Connect with us

Manchester United

Man United set to clash with Premier League over PSR

Manchester United will fight the Premier League over proposed changes to the controversial Profit & Sustainability Rules (PSR), according to the Guardian.

The club’s part-owners, INEOS, are vehemently opposed to the ‘anchoring’ system, where a team’s spending is linked to the league’s lowest earner.

Anchoring aims to create a more even playing field by limiting the financial gap between rich and poor clubs. 

For example, a proposal last year suggested capping wages at four or five times the television revenue received by the bottom club.

Southampton received £103.6 million in television revenues last year. Under the anchoring system, United might be able to spend anywhere between £414-517.5m on wages.

While that looks like a respectable figure, United have the highest wage bill in the league. The wage peg can limit United’s ability to sign some of the top players in Europe.

Anchoring will restrict United’s ability to invest in players, facilities and overall growth. It can hinder competitiveness against European giants with no such spending caps.

United believe these restrictions will hinder the growth of top teams. They argue that improving investment opportunities for mid-table clubs will be a better solution to boost competition.

The Premier League is revising its financial rules after a turbulent season. The league issued points deductions as punishment for breaching existing regulations, with Everton and Nottingham Forest the first victims.

However, they are now considering making changes after major backlash. Fans and pundits have criticised the uncertainty the rules have created as affected clubs appeal the punishment. 

Anchoring will be a hot topic at a Premier League shareholders’ meeting next week, but a decision is not expected until June.

Clubs agreed to limit spending on players to a percentage of revenue last month, similar to UEFA’s new financial regulations for European competitions.

These squad cost controls can coexist with anchoring, and the Premier League could start a test run next season before it comes into force from the 2025/26 campaign.

Latest News

Topics