Life after COVID: FFP rules reviewed
UEFA’s financial fair play regulations are set to undergo significant changes in light of the economic problems caused by the pandemic.
“COVID-19 has generated a revenue crisis and had a big impact on the liquidity of clubs,” said Andrea Traverso, director of research and financial stability for UEFA. “This is a crisis which is very different from anything we have had to tackle before. In such a situation obviously clubs are struggling; they have difficulties in complying with their obligations.”
As reported in The Guardian, Traverso explained that the current “break-even” rule looks back over a club’s finances to form an assessment, but “the pandemic represents such an abrupt change that looking to the past is becoming purposeless.”
“Maybe the rules should have a stronger focus on the present and the future, and should definitely have stronger focus on the challenges of high levels of wages and the transfer market.”
The future of FFP was thrown into doubt after CAS overthrew a Champions League ban for Manchester City last year, but UEFA have stood by the principle of the rules. Traverso added: “Those that are saying that the rules will be abandoned or relaxed are just speculating. Rules can be different, sure, but this does not necessarily mean that the rules will be less stringent.”