Financial Fair Play: UEFA Hits Five Major Clubs With Fines

‎On Friday, UEFA fined Chelsea €20 million ($23.6 million) for violating financial monitoring regulations, while Barcelona was ordered to pay €15 million ($17.7 million).

‎Both clubs risk facing larger fines in upcoming seasons if they fail to meet the financial targets established by UEFA.

‎Chelsea has been under investigation regarding the sale of two hotels between subsidiaries of Chelsea’s parent company, BlueCo 22 Ltd, totaling £76.5 million ($104.4 million).

‎The west London club’s fine matches the record €20m ($23.6m) sanction imposed in 2014 on Manchester City and Paris Saint-Germain by UEFA. Those constituted the first round of penalties in the system then called financial fair play.

‎In other investigations concluded on Friday, UEFA imposed a €12.5 million ($14.7 million) fine on French club Lyon, which is experiencing financial difficulties.

‎Future fines will depend on whether the club meets certain financial targets.

‎Lyon, owned by American businessman John Textor, is set to appeal next week against potential demotion from Ligue 1 due to its financial struggles.

‎Additionally, the club could still face exclusion from the Europa League next season by UEFA.

‎UEFA Statements On The Fines

‎A statement from UEFA read, “HNK Hajduk Split, Aston Villa FC, Chelsea FC, FC Barcelona and Olympique Lyonnais agreed to settlement agreements with the CFCB which cover either a 2-year, 3-year or 4-year period.

‎“The duration of each settlement agreement is dependent on the clubs’ ability to comply with the Regulations within a specified timeline. Clubs’ final target is to be fully compliant with the football earnings rule by the end of the settlement period (i.e., in the 2026/27 season for 2 years, in the 2027/28 season for 3 years, in the 2028/29 season for 4 years).

‎“All clubs agreed to pay a fine (conditional and unconditional), the level of which is based on the size of the assessed breach. The settlement agreements covering 4 years further take into account the financial result forecasted for the financial year ending in 2025.”

‎The statement continued, “All clubs further agreed to be subject to a restriction on the registration of new players on their List A for UEFA club competitions. Such a measure could be conditional, unconditional, or both, and covers one or more seasons depending on the length of the settlement.

‎“Moreover, all clubs agreed to reach intermediate annual targets, and to the application of conditional financial and sporting measures should these targets not be met (i.e. stricter restriction on the registration of new players on the list A and exclusion from the next UEFA club competitions for which they will qualify).

‎“The CFCB First Chamber found that Aston Villa FC (ENG), Chelsea FC (ENG), Panathinaikos FC (GRE), and Beşiktaş JK (TUR) breached the squad cost rule, having reported a squad cost ratio above 80% for 2024 (transitional threshold set for 2024).

‎“All the abovementioned clubs reported a squad cost ratio between 80% and 90% and were imposed an unconditional fine (as foreseen in the Regulations), the level of which is proportionate to the size of the club’s squad cost excess.”

‎UEFA said the analysis covered the financial years ending in 2023 and 2024.