England’s football regulator to recommend tighter spending controls — The Guardian

England’s Independent Football Regulator (IFR) plans to recommend that clubs introduce tighter spending controls. The proposals are set to be included in a 250-page draft State of the Game report scheduled for publication on Tuesday, The Guardian reports.

Losses at most clubs

The draft document states that 94% of 116 leading clubs in English men’s football are operating at a loss. The IFR also plans to provide recommendations to the regulator and clubs on improving the industry’s financial sustainability.

An eight-week public consultation is expected to begin after the draft is published this week. The final version of State of the Game is expected in spring. IFR chair David Kogan and the organisation’s chief executive Richard Monks are expected to provide more details at a press conference in Manchester on Tuesday.

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Negotiations between the leagues

English Football League (EFL) clubs hope that the regulator’s findings will add weight to their negotiations with the Premier League over a new financial settlement. The Premier League has offered the EFL a deal worth £180 million a year for 10 years, while the EFL is seeking £207 million annually and the option to review the arrangement after five years.

The EFL has also proposed creating a new fund for clubs experiencing financial difficulties. The IFR has the power to set the terms of a settlement between the leagues if they cannot reach an agreement themselves.