well, not a Cardiff thread but is finance so for anyone thats interested. The league 1 financial rules...
In EFL League One, clubs are subject to the
Salary Cost Management Protocol (SCMP), which limits the amount they can spend on player wages and related costs. Specifically, clubs can spend no more than 60% of their turnover on these player-related expenses. Additionally, from the 2025-26 season, investment from owners will also be subject to these restrictions, with a portion of any investment above £500,000 also restricted to 60% of that amount for player-related spending.
Here's a more detailed breakdown:
SCMP:
This is the Financial Fair Play framework for League One and League Two clubs, outlining how much they can spend on player-related costs.
Turnover Limit:
League One clubs can spend a maximum of 60% of their turnover on wages, transfer fees, and other player-related expenses.
Owner Investment:
From the 2025-26 season, clubs will only be able to spend a proportion of any owner investment over £500,000 on player wages and transfer fees, with a limit of 60% in League One.
Additional Income:
Only 60% of extra football income, such as cup earnings or transfer fees received, can be spent on player-related expenditure in League One.
Financial Fair Play:
The SCMP is part of the EFL's Financial Fair Play regulations aimed at controlling clubs' financial losses.
Scrutiny:
Any club that forecasts a wage spend within 5% of the SCMP limit will be scrutinised more closely.
Purpose:
The changes to the rules aim to reduce financial losses that some clubs in the third and fourth tiers make.