Liam Keen analysis: Wolves & Aston Villa have both faced PSR battles - but things look set to change
The Premier League’s profit and sustainability rules have dominated headlines but are now set to be scrapped.
Wolves and Villa have both faced their battles with PSR, more commonly known by its former name FFP, with the former forced into a summer of sales in 2023 to ensure they did not breach the rules.
The current regulations state that a club cannot make more than £105million in losses over a rolling three-year period.
In their 2022/23 financial accounts, Wolves made a loss of £67.1million, while Villa lost nearly £120million.
Everton, Nottingham Forest and Manchester City all have PSR breaches hanging over them, but the Premier League is now working on a proposal for new financial rules that it aims to present to clubs in the summer, before a vote takes place.
The make-up of those financial rules have not yet been agreed and are unlikely to come into place in time for next season, but the suggestion is that they will be closely aligned to Uefa’s squad cost ratio rule, which come under their Financial Sustainability Regulations (FSR).
This model would mean clubs can spend a certain percentage of their revenue on transfers, wages and agent fees.