Premier League clubs will no longer be able to sell assets like hotels and women’s teams to themselves to circumvent financial rules after they agreed to new regulations from next season.
It comes after clubs narrowly voted through a new system of Financial Fair Play (FFP) based on squad costs on Friday.
The clubs met in London to vote on three possible methods of replacing Profit and Sustainability Rules (PSR).
Squad Cost Ratio (SCR) got 14 votes in favour and six against, which is the minimum number that is required to exact a rule change.
Overall squad costs from the 2026-27 campaign will have to be limited to 85% of a club’s revenue, although teams competing in Europe will have to adhere to Uefa’s maximum of 70%.
Squad costs comprise player and manager wages, transfer fees and agents’ fees.
Most notably, while clubs will still be able to sell capital assets to themselves like hotels and women’s teams, they will not be able to do this as part of SCR from the 2026-27 season.
Last year Chelsea sold two hotels to a sister company to keep them compliant with PSR.
In July, Everton sold their women’s team to the parent company, while reports claim Aston Villa have agreed to do the same.
The assessment will only be based on a club’s total earnings from football operations.
Rules around sustainability, which set out a club’s financial spending plans over the medium and long term, were passed unanimously.
But anchoring, which would have placed a top limit on spending based on the money earned by the bottom club, failed to get the necessary support. Twelve voted against it, with seven in favour and one abstaining.
“The new SCR rules are intended to promote opportunity for all clubs to aspire to greater success and bring the league’s financial system close to Uefa’s existing SCR rules,” a Premier League statement read.
“The other key features of the league’s new system include transparent in-season monitoring and sanctions, protection against sporting underperformance, an ability to spend ahead of revenues, strengthened ability to invest off the pitch, and a reduction in complexity by focusing on football costs.”
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