Chelsea violated UEFA financial regulations and could face future European competition ban
Luis Torres
Dailysports's expert
Chelsea violated UEFA financial regulations after their loophole was rejected, and the club could be excluded from European competitions in the future as they now await punishment.
In their latest reports, the club announced a net profit of £130 million following the sale of the women's team to the BlueCo subsidiary, the holding company used for the club's acquisition in 2022. However, UEFA rejected the use of this loophole, indicating a breach of financial regulations. The club may now face fines and the need to adhere to a restricted spending plan over the next three years.
A significant point is that the club could face disqualification from European competitions if they breach these rules again in the future.
Additionally, the report also mentions that Chelsea registered revenue from the sale of two hotels to a subsidiary company amounting to £76.5 million. The club's total financial losses over three years amount to £358 million, significantly exceeding the permissible £170 million.
While the club claims not to have violated Premier League rules, the sale of assets to subsidiary companies remains a contentious issue in financial regulation.
