Premier League to keep ability to sell hotels to related companies
Not enough support was garnered amongst Premier League clubs to hold a vote on changing rules relating to fixed assets.
The decision means Premier League clubs like Chelsea will still be able to sell hotels to a company linked to their owners without penalty.
The Blues sold two hotels in 2023 and included the generated revenue in their profit and sustainability rules submission, causing controversy.
They also sold their women’s team to a related company for £200m in a move which is still under review. The deals for the two hotels were cleared by the league.
Current Premier League rules state that such transactions must be done at fair market value, and proposals to change rules on fixed assets did “not gain sufficient support to put it to a vote”, according to PA news agency.
“Clubs knew heading into the meeting in Harrogate that there would be no vote.”
It is the third time in a short number of years that Premier League clubs have decided against changes to rules relating to fixed assets despite the pyramid below – under the EFL – bringing in tougher rules for clubs in 2021.
A number of Premier League clubs have struggled with restrictions implemented upon them by the profit and sustainability rules.
Clubs have had to get creative in how they remain within the parameters of the rules, while there have been a number of attempts to change these rules in favour of a different model.
Chelsea’s decision to sell their women’s team for £200m resulted in a net profit of nearly £130m.
They announced a £20m investment by Alexis Ohanian – the Reddit co-founder and husband of Serena Williams – recently with his 10 per cent acquisition in line with the valuation put on the Women’s Super League and FA Cup champions by senior figures at Chelsea.