According to The Times, UEFA's Chief Financial Officer Andrea Traverso has warned that English clubs have accumulated hundreds of millions of pounds in transfer fees through deferred payment arrangements. This "buy now, pay later" model risks pushing clubs into overspending and creating mounting pressure on their financial stability in the future.

In his foreword to UEFA's Club Football Report, Traverso noted that while the spending power gap between the Premier League and other European competitions continues to widen, English clubs' current high-spending model has also become increasingly fragile.

Data shows that English clubs accounted for over 60% of all European transfer deals last year, with average payments of around 24 million euros per player, compared to just 4 to 5 million euros in other major European leagues. UEFA stated in its report that this "highlights the widening gap in spending power."

Traverso said, "Squad composition remains a critical factor in sporting success. Analysis of the summer transfer market also reveals a series of trends, some of which are concerning from a financial perspective."

"Transfer fees continue to rise significantly, particularly in the English market. This will increasingly pressure clubs' future financial performance due to higher player amortization costs."

"While some of these costs can be offset by substantial revenues from player sales, this also creates a more fragile model, as clubs increasingly depend on continually rising transfer market valuations and market liquidity."

Traverso specifically highlighted the risks associated with deferred transfer fee payments: "Many player acquisitions are not paid in full immediately, with the sums typically spread over several years. Additionally, clubs can secure short-term cash by selling their transfer receivables."

"The result is mounting transfer debt and growing club dependence on future cash flows to finance past investments."

Seven of the eight most expensive European transfers this summer involved the English market. Traverso warned that if player transfer valuations decline in the future, or if credit conditions tighten, it could "expose underlying pressures on club profitability and financial sustainability."

UEFA's report also noted that clubs are deploying playing time across more players, using substitutions more frequently, and employing more complex squad rotation strategies to balance performance and player fitness.

According to football finance expert Kieran Maguire, citing data from Valubill, Premier League clubs' outstanding deferred transfer fee payments currently exceed 3 billion pounds.

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