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Vassiliou welcomes Premier League reforms to curb excessive spending
The European Commission has welcomed new reforms agreed by the UK's
Premier League aimed at reducing excessive wage bills and huge losses.
"The Premier League's decision to introduce new financial regulations
in order to improve the financial sustainability of its clubs is definitely a
move in the right direction.
It follows the same principle as UEFA's Financial Fair Play initiative
and will secure long-term viability that can only benefit the league, the clubs,
the fans and the game," said Androulla Vassiliou, the European Commissioner
responsible for sport.
The new rules, agreed in principle by the 20 clubs in the Premier
League, mean that from next season Premier League clubs will not be allowed to
make a total loss of more than £105 million (€ 125 million) over the next three
Teams that break the rules could face a deduction in points.
The Premier League includes some of the wealthiest clubs in world
football including Manchester United, Chelsea and Manchester City.
The decision by the Premier League clubs was announced on the same day
as the European Commission published a study calling for changes to
international rules on transfer fees.
It recommends that FIFA and national football associations’ rules
should ensure stronger controls over financial transactions and for the
introduction of a fair-play levy on transfer fees, beyond an amount to be agreed
by the sport's governing bodies and clubs, to encourage a fairer redistribution
of funds from rich to less wealthy clubs.