Chelsea at Risk of Missing Out on European Football Over Alleged Breach Of UEFA’s Financial Rules: Report – News18
Chelsea owner Todd Boehly (Credit: X)
It has already been speculated that any penalty is likely not going to impact Chelsea’s participation in this season’s Europa League campaign but will instead be applied next season.
Premier League giants Chelsea will likely face difficulties in meeting UEFA’s financial rules this season, reports state.
The Blues’ co-owner Todd Boehly is understood to have recently tried to offset some of their losses by selling two of Chelsea’s hotels to a sister company. The reported deal has an estimated worth of £76.5 million. Meanwhile, the women’s team was sold to the club’s parent company two days before the end of the financial year in June.
The Premier League permitted these financial manoeuvres due to certain loopholes. But now, The Times reported that UEFA will not allow European clubs to register income through selling assets this way.
| JUST IN: UEFA won’t allow clubs to declare income from sale of assets to sister companies… ❌This means Chelsea will face a major challenge meeting UEFA’s financial rules this season.
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Compared to the Premier League, UEFA have fairly stricter rules when it comes to financial regulations and player signings. The Premier League’s Profit and Sustainability rules permit clubs to lose a maximum of £105 million over three years. Whereas, UEFA’s ‘football earnings’ rule prescribes that a club should not lose more than £34.5 million across two football seasons.
Failing to comply with the aforementioned rules could be met with a wide array of sanctions. It may potentially lead to a club being excluded from European competition. But it has already been speculated that any penalty is likely not going to impact Chelsea’s participation in this season’s Europa League campaign but will instead be applied next season.
A similar scenario occurred in 2019 when AC Milan had to serve a one-year ban from European competition due to multiple financial breaches.
As for Chelsea, the London giants’ most recent accounts were published in April. In them, Todd Boehly reaffirmed that the club is in line to comply with the regulations set by UEFA.
Chelsea co-owners Boehly and Clearlake Capital have reportedly spent over £1 billion in transfer fees well before this summer transfer window swung open. Chelsea have reportedly raised capital by selling players like Conor Gallagher and Ian Maatsen but once again the Blues have spent well above what they acquired from the said sales.
On the other hand, Chelsea have also shelled out a huge chunk of cash to sign Pedro Neto and Joao Felix at Stamford Bridge.
