Uefa will be able to RELEGATE clubs from Champions League for breaching financial rules with FFP system to be replaced

Uefa will be able to RELEGATE clubs from Champions League for breaching financial rules with FFP system to be replaced

UEFA will be able to RELEGATE teams from the Champions League when they implement their new financial restrictions.

The financial fair play model (FFP) is set to be discarded in place of a concept titled 'financial sustainability regulations'.

And within those rules is the potential for Europe's governing body – who appear to have parked the notion of wage caps – to demote teams from the Champions League to the Europa League.

This will also apply to sides in the Europa League who could find themselves relegated to the Europa Conference League.

Another method of punishment could also be to dock points from teams in the Champions League and Europa League.

From 2024, those tournaments will see all participants placed in a single league table during the first phase of the competition.

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According to the New York Times, the new restrictions will mean teams' football-related spending cannot surpass 70 per cent of their income.

However, in order to give clubs time to comply with these new rules, Uefa will allow them to spend up to 90 percent of their revenue for three seasons.

By the end of this period the 70 per cent figure will then come into force.

In certain instances, clubs will be permitted to spend around £7.5million above the ratio.

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But if they are to do so then they will have to show they have healthy accounts and have not breached the regulations before.

Uefa have been criticised in recent years for failing to punish the likes of Manchester City and Paris Saint-Germain.

The two sides, who are both backed by money from wealthy Gulf states, have avoided penalties on technical grounds.

The new rules could prove problematic for Italian clubs in particular – with some of them already exceeding the new restrictions through wage costs alone.

It has been reported that some clubs called for the limit to be as high as 85 per cent of their total income.

But some German sides argued for the limit to be even lower than 70 per cent.

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