Premier League announce new FFP system after clubs vote on Aston Villa player spending proposal

The Premier League have announced new financial controls
-Credit: (Image: Photo by Shaun Botterill/Getty Images)


Premier League clubs have agreed to trial a new financial system next season on a non-binding basis. Profitability and Sustainability Rules (PSR) will remain in 2024/25, but clubs will use Squad Cost Rules (SCR) and Top to Bottom Anchoring (TBA) on a shadow basis before determining whether to implement them permanently.

A statement reads: "At the Premier League’s Annual General Meeting today, clubs agreed to trial an alternative league-wide financial system next season (2024/25) on a non-binding basis.

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"The existing Profitability and Sustainability Rules (PSR) will remain in place, but clubs will trial Squad Cost Rules (SCR) and Top to Bottom Anchoring Rules (TBA) in shadow.

"This will enable the league and clubs to fully evaluate the system, including the operation of UEFA’s equivalent new financial regulations, and to complete its consultation with all relevant stakeholders.

"The overall system aims to improve and preserve clubs’ financial sustainability and the competitive balance of the Premier League, promote aspiration of clubs, facilitate a workable alignment with other relevant competitions and support clubs’ competitiveness in UEFA club competitions, while providing certainty and clarity for clubs, fans and stakeholders.

"SCR will regulate on-pitch spend to a proportion (85 per cent) of a club’s football revenue and net profit/loss on player sales.

"TBA is a league-level anchor linked to football costs, based on a multiple of the forecast lowest central distribution for that season. It is designed to be a pre-emptive measure to protect the competitive balance of the Premier League. This protection is intended not to have an impact unless significant revenue divergence of clubs occurs."

Also at the AGM, Premier League clubs reportedly voted against Villa's proposal of increasing allowed Profit and Sustainability (PSR) losses by £30m. It comes as a blow for Villa, while the current rules stipulate that top-flight clubs can lose a maximum of £105m over three years and they are claimed to be close to that line.

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