FFP & Wage Restrictions For the Forthcoming Season in Layman's Terms?

[TractorBoys]

Can anyone explain in layman's terms the impact these restrictions will have for the upcoming season?

I know they are due to be relaxed and/or scrapped or replaced - but I'm happy to concede I know very little about the finer details & potential loopholes.

Speaking from an Ipswich standpoint I am aware that publicity has nothing to do with Ed Sheeran becoming our shirt sponsor - in the clubs words it would seem Ed has "significantly" overpaid the true market value of said sponsorship as an indirect way to boost the clubs turnover allowing us to spend more on player wages (which I believe will still be limited to 60% of turnover) - similar to Marcus Evans sponsoring us in the past.

I'm more concerned about the amount we're going to spend on transfer fees. Figures as high as £40m have been touted as our war chest which I do not believe for one second is true but I can see us spending £20m+. Irrespective of the total, is it as simple as exploiting loopholes by financing this via "gifts/directors loans" or are we on track to do a "QPR".

I have not factored in player sales to the above concerns which are likely to be substantial.

In simple terms - whether ethical or not are there ways around the spending caps or are we just rolling the dice by assuming they cannot be enforced?

 

[SF_]

Have Ipswich spent £20m in the last twenty transfer windows combined?

That sounds complete and utter bollocks

 

[TractorBoys]

Have Ipswich spent £20m in the last twenty transfer windows combined?

That sounds complete and utter bollocks

No, we haven't. But we've just been taken over by a multi-billion pension fund.

It wasn't really my point; we all know paper talk is tomorrow's fish and chip paper and the figures are likely way off - I'm more interested to get to grips with whether we're about to jump off a cliff!

Ipswich set to make another City-related appointed with arrival of Andy Costin

Andy Costin will become the fourth member of staff to swap Ashton Gate for Portman Road

www.bristolpost.co.uk

'The manager has to impose his will... we'll give him the resources to do that' - Detmer on Cook's transfer funds

New Ipswich Town owner Mark Detmer has insisted the Three Lions will give Paul Cook all the financial backing he needs to ‘impose his will’ on…

www.eadt.co.uk

 

[PuB]

The rules are bollocks, the chairman can just sign as many cheques as he likes (maybe sponsor his pen in the process).

It doesn’t stop owners putting money in, the chair can still pump in millions, just loans will not count when turnover is calculated.

 

[masi51]

No, we haven't. But we've just been taken over by a multi-billion pension fund.

It wasn't really my point; we all know paper talk is tomorrow's fish and chip paper and the figures are likely way off - I'm more interested to get to grips with whether we're about to jump off a cliff!

Ipswich set to make another City-related appointed with arrival of Andy Costin

Andy Costin will become the fourth member of staff to swap Ashton Gate for Portman Road

www.bristolpost.co.uk

'The manager has to impose his will... we'll give him the resources to do that' - Detmer on Cook's transfer funds

New Ipswich Town owner Mark Detmer has insisted the Three Lions will give Paul Cook all the financial backing he needs to ‘impose his will’ on…

www.eadt.co.uk

If, i had my pension in a trust or fund which then bought Ipswich town, or any other football club. I would be reinvesting elsewhere.

 

[PuB]

If, i had my pension in a trust or fund which then bought Ipswich town, or any other football club. I would be reinvesting elsewhere.

On this rare occasion I agree with you, football has become nothing less than a money pit unless you’re one of the ‘big six’.

 

[Luke Imp]

I'm pretty sure that the PL/EFL changed their rules on sponsorships a fair few years ago to ensure that owners/shareholders/companies couldn't overpay sponsorship agreements to get around any FFP and are checked against market values (similar to how Man City got caught out with UEFA).

From memory, Posh also got caught out when in the first handful of seasons, which part prompted the change in the EFL.

 

[Kenneth E End]

My first question is why a multi billion £ pension fund is interested in a L1 club. (Not a dig, what is the benefit?). And why would they want to spend £20m+ on players at this level?
My understanding per the above is that owners can just pump money in as equity and capital contributions, which is obviously far better than loans (see Darlington) as there is no guarantee of return... which is why I’m curious what’s in it for a pension fund.
For comparison, since LTFC2020 took over in January 2008, Luton are minus £15m not including contributions for the stadium project.

 

[THE LAST WALTZ]

I guess they see Ipswich as a club that has the potential to get to the promised land and the obscene riches on offer there.
If they do that they are quids in.
If they don’t and they get bored…………..