UEFA on Thursday approved new licensing and “sustainability” regulations to replace its existing Financial Fair Play (FFP) rules, allowing European clubs to make bigger losses than before while bringing in caps on spending on wages and transfers.
As expected, European football’s governing body decided to overhaul the FFP rules that were introduced in 2010 in order to reduce spiralling club debts across the continent.
FFP’s limitations had been exposed by the emergence of state-held superpowers like Manchester City and Paris Saint-Germain, while huge losses incurred by the coronavirus pandemic left poorer clubs with little room for manoeuvre.
