Financial Fair Play

[CentreLine]

As I understand it Clubs have three years, to season 2014-15, to break even without cash injections from wealthy owners. It has been suggested that, in order to be included, clubs were required to have submitted their first batch of accounts by 31 December 2011. If that is correct, where would that leave clubs that have not yet published their accounts? Is it simply the case that they are fined for late submission or are they now in default and unable to qualify for Europe year on year? I am thinking of course, not of Rangers, but our good neighbours hahahahearts.

http://www.goal.com/en-gb/news/2866/analysis/2011/05/11/2479628/what-is-financial-fair-play-and-how-will-uefa-enforce-it-on

[jgl07]

As I understand it Clubs have three years, to season 2014-15, to break even without cash injections from wealthy owners. It has been suggested that, in order to be included, clubs were required to have submitted their first batch of accounts by 31 December 2011. If that is correct, where would that leave clubs that have not yet published their accounts? Is it simply the case that they are fined for late submission or are they now in default and unable to qualify for Europe year on year? I am thinking of course, not of Rangers, but our good neighbours hahahahearts.

http://www.goal.com/en-gb/news/2866/analysis/2011/05/11/2479628/what-is-financial-fair-play-and-how-will-uefa-enforce-it-on

As I understand it, the first year to count towards FFP is 2011-2012. Therefore any accounts published in 2011 will only be used for comparative purposes, perhaps to see if the club is moving in the right diection.

It's a bit more complex than simply breaking even over three years.

Certain categories of expenditure are not included for purposes of FFP at least on a transitional basis:

1. Infrastructure developments of stadia and training facilities.

2. Wages and transfer fee amortization of players signed prior to May 2010

3. Wages of players that the club were actively trying to transfer.

Exclusion from European competitions would not be automatic and fines could be applied instead. The suggestion is that clubs moving in the right direction may not be heavily penalized.

The problem is that very few of the top clubs will find it easy to comply initially with FFP. There is little chance of the TV companies accepting too many clubs being excluded.

I suspect that you will not need FFP to disqualify Rangers and Hearts from European Football for next season. You have to publish audited accounts by the end of March!

[leithsansiro]

Can't help but feel that the Financial Fair Play rules are probably going to end up being a bit of a farce. Rich clubs will still be rich, and wealthy owners will simply top up funds in other "creative" ways. Man City's owners and the trigger happy Russian boy at Chelsea will simply take to bizarre new accountancy practices.

Oor Rod has believed in financial fair play for years. Pity few other chairman have...