Fair Play

Is this good news for the smaller clubs.


http://news.bbc.co.uk/sport1/hi/football/13724949.stm

The Football League wants to try to curb ruinous spending by clubs. Richard Sutcliffe assesses opinion within Yorkshire football.



THE county’s clubs have broadly welcomed attempts by the Football League to rein in spending by members.

Yesterday saw agreement reached by the 72 clubs at the League’s summer conference to adopt UEFA’s financial fair play system in the Championship, whereby teams can only spend what they earn, and also extend a salary cap to include League One as well as the basement division.

The move follows League chairman Greg Clarke revealing last week that League clubs have around £700m of debt, 80 per cent of which is in the Championship. Financial analysts Deloitte also said this week that one-third of clubs pay more in wages than they receive in revenue.

Clarke had pressed for change to cope with the 26 per cent reduction in the value of the next television deal with Sky after the BBC declined to bid for the rights. The £195m agreement kicks off from the start of the 2012-13 season.

Leeds United chief executive Shaun Harvey was one of those at the League summit in Cyprus who voted in favour of the plans.

Speaking to the Yorkshire Post last night, he said: “The financial problems that have crippled football in recent years are, in the main, attributable to the wages that have been paid. So, in that respect, this has to be good for the game.

“The bottom line is Championship clubs will have to break even. There will be no limit on spending or on how much a club can pay a player. But it has to be within the financial constraints of the club.

“It is a form of control but without an individual salary cap, which is what Leagues One and Two have adopted. The issue within the Championship is different, in that the prize of getting promoted to the Premier League is so huge.

“The clubs did not want to put potential restrictions on investment. But there was a consensus that we need financial prudence and this system is the best way of achieving that.

“It may take some time for an impact to become apparent but, in the long run, clubs will be much more financially stable.”

Doncaster Rovers chairman John Ryan is another who backs the new set-up.

He said: “When we played Leicester City last season, they were paying one player £70,000 per week. Craig Bellamy also made his Cardiff debut against us. In terms of clubs spending what they earn, these would not be possible in the future.

“I am not sure what difference it will make to Doncaster Rovers, other than that if we have to live within our own means then so will everyone else.

“That means the Leicesters and Cardiffs of this world will not be able to spend heavily on wages, which we all know are far too high.

“I am not sure it will make the playing field level, not with the size of the parachute payments clubs relegated from the Premier League get. But it is a positive move for the Football League.”

In the bottom two divisions, a salary cap will be enforced that sees clubs only allowed to spend a fixed proportion of their total turnover on player wages.

At the moment, League Two are allowed to spend up to 60 per cent but that will be reduced by a further five per cent for 2011-12. In League One, meanwhile, member clubs will have to operate under a salary cap for the first time – a move welcomed by Huddersfield Town chief executive Nigel Clibbens.

He said: “The decisions taken by the Football League clubs are a further step to addressing the huge and worsening financial pressures facing clubs.

“We very much welcome and support a collective effort to finally face up to the problem. It will affect all clubs, and drive viability and sustainability.

“As a club, we have already been planning for many months to deal with the implications. These changes will be good for the future of the game and for the future of the club.”

from yorkshire post...

Great ideas, well overdue but.................it won't happen ! There's far too many of the 92 in a mess. Perhaps if the Prem. sorted their act out re. wages and transfers and allowed a bigger slice of the 'sky' money to tricke down the Divisions; we would stand a chance of saving the game.