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← Match programme № 16 · September 21, 2026

PREMIER LEAGUE

Football's new cap is highest for the richest

You hear "cap" and picture one line for everybody. This one is 85% of what each club earns. Manchester City gets £590m, Bournemouth £155m.

The primer

A Premier League club may now spend 85% of its own revenue on its squad. So every club has its own ceiling. You will see whose sits highest.

PublishedSeptember 21, 2026
Reading time5 min
Sources17 cited
DeskMatch programme
The dekThe old rule capped a loss. The new one caps a share.
— 01
THE MONEY

£6.8bn in. £4.4bn out.

How to read this — Follow a band from where the money starts to where it lands.

Matchday passed £1bn for the first time, and wages took £4.4bn of the £6.8bn.£m
Matchday Broadcast Commercial Football revenue Wages Everything elsethe clubs spendor keep 1,000 £m first time above £1bn 4,400 £m 65% of revenue 2,400 £m transfer fees and running the club 3,400 £m shared nearly equally 2,400 £m not shared between clubs

Matchday passed £1bn for the first time, and wages took £4.4bn of the £6.8bn.

In plain terms Money flows left to right. Each band is one route, and a thicker band carries more.Source · Deloitte Annual Review of Football Finance 2026 · 8 July 2026

— 02
WHAT A CAP SOUNDS LIKE

One rule, twenty different ceilings

Nearly two thirds of what the clubs earned from football went out as wages. So the new rule caps that spending as a share of what each club earns.

85% of 2024/25 revenue is about £590m at Manchester City and about £155m at Bournemouth. Both real ceilings are higher, because player-sale profit adds to the base.

You think

A spending cap is one line drawn above every club. Nobody may cross it.

Actually

85%of your own revenue

The line is drawn at 85% of each club's own revenue plus what it makes selling players, so there are twenty lines.

Same percentage, different revenue: Manchester City earned £694m, Bournemouth £182m.

85% of 2024/25 revenue is about £590m at Manchester City and about £155m at Bournemouth. Both real ceilings are higher, because player-sale profit adds to the base.

In plain terms Two panels: on the left what most people assume, on the right what the numbers show, with the one figure that settles it.Source · Premier League rules and The Swiss Ramble club accounts, 2024/25

— 03
THE VOCABULARY

Four terms, plainly

Think of two families told to spend at most 85% of what they earn. Same rule, different amounts.

Football revenue
Money a club earns from playing: broadcast, matchday and commercial income. Not owner money, not player sales.
Squad Cost Ratio
Squad spending (wages, agents' fees, transfer fees) as a share of revenue plus player-sale profit. Earn £100 that way, and £85 is your ceiling.
Amortisation
A transfer fee counted a slice at a time over the contract, not all at once.
PSR
The old rule: a club could lose at most £105m over three seasons, whatever its size.

Source · Premier League and The Swiss Ramble

— 04
WHERE IT COMES FROM

Bournemouth's money is the shared money

The ceiling depends on revenue, so where does it come from? Three streams, and the league shares only one.

How to read this — Each dot is one club. The closer it sits to a corner, the more of that club's money comes from that stream. The table below gives the exact shares, and pressing one picks it out.

Broadcast money, shared nearly equally by the league, is 81.5% of Bournemouth's income and 40.2% of Manchester City's, whose biggest stream is commercial at 49.0%. Shares are of the three named streams.

How to read this — Each dot is one club. The closer it sits to a corner, the more of that club's money comes from that stream. The table below gives the exact shares, and pressing one picks it out.

Bournemouth — 4% Matchday, 82% Broadcast, 15% Commercial. Most lopsided: 82% down Broadcast.

Every entity, its three shares, and where it leans
Team Matchday Broadcast Commercial Leans
Manchester City 11% 40% 49% Commercial
Liverpool 17% 38% 46% Commercial
Arsenal 22% 40% 38% Broadcast
Manchester United 24% 26% 50% Commercial
Aston Villa 10% 65% 25% Broadcast
West Ham 17% 58% 25% Broadcast
Bournemouth 4% 82% 15% Broadcast

Broadcast money, shared nearly equally by the league, is 81.5% of Bournemouth's income and 40.2% of Manchester City's, whose biggest stream is commercial at 49.0%. Shares are of the three named streams.

In plain terms A triangle, because the three shares must add to a hundred and only two are ever free. Each corner is all of one channel, the centre is an even split, and distance FROM a corner is how little that channel is used.Source · The Swiss Ramble, club accounts 2024/25

— 05
WHAT WAGES TAKE

Wages against revenue, seven clubs

So the smallest earner leans hardest on shared money. Now look at what wages alone take from each club.

Bournemouth spent 86.8% of revenue on wages. The league average was 65%.%
Premier League average, 2024/25 · 65
Bournemouth 86.8 Highest wage share. Smallest revenue.
West Ham 77.2
Aston Villa 72.2
Liverpool 60.9
Manchester City 58.8
Arsenal 50.3
Manchester United 46.9

Bournemouth spent 86.8% of revenue on wages. The league average was 65%.

