Bournemouth fined £7.6 million for violating Financial Fair Play rules
Bournemouth was handed a fine of £7.6 million ($11 million USD) for breaching Financial Fair Play rules in its 2014-15 English Championship season, accruing substantial losses during the team's successful hunt for promotion to the Premier League.
The fine was revealed when the club disclosed its financial accounts last Thursday, showing a loss of £38.3 million ($56M) on the bottom line. Financial Fair Play rules allow only £6 million ($8.7M) in losses in any given season.
But, with Bournemouth now clear of relegation and with an influx of funds incoming from a new TV deal, the club says its financial situation is now under control:
"The directors continue to maintain close control over expenditure and have implemented effective policies and procedures to ensure the club is run efficiently and effectively," the club wrote in the director's notes of its published accounts, according to PA Sport.
The club was forced to spend £4.6 million ($6.7M) to upgrade Vitality Stadium to Premier League standards and also increased its wage bills from £10.3 million ($15M) to £30.4 million ($44.4M), despite turning over just under £13 million ($19M) on the other end.
As a result, the Cherries could face a transfer embargo similar to the ones handed to Championship sides Bolton, Nottingham Forest, and Fulham, who also violated FFP rules with similar infringements.
HEADLINES
- Report: Liverpool set to abandon pursuit of Xabi Alonso
- Barcelona down Brann to set up Women's UCL rematch vs. Chelsea
- Dyche: I don't know why Everton were docked more points than Forest
- Wrexham financial records reveal club owes celebrity owners almost £9M
- Pochettino surprised Chilwell started for England after injury