Doncaster Rovers will not longer operate under hard salary cap as EFL are forced to abolish restrictions

League One clubs such as Rovers were instructed to operate within a £2.5m salary cap while League Two sides were restricted to a £1.25m ceiling.

But the PFA challenged the ruling, claiming the caps were ‘unlawful and unenforceable’ and have seen their objection upheld by an independent arbitration panel.

The ruling from the panel said the caps were in breach of the constitution of the Professional Football Negotiating and Consultative Committee, who includes representation from the EFL, PFA, Premier League and FA.

A statement from the PFA said: "Like everyone involved in football, the PFA wants to see sustainable clubs at all levels. We also recognise the huge economic pressure that clubs have come under due to the Covid-19 crisis.

"The PFA believes it is now in the best interest of the leagues, the clubs, and the players to work together and agree on rules that promote financial stability."

The EFL have said the matter will be discussed in a meeting of clubs later this week.

With the caps withdrawn, the EFL have reinstated the Salary Cost Management Protocol which sees expenditure linked to turnover.

League One clubs such as Rovers see their wage spend restricted to 60 per cent of club turnover.

Under the caps, wages, bonuses, taxes, images rights and agents’ fees were included within the restrictions, though promotion or cup progression bonuses were exempt. Wages for players under the age of 21 were also not included.

Any club breaching the caps would have been subjected to fines.

At the time the caps were put into place, Rovers chief executive Gavin Baldwin told the Free Press he felt amendments and additions to the regulations would be required to make them effective.

He said: “I think in isolation it won’t achieve stable football clubs going forward and if it is to work then it needs additional measures to support it.

“I personally, working for Doncaster Rovers, would have preferred a percentage of revenue model because that encourages us to work hard off the field to support the team on the field.”

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