Arsenal and Tottenham agree on FFP replacement plan as announcement due as Chelsea 'stall'
The majority Premier League clubs have voted in favour of introducing a spending cap in principle in an unprecedented move that will impact Arsenal, Chelsea and Tottenham.
A new ‘anchoring’ proposal - whereby clubs are permitted to spend a certain multiple amount of the bottom club’s TV and commercial revenue - received 16 votes for approval, with three opposing the move and one abstaining.
The Daily Mail says Chelsea refrained from casting a vote while Manchester United, Manchester City and Aston Villa were against the move. It would therefore infer that Arsenal and Tottenham voted in favour of the proposal.
The vote over the new financial regulations took place on Monday with finer details to be discussed ahead of the Premier League’s AGM in June. In order for the notion to be passed, 14 clubs must vote in favour.
The regulations have been proposed to make the top-flight more competitive and to cut the gap between the big six clubs and the rest. Some have argued that current Premier League Profit & Sustainability Rules punish those who try to narrow the chasm.
Last season, Southampton earned £103.6m from TV and commercial revenue. The thought is that this figure would get multiplied the further up a club finishes in the Premier League table. The amount this figure gets multiplied by is yet to be decided.
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The limit would account for wages, amortised transfer fees and payments to agents. The hope is that clubs would be less likely to overspend their means and thus incur great financial loss and sporting and financial sanctions.
Critics of the system are concerned that such a cap will make Premier League clubs less attractive when competing for the best players against their European rivals. The Times suggests Sir Jim Ratcliffe is one of those.
The Premier League looks set to come under an independent regular in the near future, set up by the UK government. The League is thought to be against the move with some analysts arguing that officials are trying to prove they can self-regulate.
