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Chelsea likely to comply with FFP rules

The authoritative Swiss Ramble considers whether Chelsea's transfer spending will break financial fair play rules: https://swissramble.substack.com/p/will-chelseas-transfer-spend-break

Total transfer spend to date in 2022/23 of £372m (or £385m if £13m loan fees are included). Total expenditure would increase to a staggering £436m if £51m add-ons are included.

Perhaps surprisingly, the net result of Chelsea’s transfer activity over the last two seasons is actually positive, improving net profit by £107m.

Big spending is nothing new for Chelsea, who splashed out nearly a billion pounds on gross transfers in the five years up to 2020/21, which was joint highest in the Premier League alongside Manchester City, but far ahead of Manchester United £850m, Arsenal £676m and Liverpool £660m.

Chelsea will clearly have to be conscious of Financial Fair Play, but their big spending does not automatically mean that they will fall foul of the regulations, especially if they maintain their profitable player trading model (assisted by the accounting treatment of transfers).

As it stands, it looks like they will be compliant with the Premier League’s Profitability and Sustainability regulations, though they will have a few more challenges with UEFA’s FFP, due to the smaller losses allowed. However, even here, the new rules that will be implemented from 2023/24 will allow them more scope.

If they fail to qualify for the Champions League, then all bets are off.


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