Current UEFA general secretary Aleksander Ceferin is making a robust statement about his intentions to hold teams accountable under Financial Fair Play.
In the wake of reports from Football Leaks, published through Der Spiegel, alleging that both Manchester City and Paris Saint-Germain had overvalued sponsorships to get around FFP rules, Ceferin told the BBC that the same type of corporate actions may not continue under his watch.
[READ: Ceferin says European Super League is “fiction”]
“I don’t want to speak about Man City or PSG but for any club the rules have to be strong and clear,” Ceferin said. “We will act by the book, by the regulations. We know that we have to modernize. We know we have to check the rules and regulations all the time. We know that the situation in the football market is changing all the time. So that’s also part of our thinking for the future – do we have to do something about the regulations to be more robust? Yes.”
The new Football Leaks allegations aren’t exactly breaking news. UEFA ruled in 2014 that Man City had broken FFP rules, eventually settling with the club for around $63 million in today’s dollars, the same price Man City soon paid Liverpool for Raheem Sterling. The settlement helped Man City avoid being barred from the UEFA Champions League as well as help avoid UEFA losing key sponsorships and advertising revenue with one of the big clubs out of the spotlight.
FFP is a double-edged sword for UEFA. It was instituted by former UEFA president Michel Platini as a way to curb overspending and keep clubs from spending so much they became insolvent – look at Rangers or Valencia, for example. However, the way the rules were implemented, it almost forced the status quo to remain the same, just as billionaires from the Middle East and Asia were prepared to pump billions into their clubs, without having to worry about debts.
In order for PSG and Man City to become giants, the clubs needed to invest massively, and while both teams may have broken FFP rules, if they’re operating within their means, it should be allowed. Ceferin’s statement is bold, but it’s one that he’ll have to back up with action if a big club breaks FFP rules again. Is UEFA willing to jeopardize advertising revenue to keep the likes of Man City, or Barcelona or PSG out? We’ll see.