UEFA is planning to introduce a luxury tax that will help curtail the spending of top clubs, especially when they are not making money.
The Times claims that the governing body hopes to present a plan to ensure the salaries of the top European clubs don’t exceed 70% of their revenue.
Uefa had relaxed the Financial Fair Play because of the coronavirus pandemic and it has helped the likes of PSG to sign top players as well as to increase the salary of the likes of Neymar.
Arsenal has hardly made big money in the last few seasons as they haven’t played Champions League football since 2018.
They have also suffered from a loss of revenue because of the absence of their fans from the stadiums since the start of last year.
Yet they have splashed the cash on several top players like Thomas Partey and Ben White.
They have also extended the contract of Pierre-Emerick Aubameyang, who is now one of the top earners in England.
The report claims if a club spends more than their revenue, they would pay a fine as a luxury tax.
They would then distribute this tax among the other clubs under the body.