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Other SportsPremier League to change rules on associated party transactions

Premier League to change rules on associated party transactions

Premier League clubs have voted to implement tougher restrictions on associated party transactions, with Manchester City reportedly threatening legal action against the competition over the changes.

Transactions and sponsorship deals between Premier League clubs and associated parties have come under the spotlight in recent months.

The debate has partly been driven by fears that Newcastle United – who are owned by Saudi Arabia’s Public Investment Fund (PIF) – could do business on favourable terms with Saudi Pro League clubs controlled by the PIF.

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Clubs failed to vote in a ban on loan deals between associated clubs ahead of the January transfer window, with City, Burnley, Chelsea, Everton, Nottingham Forest, Sheffield United and Wolves joining Newcastle in voting against the proposal.

City are the flagship club of the City Football Group, and debates around multi-club ownership models have resurfaced this week after the Premier League champions reportedly agreed a deal to sign Brazilian wonderkid Savio.

The winger is contracted to Ligue 2 side Troyes but has excelled on loan at Girona this season. Both clubs are part of the City Football Group and the Premier League is set to investigate the deal.

In a statement released on Friday, the Premier League said: “Following a full review of the existing Associated Party Transactions Rules and Fair Market Value assessment protocols, clubs agreed to a series of amendments to further enhance the efficiency and accuracy of the system.”

The Premier League also reiterated its commitment to agreeing a new financial settlement with the English Football League [EFL], as well as saying positive talks had taken place regarding a new set of financial rules and revealing the details of an Environmental Sustainability Commitment agreed by clubs.

Widespread reports then claimed Premier League chief executive Richard Masters had informed clubs that one member was threatening legal action over the changes to associated party transaction rules.

That club is believed to be City, who are also being investigated over 115 alleged breaches of the Premier League’s financial rules across a nine-year period between 2009 and 2018.

Everton had already been deducted 10 points after being found guilty of breaching the competition’s Profit and Sustainability Rules before joining Nottingham Forest in being charged with another separate breach. The outcomes of those cases are set to be revealed in mid-April.

Masters recently revealed that a date for a hearing on City’s alleged breaches has been set, though he declined to say when it will take place.

Harry Carr
Harry Carr
Harry is a freelance sports journalist with experience of working for the Racing Post, Stats Perform, Opta Analyst and more, covering major events across all sports but holding a particular love for the beautiful game.
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