Championship clubs agreed to amend their Financial Fair Play rules (FFP) at an EGM at Derby County this morning. The rules will in future be known as the Profitability and Sustainability regulations and the Football League say they have been brought into line with those used by the Premier League.

A Football League statement outlined the changes which were agreed by the required three-quarters of the division's 24 clubs: “From the beginning of the 2016/17 season, Championship clubs will have their financial performance continuously monitored over a three-season timeframe and will be permitted to lose up to £15 million during that period without having to be prescriptive over how that loss will be funded.

“In addition, they will be permitted to lose more than £15 million, but not more than an aggregate of £39 million (compared to an equivalent figure of £105 million in the Premier League) but will be subject to additional regulation when doing so.

“This will include providing evidence of Secure Owner Funding and Future Financial Information for the two seasons ahead.

“A club that moves between the Premier League and Championship will be assessed in accordance with the average allowance that is permitted in the relevant division (for example, a club that had played two seasons in the Championship and one in the Premier League would have a maximum permitted loss of £61 million - consisting of one season at £35 million and two at £13 million).”

For the period up to 2016/17, the clubs have agreed transitional arrangements with sides due to present their accounts for last season to the Football League at the start of December with those who have transgressed set to face transfer embargoes unless they have been promoted to the Premier League, in which case they face heavy fines.

The statement continues: “The existing Championship FFP framework will remain in place for the 2014/15 and 2015/16 seasons.

“Any sanctions for accounts relating to the 2013/14 season will continue to take effect as intended (and in accordance with the amounts specified at the time).

“The maximum deviation under the regulations will remain at £6 million for 2014/15 and will increase to £13 million in 2015/16, in line with the maximum loss (£39 million over three seasons) permitted under the new rules.”

The statement adds: “Following the Championship’s decision, the board of the Football League has been given a mandate by its clubs to complete a new financial solidarity arrangement with the Premier League in accordance with that currently under discussion between the two leagues.”

Speaking in September, Town managing director Ian Milne, who represented the club at today's meeting, said the Blues’ accounts for 2013/14 will show losses within FFP parameters: “We’re going to be just in, which I think is important to say.

“It’s not that we’re going to be well in because I’m sure fans will say we haven’t spent enough, but we’re going to be just in.”

Photo: Action Images

MaySixth added 14:31 - Nov 6 Will QPR, Leicester etc get fined considering they have clearly broken the old agreement?
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Marcus_Evans added 14:38 - Nov 6 Good news. Current rules stay in place for 2 seasons so 12 clubs likely to be under an embargo this January and QPR and Leicester facing huge fines still. Good work!
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PhilTWTD added 14:41 - Nov 6 MaySixth “Any sanctions for accounts relating to the 2013/14 season will continue to take effect as intended (and in accordance with the amounts specified at the time)."
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grf1g08 added 14:45 - Nov 6 I am glad that they haven't backtracked over the punishments for rules already in place which it seem that Ipswich have been trying to adhere to. I'm not totally clear how losing £13 million a year is sustainable though, maybe for clubs gambling to try and get promoted, but that won't work for everyone.
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Monkey_Blue added 14:48 - Nov 6 Phil.. do we know where the money from fines go? I think that money should be equally split between the clubs that didn't break the rules in that period and be counted as additional income against their next FFP compliance.
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PhilTWTD added 14:51 - Nov 6 Monkey_Blue Think something along those lines was the original plan but it's now going to go to charity.
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FrankfurtBlue added 14:59 - Nov 6 Another step towards Premier League 2 anyone?
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Marshalls_Mullet added 15:56 - Nov 6 Sounds like FFP scrapped to me?!
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dubblue added 15:57 - Nov 6 I think the idea is not to make a killing through fines but use the threat of a fine to ensure clubs behave - that is the theory of regulation! It is a bit worrying that a club like Town who have paid virtually nothing in transfer fees are just within the £13m or is it £15m limit? Where can we see how the losses are made up? I assume it is paying back debt rather than high non debt running costs such as salaries etc.

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Bergholtblue added 16:16 - Nov 6 Dubblue we not have paid much in transfer fees but there are still agents fees and signing on fees to pay for. When declaring that so and so came on a free these don't seem to get mentioned.
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BergholtBru added 16:23 - Nov 6 Should be OK for us, but of course we won`t be in the Championship then.
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Popeye added 16:38 - Nov 6 Just when i thought i'd got my head around the existing FFP rules they've gone and changed them so now i don't understand it again!!!
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Marcus_Evans added 17:10 - Nov 6 Dubblue - it is an £8m limit this year, which we are just within
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cromwellblue added 17:29 - Nov 6 Until we actually see clubs punished as per these guidelines I remain sceptical. Clearly a lot of clubs are breaching but we have yet to see any real action taken.
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carsey added 17:30 - Nov 6 I'm with Popeye - can anyone out there who understands this explain to me in simple terms what this means and can the Football League fine QPR and others when they get relegated for previous abuses of the system.
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RaymondovicBlue added 18:12 - Nov 6 Does this mean that (A) THIS SEASON : Clubs that have overspent will be fined (B) NEXT SEASONS onwards we will be able to spend more of Marcus' Money without sanction assuming he has it and he wants to spend more. So - from NEXT SEASON onwards if we are told we cannot sign players on a fee it will NOT be because of fair play rules - but simply because ME has already invested up to the max that he wants to. But other posters are right - it is GREAT that our first team cost only £10,000 in transfer fees - but we also pay wages and signing on fees + agents fees. The less we pay to other clubs in fees the more we can spend on the players themselves in wages . I THINK that (assuming ME has some money to spend) it will be good for us - closing the gap between clubs with a rich owner and the clubs with ridiculously large advantage with parachute payments from TPL. It will - however - increase the gap between clubs with a rich owner and those who are more self-sufficient. NOTHING IS TOTALLY FAIR TO EVERYONE, sadly, but this should suit us if Marcus wants to spend !

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suffolkpunch_84 added 18:45 - Nov 6 Seems like Championship clubs are saying with this that the FFP rules are too stringent, which suggests we will see many present accounts which are in breach next month. Interesting to know if ITFC voted to go with new rules, as we are currently said to be within an FFP model, I think not. Will transfer embargoes on championship clubs who fail FFP be punishment to fit the advantage they have perhaps gained (accepting not all big transfers work out)? I don't think so...

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clive_baker added 19:35 - Nov 6 I'm not sure I agree that a club, punished for not operating in a sustainable way, are prevented from selling players due to a transfer embargo. Stop them buying certainly, but surely if a club like Blackburn for example were serious about improving their financial position then they should be selling the likes of Rhodes etc.
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SouperJim added 22:10 - Nov 6 So in short the current rules for FFP are being heavily watered down. Seems like a massive step backwards to me.
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GiveusaWave added 00:55 - Nov 7 Is there any clear information online as to how this might impact on different clubs in the Championship?
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footyblue added 04:40 - Nov 7 I agree with the ffp but not in handing out fines because those clubs with money it doesn't matter to them but a points deduction system would be a better deterrent because It could cost teams promotion and would therefore be fair punishment
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wkj added 10:27 - Nov 7 FFP Has been a massive waste, it seems more bark than bite. I for one do not support a restriction on private investment; in my opinion if you have a chairman who can and wants to invest private equity, then so be it. If anything would work better it would be good to look from the American sports and would support a cap on TEAM wages, no one want's to see a team go under, however the rules just weren't ever realistic because despite the good job McCarthy has done on a shoestring, we will only just meet the goal by the sounds of it, and this further creates a gulf between the premier league and those below.

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