Home Football Uefa Alters Guidelines Pertaining to Long-Term Contracts, Capping Transfer Fee Allocation to Five Years Maximum

Uefa Alters Guidelines Pertaining to Long-Term Contracts, Capping Transfer Fee Allocation to Five Years Maximum

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Mykhailo Mudryk was introduced as a substitute for Chelsea in their Saturday game against Liverpool.

Uefa has officially stated that a transfer fee can now only be apportioned over a player’s first five-year contract term.

The forthcoming regulation, effective as of July 1, comes in response to Chelsea’s recent trend of securing players with extended contract durations.

Several players have been roped into such contracts, with Enzo Fernandez and Mykhailo Mudryk being noteworthy examples, both signed to eight-and-a-half year contracts earlier in January.

However, these new regulations will not apply retroactively to past transfers.

In the past, longer contracts implied lesser annual payments, thereby reducing the annual financial burden on the club’s books. Therefore, the £89m acquisition of Mudryk would equate to an annual cost of £11m over his contract duration.

While clubs can still present longer-term contracts under the rules of their national associations, they can no longer extend the transfer fee payments beyond the initial five years.

They are permitted to spread costs over the term of a contract extension, but this extension also cannot surpass five years.

Uefa expressed that these updated guidelines will “promote fair treatment among all clubs and bolster financial sustainability”.

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Frequently Asked Questions (FAQs) about ​

What changes has UEFA made to the rules about transfer fees?

UEFA has stipulated that a transfer fee can only be spread over a maximum of five years of a player’s initial contract.

When will the new transfer fee rules come into effect?

The new regulation that limits the spread of transfer fees to a maximum of five years of a player’s initial contract will come into effect on 1 July.

How do the new rules affect long-term contracts like the one Chelsea had with Mudryk?

Under the new rules, while clubs like Chelsea can still offer longer-term contracts, they cannot extend the transfer fee payments beyond the first five years.

Will the new transfer fee rules apply to past transfers?

No, the new rules regarding transfer fees will not apply retroactively to previous transfers.

What is UEFA’s rationale behind these new rules?

UEFA has stated that the new rules aim to ensure equal treatment of all clubs and improve financial sustainability in football.

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10 comments

PremierGuru June 29, 2023 - 4:31 am

Doesn’t affect old contracts tho, so its not all bad. Still, future’s gonna be different.

Reply
RedCardRandy June 29, 2023 - 11:19 am

about time! tired of big clubs just buying their way to the top… let’s see some real competition now!

Reply
FairPlayAdvocate June 29, 2023 - 3:36 pm

This is a great move for financial sustainability. Clubs have to be more strategic now. Good job, Uefa!

Reply
FootballFan101 June 29, 2023 - 4:21 pm

Wow, this is huge! Clubs can’t just throw money around now. Uefa finally stepping up. This’ll shake things up for sure.

Reply
ChelseaFanatic June 29, 2023 - 10:57 pm

Are you kidding me? After we just sign Mudryk for 8.5 years? This ain’t right…

Reply
FootballFan101 June 30, 2023 - 10:39 am

Wow, this is huge! Clubs can’t just throw money around now. Uefa finally stepping up. This’ll shake things up for sure.

Reply
PremierGuru June 30, 2023 - 3:46 pm

Doesn’t affect old contracts tho, so its not all bad. Still, future’s gonna be different.

Reply
FairPlayAdvocate June 30, 2023 - 10:56 pm

This is a great move for financial sustainability. Clubs have to be more strategic now. Good job, Uefa!

Reply
ChelseaFanatic July 1, 2023 - 12:58 am

Are you kidding me? After we just sign Mudryk for 8.5 years? This ain’t right…

Reply
RedCardRandy July 1, 2023 - 9:03 am

about time! tired of big clubs just buying their way to the top… let’s see some real competition now!

Reply

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