Salary cap 2020/2021

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slappy
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Salary cap 2020/2021

Post by slappy »

https://www.portsmouth.co.uk/sport/foot ... ke-2884567

I wonder when this will be discussed.
Dr Bob
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Re: Salary cap 2020/2021

Post by Dr Bob »

Including how to define "squad" if a limit of 20 is put in place.
slappy
Grumpy old git
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Re: Salary cap 2020/2021

Post by slappy »

Vote set for 6 August
https://www.footballtransfertavern.com/ ... -cap-vote/

Some fair comments that it (a cap of £2.5M) is too low for some and too high for other teams, and Robbo has said it leaves anyone promoted to the Championship sitting ducks if their cap is £16.5M.

Also as the article says, how can clubs start signing players if they don't know what the limit is yet?
OtmoorYellow
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Re: Salary cap 2020/2021

Post by OtmoorYellow »

I don't see how a flat player wage cap can work.

A wage cap is essential across football, to maintain stability in clubs, but It needs to be on a proportion of defined turnover.

By defined turnover, I mean ticket sales, sponsorship, catering, marketing and commercial sales, merchandise, concessions income, rental income and donations (including donations from shareholders/stakeholders). Player and asset sales should be excluded, as should non taxable income such as loans, share issues, and anything else that we accountants regard as capital transactions.

If the EFL then look at the accounts of all clubs, they should be able to identify a proportion of the defined turnover that would prevent clubs running significant losses.

A further rule should be introduced such that over a given cycle, perhaps a 5 year running cycle, all clubs must run at break even, to prevent build up of losses.
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