Premier League Squad-Cost Ratio System Explained: Ask Me Anything with BBC Sport
The Premier League has introduced a squad-cost ratio system for financial control this season. This system allows clubs to spend a percentage of their total revenues on squad-related costs, similar to the SCR used by Uefa for European competitions, which is set at 70%. Premier League clubs in Europe will also be capped at 70% to align with Uefa rules, while clubs not in Europe will have an 85% cap to ensure they can still invest. Additionally, a top-to-bottom anchoring model is being trialled to limit the amount any club can spend based on the income of the league's bottom side. If adopted, these rules would replace the current profit and sustainability rules (PSR) starting from the 2026-27 season.
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