Premier League shareholders have officially endorsed a new regulation imposing a maximum limit of five years on player contracts, as revealed in a statement released on Tuesday.
The league’s decision aims to curtail the practice of clubs offering longer-term contracts, often exceeding five years, to manage the financial implications of player transfers over an extended period.
This approach has been employed by clubs to align with Financial Fair Play regulations, with Chelsea notably utilizing this strategy.
The change, approved during a shareholders’ meeting, is not retroactive and will not impact player contracts that have already been signed.
The league, in its statement on Tuesday clarified, “Premier League Shareholders today agreed to amend the rule on amortisation of player registration costs to bring in line with UEFA’s regulations. Going forward, a five-year maximum will apply to all new or extended player contracts.”
