La Liga is set to implement significant financial changes, allowing clubs greater flexibility in issuing shares and adjusting Covid-19 repayment policies, per MD.
In terms of share issuance, the division of capital increases over five years will grant clubs more immediate access to funds. Previously, this division spanned four years, limiting clubs to utilising only 25% of the operation for player-related expenses. Now, with the extended period, they could use up to 50%.
Additionally, a shift in Covid-19 repayment policies allows clubs to extend the repayment period beyond the initial five years. Each club will have a maximum repayment amount based on their salary limit, providing more financial leeway for salary limits once that cap is reached.
These changes follow La Liga’s finances compared to other major European leagues, prompting a reassessment of rules to enhance spending capabilities. Even excluding the Premier League: Serie A, Bundesliga and Ligue 1 all surpassed or nearly doubled La Liga’s expenditure of €453m last summer, resulting in the league achieving a net profit of approximately 30% over its spending.
Jake Staniland | GSFN