The Football League have confirmed that they are aiming to have any punishments announced before the end of the season. Previously the Football League has only been able to either; fine promoted clubs (a fine the Premier League didn’t help them collect), or impose a transfer embargo for historic overspending (which always like a stable-door/horse scenario).
With this change, a wide range of punishments are now available.
That would result in £40m amortisation each year (assuming a 5 year deal), plus c£30m a year for wages.
From an accounting perspective, he would cost around £70m a year (that's around £1.5m m for every game he plays).
If the fee were to be paid by the Qatar Tourist Authority for example, there would be some interesting implications.
If the transaction took place entirely outside PSG accounts, the the purchase would not appear in the club accounts. UEFA have robust and comprehensive Related Party Transaction (RPT) rules to capture such a scenario.
I am particularly grateful to Mike Thornton (twitter: This season (2016/17), new ‘Profitability and Sustainability’ rules operate in the Championship; for the first time, clubs will be assessed over 3 seasons (rather than just a single season).
This change brings the Championship clubs into alignment with the Premier League – both have ‘Profit and Sustainability’ rules that are now fully aligned.
Interestingly, although PSG are free to take part in the Champions League next season, UEFA have the power to annul a Champions League winners title (i.e. The Break Even test will be carried out near the end of the next season (around the time of the semi-final) – at that time UEFA would also be able to eject them from the competition if they are still in it.
Although both these scenarios might look unlikely, UEFA won’t be keen to allow PSG such an easy ride this time.
Consequently, the £198m fee would be included as a single amount in the FFP test that takes place in 2018/19 season (when the RPT is identified by UEFA and included in the FFP calculations).
So, if QTA pay the fee and Neymar isn’t amortised, there is no way that the club will pass the 2018/19 FFP test; it is inconceivable that they could claim sufficient increased sponsorship to get them over the E30m maximum for the three seasons if there is a one-off £198m expense.
Although UEFA have made all efforts to help clubs get over the FFP Break Even line, and have been determined to avoid issuing harsh punishments, things could be different this time.