Euro soccer to curb excess spending
Kicking a soccer ball
by Rebecca Singer
Big salaries are a major part of the European game. The highest paid players earn around $300,000 a week. And clubs also pay transfer fees when stars move from one team to another. Last summer the Spanish club Real Madrid paid more than $100 million for Ronaldo.
Rob Faulkner's from European soccer's governing body and says action was needed.
"Our intention has been to curb the inflationary spiral of wages and transfers and hopefully in the future make clubs live within their means," says Faulkner.
A recent report found that half of Europe's leading clubs were losing money and 20 percent faced financial peril. Faulkner says smaller clubs especially have been overstretching themselves trying to keep up with the big boys. He hopes the new rules will help by limiting the amount of money poured into clubs by rich investors. But Faulkner insists it's not about making all clubs equal. And if they generate the money from ticket sales and TV revenue then they can spend it.