FFP proposal tabled after ‘hugely damaging’ fear as Man United claim £20m win over Newcastle

Premier League teams will debate a plan that would allow teams like Aston Villa to increase their spending after Newcastle United’s pitiful coefficient payment for participating in the Champions League was revealed.

Naturally, Newcastle placed among the top four teams the previous campaign, but despite Manchester United’s elimination from the Champions League group stages, the Magpies had a much lower coefficient than the Red Devils.

This is due to the fact that the amount is given out based on the outcomes of UEFA competitions during the previous ten years.

Newcastle had almost no coefficient after 10 years away from Europe. They are currently ranked lower in the UEFA rankings than teams like Royal Antwerp, Union Berlin, Midtjylland, Ludogorets, CFR Cluj, and Bodo/Glimt. Because of this, Newcastle will get a coefficient payment that is around £20 million less than that of Manchester United.

The revised value (35%) figure represents a 10% decrease from the initial combined market pool and coefficient payments, which is how Champions League prize money is now distributed. But Europe’s top clubs will still profit from a record high coefficient.

In light of this, the Times reports that Crystal Palace has presented a proposal ahead of next week’s Premier League annual general meeting, which would permit teams such as Aston Villa to deduct the coefficient funding difference from their own club from the top European team from allowable losses in profit and sustainability calculations. For Villa, who have advocated that the PSR limit should be lifted and have made their way back to the top table in Europe for the first time since 1983, that could translate into an additional £20-£30 million in permissible losses.

So why have Crystal Palace tabled it? Well it is worth noting that chairman Steve Parish previously spoke about how five and 10-year coefficients are the ‘beginning of the straw that starts to look like it might break the camel’s back and build in a permanence that then we can never challenge, which would be hugely damaging’.

“It’s almost impossible to qualify for Europe if you’re outside of one of those coefficiently fortunate clubs who managed to find ways to create rules that make it more and more difficult for us to aspirationally succeed,” he said at the launch of the Union of European Clubs last year.

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