HeadlinesBriefing favicon HeadlinesBriefing.com

Premier League swap deal: rules & regulations

BBC Sport Football •
×

A rarely seen player swap deal has been agreed between Premier League clubs. Dwight McNeil is poised to join Crystal Palace, with Eagles forward Brennan Johnson moving in the opposite direction to sign for the Toffees. While such trades are unusual, they are permitted but must meet certain rules.\n\nThe swap will technically be treated as two separate transfers and will be part of the Premier League squad cost ratio (SCR) regulations. For example, Johnson cost Palace £35m, and his valuation as part of the McNeil deal would affect the Eagles' SCR.

He would need to be valued at about £30m for it to be recorded as a neutral transaction. If he were valued less, say at £20m as in the failed Selhurst Park move, Palace would record a £10m loss.\n\nAll swap deals must also pass the Premier League's fair market value (FMV) checks. Regulations around associated party transactions (APTs) and FMV were introduced in 2021 to safeguard financial stability and competitive balance.

External valuation companies assess factors such as age, performance, and comparable players to determine market value. The Premier League will make the final judgement.\n\nThanks to Alec in Wales for the question. This article is the latest from BBC Sport's Ask Me Anything team.