Premier League teams vote for five-year limit on transfer fee amortisation

Premier League teams have voted to limit the spreading of a player's transfer fee in their accounts to a five-year period. This new rule aligns the Premier League with UEFA, which implemented a similar five-year limit on transfer fee amortisation in the summer.
The decision received support from 15 clubs, including Chelsea, which had faced scrutiny for lengthy contracts in recent signings. The rule change, affecting new and extended contracts, will not be applied retroactively.
Previously, clubs could amortise the cost of a transfer over the entire duration of a contract, allowing them to sign players to long-term deals and spread out the financial impact.
UEFA, with distinct financial regulations from the Premier League, closed this loophole in the summer by implementing a five-year limit on transfer fee amortisation, regardless of contract length.
Both Premier League and UEFA legislation still allows contracts of any length, but the period for spreading a transfer fee in accounts is now limited to five years.