European study urges tax on top transfer deals

A European Commission-backed study suggests levying taxes on

football’s most expensive transfer deals to spread money among less

wealthy clubs.

The report suggests football lost competitive balance as the

transfer market grew into a ?3 billion ($4 billion) business across

27 European Union countries in the 2010-11 season.

Brussels-based consultant KEA suggests a growing link ”between

transfer expenditure and sports results” since 2001.

The Champions League ”contributes to consolidating the existing

supremacies” as non-participating teams share solidarity payments

worth just six percent of revenues shared by the 32 group-stage

teams, the report says.

The study also suggests European laws could regulate the

third-party ownership of players’ transfer rights by investors.

It proposes improving financial transparency by extending FIFA’s

monitoring system of international transfers to cover domestic

deals.