New FFP regulations should not be that much of a problem for Inter Milan or AC Milan – but for Juventus it could be a different story.
This according to Italian news outlet Calcio e Finanza.
UEFA are reforming the Financial Fair Play regulations for teams in European football.
Arguably the biggest new addition will be the “squad cost ration” regulations.
Basically, European football’s governing body will be restricting the total amount the clubs spend relative to their revenues.
The target for UEFA is 70% for the squad cost ration. In other words, clubs will not be able to spend more than that percentage of their total revenues on squad costs.
Squad costs includes absolutely all spending associated with the squad of a team.
So in other words, it is not just transfer fees and wages. There are also agent commissions, bonuses, and so on.
New FFP Rules Shouldn’t Pose Major Problem For Inter & AC Milan – Different Story For Juventus
UEFA’s plan is to roll out the changes to the rules gradually.
So in the 2023-24 season, the squad cost ration that clubs must meet to fall within the regulations is 90%.
Then during the 2024-25 season, it will drop to 80%. And finally during the 2025-26 season, the squad cost ration that clubs must meet will fall to 70%.
That is the amount at which the rule will remain.
As Calcio e Finanza note, at the moment Juventus’s squad cost sits at around €407 million.
Meanwhile, for Inter that number is around €287 million. And for Milan it is even lower, €194 million.
The Bianconeri’s total revenues are around €483 million.
Meanwhile, the Nerazzurri’s sit at around €409 million, and the Rossoneri’s at around €400 million.
This means that Inter’s squad cost ratio for last season would be 70%. And Milan’s 48%.
Therefore, both clubs would fall within the allowable range even based on what UEFA aim to implement as their final goal.
On the other hand, for Juventus it would be around 85%. Therefore, the Bianconeri certainly still have work to do to comply with the new regulations,