In a recent proposal, a group representing lower-ranked soccer clubs in Europe has suggested that a significant portion of UEFA’s prize money should be redirected towards clubs that develop talented players but do not participate in major competitions. This initiative, introduced by the Union of European Clubs, aims to address the growing financial disparity within the sport by redistributing a minimum of 5% of the commercial and broadcast revenue generated by UEFA competitions, including the Champions League, to clubs not competing in these tournaments.
The revenue for the current season of UEFA’s Champions League, Europa League, and Conference League is projected to be at least 4.4 billion euros, with the proposed 5% allocation translating to 220 million euros ($244 million). According to the UEC, only clubs failing to reach the league phases of these competitions would be eligible for this redistribution. The group, which comprises 140 members, recognizes this as a “pragmatic, merit-based approach to restoring fairness and balance in the football ecosystem.”
The underlying principle of the proposal is straightforward: clubs making investments in player development should rightly be rewarded when these players contribute to the success of European competitions. The UEC approximates that this shift could potentially have brought in at least 100,000 euros ($111,000) for each of 400 clubs around Europe in recent years.
However, it remains uncertain how UEFA and the European Club Association (ECA) would react to this proposal, particularly because it entails reallocating resources from ECA’s constituents. ECA, currently presided over by Paris Saint-Germain’s Nasser al-Khelaifi, holds a critical position in directing both commercial and sporting decisions within the Champions League, with a standing agreement with UEFA that identifies it as the primary body representing European clubs at both European and global levels, headquartered near UEFA in Nyon, Switzerland.
The Union of European Clubs, inaugurated in 2023, contrasts itself with the ECA, which it perceives as catering predominantly to elite, affluent clubs. Before being led by al-Khelaifi, ECA’s past leadership included Bayern Munich’s Karl-Heinz Rummenigge and Juventus’ Andrea Agnelli, figures associated with the failed 2021 Super League initiative. Among its current members, the UEC counts Union Saint-Gilloise, the leading Belgian league club anticipated to debut in the Champions League, and Burnley, soon to rejoin the Premier League.
The proposal, dubbed the player development reward, was shared with European Union officials in Brussels. The institutions of the EU, such as the European Commission and the European Court of Justice, are increasingly perceived as vehicles for instituting change in the governance of soccer by international bodies like FIFA and UEFA. The UEC noted that financial rewards would be determined by players’ minutes played in UEFA competitions and the prize money earned from such tournaments.
This season, UEFA is expected to disburse approximately 2.5 billion euros ($2.78 billion) to the teams participating in the Champions League, with an additional 565 million euros ($628 million) and 285 million euros ($317 million) for the Europa League and Conference League teams, respectively. Beyond this, UEFA distributes about 308 million euros ($342 million), equivalent to 7% of gross competition revenue, as solidarity payments to numerous non-qualifying European clubs. UEFA has acknowledged the UEC proposal and noted that it will be considered at a later date, as the present system of solidarity payments is set to continue until 2027 when a new cycle of broadcasting and sponsorship agreements will initiate.