions Paris Saint-Germain.
PSG and Manchester City were the two Champions League contenders hit hardest a year ago by UEFA when it fined them €20m and cut the clubs’ squad size in European competition.
Financial fair play has been criticised generally for freezing the status quo of clubs and thus for handing a massive spending advantage for clubs who can profit from massive TV deals, such as those in the English Premier League plus Spain’s Real Madrid and Barcelona.
Platini said: “I think the rules we have are working very well. Financial fair play was approved by the clubs.” However he continued that “things are going to be reviewed” by the UEFA executive committee in Prague on June 29-30.
Similar indication came from general secretary Gianni Infantino who referred to a need to encourage “market stimulation.”
Improvement in health
Infantino, reviewing the context, said: “Financial fair play has proved successful in achieving considerable improvement in the financial health of European football in a short period of time. Aggregate net losses of Europe’s clubs have fallen from €1.7bn in 2011 to €400m in 2014.
“Regular review of the UEFA Financial Fair Play regulations is vital in ensuring that they keep pace with the ever-changing football environment and the new challenges that this often poses.
“Discussions on amendments to the regulations are ongoing and have taken place since October 2013 within the UEFA Club Licensing Committee and also with the clubs, who are our main stakeholders in this process.
“Consultation remains ongoing and a number of amendments have been discussed. Any potential changes to the existing regulations will look to encourage more growth, more competition and market stimulation while strengthening the emphasis on controlling spending and safeguarding financial stability as our objective is and remains to ensure the sustainability of European club football.”
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