LaLiga Warns Barcelona, Real Madrid, Others Over Big Deals This Summer

LaLiga president, Javier Tebas, has warned clubs that financial regulations will be enforced strictly next season.

Tebas had told clubs they cannot spend beyond their means this summer and will have to cut salaries to cope with the financial implications of COVID-19.

“We have seen the cash flows for each club and right now they have squads which exceed the [financial] limits we will establish for next season,” Tebas told the Instituto Iberoamericano de Derecho Deportivo.

“That brings consequences. Clubs are going to have to look at their academies and come up with a strategy to reduce salaries. There’s no other solution. Transfers that exceed financial limits will not be allowed – impossible.”

LaLiga has had a cap in place since 2013, which stipulates that clubs manage their finances appropriately.

Each team’s limit is decided based on expected income and the average amount of transfer income over the previous three years.

This development may have an effect on Barcelona’s drive to bring back Neymar from Paris Saint-Germain and a possible move for Inter Milan’s Lautaro Martinez.