Aston Villa in Discussions with UEFA over Financial Fair Play Breach

Aston Villa have entered into discussions with UEFA’s Club Financial Control Body (CFCB) to negotiate a financial settlement after being found in breach of the governing body’s squad cost ratio (SCR) regulations during the 2023–24 season.

Under UEFA rules, clubs participating in European competitions were required to limit spending on player wages and transfer fees to 80% of their total revenue during that period. That cap has since been reduced to 70% for the current season.

Villa’s recently published accounts for 2023–24 revealed total revenue of £257.7 million and a wage bill of £252 million. While UEFA’s SCR calculations exclude wages for non-football staff, The Guardian has been informed that the club’s player-related costs alone exceeded the 80% threshold last season, a campaign in which Villa reached the semi-finals of the Europa Conference League under manager Unai Emery.

Although the club has not publicly confirmed whether it is in breach of UEFA's regulations, its financial report included a statement indicating ongoing compliance with domestic rules: “We continue to operate within the Premier League’s Profit [sic] and Sustainability Rules.” Notably, there was no mention of UEFA’s SCR in the report.

Villa previously received a £52,000 fine from UEFA for the late submission of financial documents and now face the prospect of an additional penalty. The CFCB, which functions independently of UEFA’s executive leadership, is tasked with ensuring club compliance and facilitating corrective measures where necessary.

It is expected that Villa will be required to adhere to a formal spending plan, with the CFCB reserving the right to enforce more severe sanctions if the club fails to comply. Precedent cases include Roma, who were fined £1.75 million in 2023 for repeated violations, and Istanbul Basaksehir, who received a suspended one-year ban from European competition and were subjected to a player registration embargo.

While Aston Villa are not currently expected to face such severe sanctions, the CFCB is likely to mandate a reduction in the club’s wage bill. To remain within SCR limits this season, Villa may need to generate additional revenue—­potentially through player sales in the upcoming transfer window.

Last summer, Villa raised nearly £70 million through the sale of Douglas Luiz, Omari Kellyman, and Tim Iroegbunam in order to comply with the Premier League’s Profit and Sustainability Rules (PSR). The club also campaigned to increase the three-year loss allowance from £105 million to £135 million, though the proposal failed to gain sufficient support at the Premier League’s annual general meeting.

Elsewhere, Chelsea are also engaged in talks with the CFCB. Although the SCR did not apply to them last season due to their absence from European competition, the club is understood to have exceeded UEFA’s three-year loss limit of £170 million.

Under UEFA financial rules, revenue from asset sales to affiliated or sister companies cannot be counted toward compliance. Chelsea have recorded such sales twice in the past two financial years—­transferring two hotels and their women’s team to BlueCo 22 for a combined £275.2 million. Despite announcing profits of £128 million last week, the club appears to have recorded losses under UEFA's accounting standards.

Looking ahead, Chelsea are expected to meet SCR requirements should they qualify for European competition next season. The club’s owners have significantly reduced the wage bill from £404 million to £338 million. However, without European football, Chelsea’s 2023–24 revenue declined to £468.5 million.