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United - Financial Fair Play?

United - Financial Fair Play?

With UEFA set to push through new financial rules, in 2012, concerns have been expressed as to how, in our current financial situation, whether Manchester United could run into difficulties.

The new rules stipulate that to ensure financial fair play, clubs will not be admitted to UEFA competitions unless their spending is less than their income.

If these rules were to be introduced immediately, clubs such as Manchester City, who reportedly announced a trading loss of £93 million last year, would not be eligible for the Champions League, if they`d have qualified.

Returning to United, concerns about servicing the debt complicating matters have been partially eliminated by a club spokesman commenting,

"We support the financial fair play measures. We are confident that we pass them."

However, whilst the forthcoming situation is going to open up a whole new can of worms, it promises to be an interesting can of worms especially when it comes to how our Spanish friends, in Madrid, are going to get around their far from thrifty spending habit.

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Writer:Red Boy
Date:Thursday May 27 2010
Time: 5:00PM

Comments

0
All I can say is that I'm happy with these rules,just spend what u have or else don't spend at all.These rules will also make all the big clubs to look at their academy,reserve players and will be encouraged to give these young players a chance rather than keep them as show pieces and then sell them.I never thought I'll applaud UEFA but credit must be given where its due.
Antriksh (abmtd)
27/05/2010 17:56:00
0
Add even Barca's name if u ask me,to buy Ibra for that amount plus give away Eto'o was a crime in my eyes.
Antriksh (abmtd)
27/05/2010 18:02:00
0
As good a rule it is, it won't go down well. I doubt the Champions League will be able to cut such big names such as Chelsea & Madrid among many and still have the same appeal. If it doesnt have the same appeal then there will be a huge money loss. Although i wouldn't be surprised if Real, even if they have lost substantial amounts of money, somehow got in through some twisted thought on the spot rule, no-one can deny how much differently foreign clubs are treated in comparison to our own.
TheFamousNo7
27/05/2010 18:07:00
0
Whilst madrid wont be able to go on £300m spending sprees - they make as much, if not more money than us and probably wont face the same pressure to repay their debts. This rule obviously benefits the big clubs like us because we have massive revenues. It also benefits clubs like spurs and arsenal who are well run - as it stops them being overtaken by clubs like city and chelsea who havent put in the groundwork like they have. Clubs like Hull, West Ham, Burnely etc wont like it - but in reality it will keep them in business. They will argue that it stops them growing but the truth is they are overspending just to stand still at the moment. This ruling will at least boost their chances of existing in 10 years time. The clubs who will feel really aggrieved are clubs like villa, everton and birmingham who might feel this will kill off any momentum they might have started to gain. If those clubs were allowed to invest beyond their means in the short term they could arguably reap the benefits in the long term - so this ruling will seem entirely unfair to them. City and Chelsea probably wont like it much either but who cares? I get the feeling this ruling is designed specifically to punish them - so if they dont like it UEFA will feel its mission accomplished. The next 2 or 3 windows will be really important for city. If they dont make the champions league in the next 2 seasons they wont be allowed to keep spending in order to make it happen. Of course, there will obviously be ways around it. Im sure city will end up signing a £100m per year sponsorship deal with some obscure middle eastern factory which is in fact bank rolled by their owners.
tuscan3000
27/05/2010 18:29:00
0
what's to stop a rich owner handing over an enormous sum for shirt sponsorship - that'd be classed as revenue then would it not!
merlin
27/05/2010 19:12:00
0
I think there will be a conflict if interest if the owner was to circuitously put money in. In the long run, this is a very good measure but if it does affect teams, there's a chance it'll affect the CL too...
elvido
27/05/2010 19:34:00
0
I'm sure they'll all be using back handed techniques to get around it. But when they get caught they'll probably be expelled from the champions league - so each club will have to decide whether its worth the risk.
tuscan3000
27/05/2010 23:57:00
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