The Premier League’s clubs have agreed to retain the current Profit and Sustainability Rules (PSR) for at least another season, postponing the introduction of the proposed Squad Cost Rules (SCR).
At a meeting in London, clubs opted to continue discussions on the new financial regulations, citing a lack of readiness for immediate implementation. As a result, PSR, introduced in 2015-16 to curb excessive spending, will remain in force, restricting clubs to losses of no more than £105 million over a three-year cycle.
The proposed SCR would cap spending on wages, transfers, and agents’ fees at 85% of revenue, with an “anchoring” mechanism limiting clubs’ spending to five times the revenue of the league’s lowest-earning team. While SCR has been tested in a shadow framework this season, its full adoption will have to wait.
Manchester City, Newcastle United, and Aston Villa have criticized PSR for restricting investment, with City currently facing 115 charges of financial breaches, an independent commission’s verdict is expected next month.