In plain terms Each bar is one club, sorted longest first. The reference line is the league average. A longer bar means more income going out.Source · The Swiss Ramble and Deloitte · 2024/25

— 06
THE DENOMINATOR

The line falls as revenue rises

Wages are only part of a squad's cost, so add the transfer fees, spread over the contracts. Aston Villa already breaks UEFA's tighter 70% version, on The Swiss Ramble's reading.

How to read this — The fitted line slopes down, so clubs that earn more spend a smaller share. Dots high on the left are already spending more than they earn. The buttons switch the axes.

Each club's wages plus player amortisation, as a share of its 2024/25 revenue, from the accounts.

In plain terms Each dot is one club. Across is what it earned, and up is how much of that its squad cost. The rule's own measure also counts agents' fees and player-sale profit. So every official figure sits lower.Source · The Swiss Ramble, club accounts 2024/25, and UEFA

Each club's wages plus player amortisation, as a share of its 2024/25 revenue, from the accounts. Squad cost as a share of revenue (wages plus player amortisation)

How to read this — The fitted line slopes down, so clubs that earn more spend a smaller share. Dots high on the left are already spending more than they earn. The buttons switch the axes.

71.24 85.6 99.95 114.31 128.66 140.32 291.41 442.5 593.59 744.68 LiverpoolManchester CityAston VillaWest Ham Revenue, 2024/25 (£m) Squad cost as a share of revenue (wages plus player amortisation) Smallest revenue. Highest ratio. Same rule.
— 07
WHERE THE LOSSES CAME FROM

Wages barely moved. Losses grew sevenfold.

Those dots are already over the line, but the losses came from elsewhere. Aston Villa's £17m profit came from selling its women's team and property rights for £114m, not from football.

Wages went from 64% to 65% while losses rose sevenfold. The accountants Deloitte put much of the £812m rise down to decisions about selling players and club assets.
£948m
Pre-tax losses, 2024/25
Up from £135m the season before
65%
Wages as a share of revenue
It was 64% the season before
8
Clubs in operating profit
Thirteen managed it the year before
£6.8bn
Total revenue
A record, and up 8%

Wages went from 64% to 65% while losses rose sevenfold. The accountants Deloitte put much of the £812m rise down to decisions about selling players and club assets.

In plain terms The headline numbers from the story, each with its unit and a one-line note.Source · Deloitte Annual Review of Football Finance 2026 and The Swiss Ramble

— 08
HOW IT PASSED

The clubs voted this in themselves

Wages were not the problem, yet the new rule targets wages plus transfer fees. Here is how it arrived.

2024
Clubs agree to explore a hard cap
A vote to investigate, not to adopt
21 Nov 2025
Squad Cost Ratio approved. The hard cap fails
Shareholders backed one rule and not the other
The cap that would have narrowed the gap failed here.
8 Jul 2026
Deloitte counts £948m of losses
The season these rules answer
2026/27
The rule binds. PSR is gone
Fines first payable from 2027/28

A rule change needs fourteen of the twenty clubs, and this one got them.

In plain terms The key events in order down a rail, with coloured dots flagging the pivotal moments.Source · Premier League, Deloitte, The Swiss Ramble

— 09
AN AMOUNT, NOT A SHARE

The IPL draws one line for ten

Enough clubs chose a share of themselves. A cap can be an amount instead, and you have seen that at a cricket auction.

England
Premier League, from 2026/27
India
IPL, 2026
What the cap is
85% of the club's own football revenue
₹151 crore, with a ₹125 crore auction purse
Same number for everyone?
No. Twenty clubs, twenty ceilings
Yes. The same for all ten
When you earn more
Your ceiling rises with you
Nothing. The cap does not move

The IPL cap is one amount for all ten. At the 2026 auction one franchise had ₹2.75 crore left and another ₹64.3 crore.

Source · ESPNcricinfo, IPL 2026 auction

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Sources

17 cited.

Every number above traces to one of these. Primary sources first.

  1. 01 New Premier League financial system explained premierleague.com Premier League · primary
  2. 02 Premier League statement: New financial rules premierleague.com Premier League · primary
  3. 03 About the Premier League, governance and voting premierleague.com Premier League · primary
  4. 04 Annual Review of Football Finance 2026, Premier League clubs deloitte.com Deloitte · analysis
  5. 05 European football revenues surpass €40bn for the first time deloitte.com Deloitte · analysis
  6. 06 Manchester City Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  7. 07 Liverpool Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  8. 08 Arsenal Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  9. 09 Manchester United Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  10. 10 Aston Villa Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  11. 11 West Ham Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  12. 12 Bournemouth Finances 2024/25 swissramble.substack.com The Swiss Ramble · analysis
  13. 13 PSR Is Dead, Long Live SCR swissramble.substack.com The Swiss Ramble · analysis
  14. 14 A Spending Cap in the Premier League swissramble.substack.com The Swiss Ramble · analysis
  15. 15 IPL auction 2026 FAQs, when, where, who and how much espncricinfo.com ESPNcricinfo · secondary
  16. 16 IPL 2026 auction, KKR spend big, CSK break from tradition espncricinfo.com ESPNcricinfo · secondary
  17. 17 European Club Finance & Investment Landscape 2025 ecfil.uefa.com UEFA · primary
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