The Premier League plans to introduce points deduction for serious spending breaches, which could be in place for next season.
According to a report in The Guardian, a fixed tariff would be imposed on teams for overspending under the draft proposal for squad cost ratio (SCR) system, which was shared with the clubs during a shareholders’ meeting.
Any club which breaches the SCR by 30% will be hit with a six-point penalty, while extra points could be deducted depending on more serious breaches of the spending cap.
The new system is proposed to limit spending on transfers, player wages and agent fees to 85% of a club’s revenue. Lesser breaches would be punished by financial penalties proportionate to the amount overspent.
Published on Sep 27, 2025
