The Spanish Football League (LFP) and the National Sports Council (CSD) have jointly introduced new financial regulations for La Liga to follow from 2013-14.
Separate from UEFA’s own Financial Fair Play initiative, the LFP have today approved new regulations to be implemented from the start of next season.
In development since last year, the regulations have now been confirmed, with the aim to ‘contribute to the economic and financial sustainability of professional football, preventing situations of economic instability’.
Specifically, the LFP will now monitor each club’s budget for the season, setting an April 30 deadline for clubs to submit their financial details and then setting budget limits to cap spending.
Each club will have to provide information including: budget revenues and expenditures, budget funding, budget investments and divestments, cash budget and estimation of income and statements and balance projected on the previous season
Clubs will also be unable to register players signed if the League deems that they cannot afford them. Budgets and spending will be capped, specific to each club’s income levels - if the club can boost its income, it will see its cost capacity increased by the League.
“This represents a profound cultural change in Spanish football,” commented CSD President Miguel Cardenal.
“It is a tool that can serve to reverse the current situation and some of the most important problems facing Spanish football.”
LFP President Jose Luis Astiazaran [pictured, right] was in agreement: “It is a system that goes beyond UEFA Financial Fair Play, looking to establish a procedure to ensure the sustainability of the clubs in the short, medium and long term.
“It will also strengthen the equity of the clubs when football is becoming increasingly competitive.”