INCREASED UEFA FUNDS FOR CLUBS IN SMALL AND MEDIUM-SIZED CHAMPIONSHIPS

An agreement between UEFA and ECA (European Clubs Association) which forms part of the memorandum of understanding between the two entities was signed in Stockholm, Sweden, on Tuesday, 31st March, during the 14th ECA general assembly  The renewed agreement covers the period to 2022 and has been hailed as a breakthrough that will be a signpost in the improvement of the European game. One of the main points of the agreement is increased financial allocations for the UEFA Champions League and the UEFA Europa League participants which includes teams in the qualifying rounds and, more importantly, those in the smaller and medium-sized championships of which Malta forms part.    This revolutionary distribution mechanism means that Maltese teams will stand to benefit from this bigger allocation of funds than ever before as every stakeholder will be a beneficiary in proportion to the growth of the competitions. Solidarity payments to clubs not qualified to the group stages An enhanced distribution system for solidarity payments for clubs not competing in the UEFA Champions League or UEFA Europa League group stage has also been adopted by UEFA for the 2015-18 cycle. The distribution to clubs participating in the qualification phases of either competition (except those qualifying to the group stage of the UEFA Champions League, which will not be entitled to these solidarity payments) will represent 3.5% of the overall revenues. An amount of at least €78.6m will be distributed, compared to €47.5m in the 2012-15 cycle, thus representing an increase of around 60%. Clubs eliminated prior to the group stage will receive the following amounts per round: €200k in the first qualifying round, €300k in the second qualifying round and €400k in the third qualifying round (this latter, if not involved in the UEFA Champions League playoffs). In addition, any domestic champion not qualified for the group stage of the UEFA Champions League will receive €250k. In the UEFA Europa League, these solidarity payments will amount to: €200k in the first qualifying round, €210k in the second qualifying round, €220k in the third qualifying round and €230k in the playoffs (this latter, if not qualified to the UEFA Europa League group stage). Solidarity payments to clubs not qualified for UEFA club competitions  UEFA Champions League clubs’ share, will now represent 5% of the overall gross revenues of the two competitions. A total of €112m will be distributed to national associations and/or leagues for their clubs, compared to €82.4m in the 2012-15 cycle, thus representing an increase of more than 35%. 80% of this amount will be distributed to national associations and/or leagues with at least one club participating in the UEFA Champions League group stage and 20% to national associations and/or leagues without participating clubs. Only clubs not participating in the group stage of either competition will be entitled to a share of these solidarity payments. Furthermore, the distribution to national associations and/or leagues will no longer be exclusively based on their market value, but 60% of the available amounts will be distributed in equal shares amongst all national associations and/or leagues and only 40% will follow the market value. This will ensure a fairer distribution of solidarity amounts to European clubs. The renewed agreement included representation of two ECA clubs on the UEFA Executive Committee, albeit with no voting powers. Their presence as full members on UEFA’s top organ will be implemented at the next UEFA Congress subject to the necessary statutory changes. This item will also be on the TEP’s Agenda which top executive meeting will be held in Malta this year during the month of September.