The recommendation by FIFA's Football Stakeholder Committee to introduce caps on agents fees, limit multiple representation and the adoption of a revised loan system demonstrates a refreshing determination by FIFA to tackle financial excess, enhance integrity around transfers and restore youth development as the key driver of the loan system.
The proposals, which will now go before the FIFA Council in October, include commission caps of 10% of the transfer fee for the releasing club's agent, 3% of the player's remuneration for the player's agent and 3% of the player's remuneration for the agent of the acquiring club.
These numbers will no doubt raise eyebrows in the agent fraternity, but perhaps of more concern to this group will be the way in which multiple representation is to be regulated. If three party and/or dual represntation is to be prohibited then FIFA can expect an even bumpier ride from intermediaries who have grown used to multi-party representation and the enhanced financial returns which tend to accompany it.
As ever, the success of any new regulatory financial framework of this nature will depend on rigorous disclosure/transparency obligations on all parties, the minimisation of any creative work around(s) and robust enforcement procedures incorporating a sanctioning process that provides a genuine deterrent for clubs, intermediaries, players and others from straying from the regulatory requirements.
FIFA and football stakeholders recommend cap on agents’ commissions and limit on loans