15 Jun 2009Football League clubs agree to transfer debt proposal

Football Clubs News | Football Finance News

Clubs in the Football League have voted in favour of a transfer embargo being placed on those currently with outstanding debts to pay.

At a recent AGM of the Football League, the new regulations were ironed out, with clubs taking the decision to ensure that they are able to make payments to Her Majesty's Revenue & Customs.

League chairman Lord Mawhinney highlighted that a change needs to take place within the culture of football to promote the need to pay off debts rather than deliberately adding to them or letting them build up.

He said: "This new regime will provide us with an early warning system where clubs are facing financial problems.

"It is only right we do not permit clubs that are unable to meet the costs associated with their existing playing staff to make further new player commitments."

Furthermore, a proposal from Derby County was also voted in favour of at the meeting, which will see Football League clubs able to name seven, instead of five, substitutes in their matchday squads, although the number allowed to come on will still be limited to three.

The first time that substitutes were allowed in English league matches was in the 1965-66 season, with each team allowed to introduce one substitute per game.

Written by Paul Roberts

© Copyright