PDR System Proposed to UEFA To Boost Payments For Non-Elite Clubs

‎On Monday, the Union of European Clubs proposed creating a financial system where UEFA would share 5% of its revenue from club competitions.

‎This share would be allocated to lower-ranked football clubs that develop elite players.

‎Last year, UEFA announced that the Champions League, Europa League, Conference League, and Super Cup would generate a total gross revenue of 4.4 billion euros for the 2024-25 season.

‎Five percent of this amount, equivalent to 220 million euros ($244.79 million), would be allocated accordingly.

‎Under the proposed ‘Player Development Reward’ (PDR) system, only clubs that did not advance to the league phase of the Champions League would be eligible for payments.

‎These payouts would be determined by the minutes played in UEFA competitions and the prize money earned by their players.

‎In a statement, the UEC, which represents non-elite professional clubs, said the PDR is “a pragmatic, merit-based approach to restoring fairness and balance in the football ecosystem…

‎”The concept has already been presented to the European Commission and to key stakeholders across football, receiving encouraging initial feedback,” it added.

‎”The core principle is clear: clubs that invest in player development should be fairly rewarded when those players contribute to the success of European competitions.”

‎The UEC added that nearly 1,500 clubs across Europe would have received PDR payments if the system had been in place last season, with over 400 clubs earning more than 100,000 euros.

‎UEFA has committed 7% of its revenue for the 2024-27 cycle to clubs not taking part in men’s continental competitions, but the UEC said UEFA’s system was “outdated and misaligned with the goals of sustainable football.”

‎”We acknowledge the proposal. The solidarity system was reviewed with stakeholders ECA and EL before the cycle’s start and is now in its first year of operation. The matter will be raised when the time is due,” a UEFA spokesperson said.

‎The Union of European Clubs (UEC) was founded in 2022 and operates separately from the European Club Association.

‎The ECA, led by Nasser Al-Khelaifi, states that it is the exclusive representative body for European clubs.

‎The European Club Association (ECA), which has a Memorandum of Understanding with UEFA valid until 2033, represents over 440 clubs across Europe.

‎However, it is largely dominated by the continent’s major teams.