Stoke City chairman confirms stance on Financial Fair Play rules
Stoke City owner and chairman John Coates has reiterated his desire for football's financial model to be redrawn.
The bet365 billionaire has been able to invest hundreds of millions of pounds into the club but is restricted in terms of how much of that can be used in the transfer market because of profit and sustainability rules. It is a complex subject initially intended to safeguard clubs from spending more than they could afford but there have been arguments that they have also accentuated the gap between the Premier League and the rest and then the Championship clubs with parachute payments and the rest.
Stoke have been lobbying for change since even they were in the top flight themselves and the EFL has called for a redistribution of money to try to get a handle on a growing chasm. Talks to adapt the rules are ongoing.
READ MORE: Stoke City were right to reject Wouter Burger transfer bid and this is why
READ MORE: How to watch Stoke City vs Cardiff - TV channel, live stream details, kick off time
Coates has held up his hands that Stoke have made their own mistakes which haven't helped their cause on the pitch, such as the transfer window in summer 2018 after they had been relegated, but he makes the case that the current fair play rules in the Championship are "not fit for purpose".
He would like to see the division be allowed to follow the rules in League One and League Two, where clubs are only allowed to spend a certain percentage of their revenue on transfers, wages and agents fees - but revenue includes secured and guaranteed investment from owners.
It has been a surreal situation that Birmingham City's new owners were able to bankroll a £20 million-plus transfer spree last summer after they had gone down from the Championship, in hope that they can fund enough momentum now to shoot straight through two divisions as Ipswich Town had done previously.
Coates spent time talking through his thoughts with the Stoke City Connect panel of fan representatives at their latest meeting.
The minutes said: "Chair John Coates attended to meet with Stoke City Connect members as a group, with the conversation ranging from his passion for the DNA of hard work, togetherness and personal accountability that he sees as integral to the club on-and-off the field, flexible financial planning and the lessons he has learned through experience during his time as owner of the club. He also provided an overview of the club’s position regarding profit and sustainability rules.
"(He) stated his view that profit & sustainability rules in the Championship in their current form are not fit for purpose..
"He will continue to advocate for a model, such as that of League One and League Two, where committed owners are able to contribute to football spend by putting in funds as equity. He firmly believes the rules in the second tier will change, but there are too many variables to predict whether this will be the case for the 2025/26 season."
While you're here, we have launched a new WhatsApp group to deliver the latest Stoke news directly to your phone. Click on this link, select 'Join Chat' and you're in. If for some reason you decide you no longer want to be in our community, you can leave at any time by clicking on the name at the top of your screen and clicking 'Exit Group', simple as that.
